Decision No. 409-A-2012

Deutsche Lufthansa Aktiengesellschaft (Lufthansa German Airlines) [Lufthansa], on behalf of itself and Air New Zealand Limited (Air New Zealand), has applied to the Canadian Transportation Agency (Agency) for approvals to permit:

1. Lufthansa to provide its scheduled international service between Germany and New Zealand by selling transportation in its own name on flights operated by Air New Zealand between Canada and New Zealand; and
2. Air New Zealand to provide its scheduled international service between New Zealand and Germany by selling transportation in its own name on flights operated by Lufthansa between Canada and Germany.

These approvals are requested for an indefinite period.

As the application was filed less than 45 days before the first planned flight, as required by subsection 8.2(2) of the Air Transportation Regulations (ATR), an exemption from the application of this provision is necessary. The Agency finds that compliance with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, the Agency, pursuant to paragraph 80(l)(c) of the Canada Transportation Act (CTA), exempts Lufthansa from the application of subsection 8.2(2) of the ATR.

Lufthansa is licensed to operate scheduled international services in accordance with the Agreement on Air Transport between Canada and the European Community and its Member States, signed on December 18, 2009.

Air New Zealand is licensed to operate a scheduled international service in accordance with the Agreement between the Government of Canada and the Government of New Zealand on Air Transport, signed on July 21, 2009.

The Agency has considered the application and the material in support and is satisfied that it meets the remaining requirements of section 8.2 of the ATR.

Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the CTA and section 8.2 of the ATR, approves the use by:

1. Lufthansa of aircraft and flight crew provided by Air New Zealand, and the provision by Air New Zealand of such aircraft and flight crew to Lufthansa, to permit Lufthansa to provide its scheduled international service on licensed routes between Germany and New Zealand by selling transportation in its own name on flights operated by Air New Zealand between Canada and New Zealand; and
2. Air New Zealand of aircraft and flight crew provided by Lufthansa, and the provision by Lufthansa of such aircraft and flight crew to Air New Zealand, to permit Air New Zealand to provide its scheduled international service on licensed routes between New Zealand and Germany by selling transportation in its own name on flights operated by Lufthansa between Canada and Germany.

These approvals are granted for an indefinite period from the date of this Decision, and are subject to the following conditions:

1. Lufthansa and Air New Zealand shall continue to hold the valid licence authorities.
2. Lufthansa and Air New Zealand shall apply their published tariffs, in effect, to the carriage of their traffic. Nothing in any commercial agreement between the air carriers relating to limits of liability shall diminish the rights of passengers as stated in such tariffs.
3. The air services approved shall only be provided as long as a code-sharing agreement providing for such services remains in effect.
4. Lufthansa and Air New Zealand shall continue to comply with the insurance requirements set out in subsections 8.2(4), 8.2(5) and 8.2(6) of the ATR.
5. Lufthansa and Air New Zealand shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
6. Lufthansa and Air New Zealand shall provide the Agency with a copy of any new agreement or amendments to their code-sharing agreement, including any new or amended annex, without delay.
7. Air transportation using Lufthansa’s code on flights operated by Air New Zealand between Canada and New Zealand shall not be sold separately and shall only be available to traffic carried on a continuous journey without stopover under Lufthansa’s code between Germany and New Zealand. No local traffic may be carried under Lufthansa’s code between Canada and New Zealand.
8. These approvals do not apply to the carriage of cargo.