Decision No. 57-A-1988

March 31, 1988

File No. 2-P485-1

Docket No. 88104

Pan Am Express, Inc. has applied for the authority set out in the title.

Under cover of Diplomatic Note No. 550 dated September 17, 1987, the Government of the United States of America forwarded the above-noted application to the Government of Canada for its consideration pursuant to the provisions of the Regional, Local and Commuter Services Agreement contained in Diplomatic Notes ETT-1483 and 300 exchanged between the two Governments on August 21, 1984.

By letters dated February 12 and March 10, 1988, the Minister of Transport advised the National Transportation Agency of his decision, on behalf of the Canadian Government, to grant discretionary approval to Pan Am Express, Inc.'s application to serve New York/Hamilton. The Minister directed that the service is to be operated and promoted as a service between Hamilton and New York. Any advertising or other form of public promotion that conforms to the requirement set out above may also indicate that connecting services to other points in the continental U.S.A. served by Pan Am Express, Inc. are available from John F. Kennedy International Airport and may name those points. Advertising or other forms of public promotion of the services authorized in the licence in conjunction with connecting services to points outside the continental U.S.A. are prohibited. Furthermore, the authority granted in the licence shall be valid for a period of two years from the date of issue of the licence. Upon written application to the National Transportation Agency no later than 120 days prior to expiry of the licence, Pan Am Express, Inc. may seek renewal of its licence. Upon examination of the application and of any further information which it may reasonably require Pan Am Express, Inc. to provide, the Agency may renew the licence for an indefinite period or for any fixed period that it may deem to be in the public interest.

The Government of Canada having decided that the application to serve New York/Hamilton should be approved and the pertinent terms and conditions of the Regional, Local and Commuter Services Agreement having been complied with, the Agency, in accordance with the provisions of sections 88 and 89 of the National Transportation Act, 1987, S.C. 1987, c. 34, will issue to Pan Am Express, Inc. a licence to operate a scheduled international service to transport persons, goods and mail, separately or in combination, using fixed wing aircraft type-certificated as capable of carrying no more than 60 passengers and having a maximum payload capacity of no more than 18,000 pounds, serving the points New York, New York (John F. Kennedy International Airport), U.S.A. and Hamilton, Ontario, Canada, upon compliance with the requirements of the Agency as applicable.

The licence to be issued pursuant to this Decision shall, in addition to the conditions prescribed by the Air Transportation Regulations, SOR 88-58, be subject to the following conditions:

1. The operation of the international service authorized herein shall be conducted subject to the applicable provisions of the Regional, Local and Commuter Services Agreement contained in Diplomatic Notes ETT-1483 and 300 exchanged between the Government of Canada and the Government of the United States of America on August 21, 1984.
2. Unless terminated at an earlier date for just cause or as a result of the termination or expiration of the aforementioned agreement, this licence shall terminate at the end of two years from the date of issue.
3. While operating the service authorized herein, the Licensee is restricted in its operations to the use of fixed wing aircraft type-certificated as capable of carrying no more than 60 passengers and having a maximum payload capacity of no more than 18,000 pounds.
4. The service authorized herein, when operated with aircraft certificated for 31 or more passengers, shall not be operated in conjunction with other air services when the combination would constitute single-plane service between terminal points of a route named in the schedules of the 1966 Air Transport Agreement between the Government of Canada and the Government of the United States, as amended.
5. The service is to be promoted as a service between Hamilton and New York. Advertising and promotion of the services herein authorized is limited to these services but may indicate the availability of connecting services to other points in the continental U.S.A. Advertising and promotion of these services in conjunction with services to points in other countries is prohibited.