Decision No. 433-A-2012

Air Canada, on behalf of itself, Jazz Aviation LP, as represented by its general partner, Aviation General Partner Inc. carrying on business as Air Canada Jazz, Jazz and Jazz Air (Jazz Aviation), and Egyptair, has applied to the Canadian Transportation Agency (Agency) for approvals to permit:

1. Air Canada to provide its scheduled international service between Canada and Egypt by selling transportation in its own name on flights operated by Egyptair between member states of the European Community and Egypt; and
2. Egyptair to provide its scheduled international service between Egypt and Canada by selling transportation in its own name on flights operated by Air Canada between member states of the European Community and Canada, and by selling transportation in its own name on flights operated by Air Canada and Jazz Aviation between points in Canada.

These approvals are requested for a period of three years.

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 Air Canada from the application of subsection 8.2(2) of the ATR.

Air Canada and Egyptair are licensed to operate scheduled international services in accordance with the Interim Arrangement between the Government of Canada and the Government of the Arab Republic of Egypt set out in an Agreed Minute signed on November 10, 2010 (Agreement).

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.

With respect to the duration of the approvals requested, in light of the provisions of the Agreement, the Agency considers three years to be appropriate.

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

1. Air Canada of aircraft and flight crew provided by Egyptair, and the provision by Egyptair of such aircraft and flight crew to Air Canada, to permit Air Canada to provide its scheduled international service on licensed routes between Canada and Egypt by selling transportation in its own name on flights operated by Egyptair between member states of the European Community and Egypt; and
2. Egyptair of aircraft and flight crew provided by Air Canada and Jazz Aviation, and the provision by Air Canada and Jazz Aviation of such aircraft and flight crew to Egyptair, to permit Egyptair to provide its scheduled international service on licensed routes between Egypt and Canada by selling transportation in its own name on flights operated by Air Canada between member states of the European Community and Canada, and by selling transportation in its own name on flights operated by Air Canada and Jazz Aviation between points in Canada.

These approvals are granted for a period of three years from the date of this Decision, and are subject to the following conditions:

1. Air Canada, Jazz Aviation and Egyptair shall continue to hold the valid licence authorities.
2. Air Canada and Egyptair 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. Air Canada, Jazz Aviation and Egyptair 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. Air Canada and Egyptair shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
6. Air Canada and Egyptair 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. The carriage of local traffic between points in Canada under Egyptair’s code is prohibited.
8. Air transportation using Air Canada’s code on flights operated by Egyptair between member states of the European Community and Egypt shall not be sold separately and shall only be available to traffic carried on a continuous journey without stopover under Air Canada’s code between Canada and Egypt. No local traffic may be carried under Air Canada’s code between member states of the European Community and Egypt.
9. Air transportation using Egyptair’s code on flights operated by Air Canada between member states of the European Community and Canada shall not be sold separately and shall only be available to traffic carried on a continuous journey without stopover under Egyptair’s code between Egypt and Canada. No local traffic may be carried under Egyptair’s code between member states of the European Community and Canada, and between points in Canada.
10. These approvals do not apply to the carriage of cargo.

In Decision No. 50-A-2012, the Agency approved the use by:

1. Air Canada of aircraft and flight crew provided by Egyptair, and the provision by Egyptair of such aircraft and flight crew to Air Canada, to permit Air Canada to provide its scheduled international service on licensed routes between London and Cairo by selling transportation in its own name on flights operated by Egyptair; and
2. Egyptair of aircraft and flight crew provided by Air Canada and Jazz Aviation, and the provision by Air Canada and Jazz Aviation of such aircraft and flight crew to Egyptair, to permit Egyptair to provide its scheduled international service on licensed routes between Egypt and Canada by selling transportation in its own name on flights operated by Air Canada between London and Canada, and between points in Canada, and by selling transportation in its own name on flights operated by Jazz Aviation between points in Canada.

As a result of the approval granted in this Decision, Decision No. 50-A-2012 is now redundant.

Accordingly, the Agency, pursuant to section 32 of the CTA, rescinds that Decision.