Decision No. 653-A-2007

December 27, 2007

File Nos. M4815-2-1/A1030
M4815-3-1/A1030
M4815-6-1/A1030
M4815-7-1/A1030
M4815-9-1/A1030
M4815-11-1/A1030
M4815-12-1/A1030

Atlantic Airlines Limited (hereinafter Atlantic Airlines) has applied to the Canadian Transportation Agency (hereinafter the Agency) for the authorizations set out in the title. The application was received on November 9, 2007.

In accordance with Canadian Government policy announced on August 6, 1982, the Minister of Transport directed the Air Transport Committee (hereinafter the Committee) of the Canadian Transport Commission to consider applications from foreign air carriers for authorizations to carry international cargo shipments to and from Mirabel International Airport coming from and destined to points outside the territory of Canada. The Committee was also directed to make any such authorization subject to the carrier continuing to meet its obligations to: 1) report traffic carried to and from Mirabel International Airport to the Committee in accordance with any requirements of the authorization; and 2) have sufficient insurance to satisfy the minimum requirements of the Air Carrier Regulations, C.R.C., 1978, c. 3 (hereinafter the ACR). The direction also required that the in-transit cargo be held in bond pending its onward transportation to its destination.

In accordance with Canadian Government policy announced on November 2, 1987, the Minister of Transport directed the Committee of the Canadian Transport Commission to consider applications from Canadian and foreign air carriers for authorizations to carry international cargo shipments to and from Hamilton International Airport coming from and destined to points outside the territory of Canada. The Committee was also directed to make any such authorization subject to the carrier continuing to meet its obligations to: 1) report traffic carried to and from Hamilton International Airport to the Committee in accordance with any requirements of the authorization; and 2) have sufficient insurance to satisfy the minimum requirements of the ACR. The direction also required that the in-transit cargo be held in bond pending its onward transportation to its destination.

By order of the Governor in Council dated February 11, 1993, the Minister of Transport issued a direction to the National Transportation Agency¹, a predecessor to the Agency, to consider applications from Canadian and foreign air carriers for authorizations to carry international cargo shipments to and from Windsor Airport coming from and destined to points outside the territory of Canada. The National Transportation Agency was also directed to make any such authorization subject to the carrier continuing to meet its obligations to: 1) report traffic carried to and from Windsor Airport to the National Transportation Agency in accordance with any requirements of the authorization; and 2) have sufficient insurance to satisfy the minimum requirements of the Air Transportation Regulations, SOR/88-58, as amended (hereinafter the ATR). The direction also required that the in-transit cargo be held in bond pending its onward transportation to its destination.

On July 17, 2000, the Minister of Transport directed the Agency, pursuant to paragraph 76(1)(e) of the Canada Transportation Act, S.C., 1996, c. 10, as amended (hereinafter the CTA), to consider applications from Canadian and foreign air carriers for authorizations to carry international cargo shipments to and from Gander International Airport coming from and destined to points outside the territory of Canada. The Agency was also directed to make any such authorization subject to the carrier continuing to meet its obligations to: 1) report traffic carried to and from Gander International Airport to the Agency in accordance with any requirements of the authorization; and 2) have sufficient insurance to satisfy the minimum requirements of the ATR. The direction also required that the in-transit cargo be held in bond pending its onward transportation to its destination.

On September 27, 2004, the Minister of Transport directed the Agency, pursuant to paragraph 76(1)(e) of the CTA, to consider applications from Canadian and foreign air carriers for authorizations to carry international cargo shipments to and from Winnipeg International Airport coming from and destined to points outside the territory of Canada. These authorizations would carry an obligation to report traffic carried to and from Winnipeg International Airport in accordance with directions to be advised upon authorization and an obligation to carry insurance to the minimum requirements of the ATR. The in-transit cargo would be held in bond pending its onward transportation to its destination.

On May 1, 2006, the Minister of Transport directed the Agency, pursuant to paragraph 76(1)(e) of the CTA, to consider applications from Canadian and foreign air carriers for authorizations to carry international cargo shipments to and from Edmonton International Airport coming from and destined to points outside the territory of Canada. These authorizations would carry an obligation to report traffic carried to and from Edmonton International Airport in accordance with directions to be advised upon authorization and an obligation to carry insurance to the minimum requirements of the ATR. The in-transit cargo would be held in bond pending its onward transportation to its destination.

In addition, on July 5, 2007, the Minister of Transport directed the Agency, pursuant to paragraph 76(1)(e) of the CTA, to consider applications from Canadian and foreign air carriers for authorizations to carry international cargo shipments to and from Calgary International Airport coming from and destined to points outside the territory of Canada. These authorizations would carry an obligation to report traffic carried to and from Calgary International Airport in accordance with directions to be advised upon authorization and an obligation to carry insurance to the minimum requirements of the ATR. The in-transit cargo would be held in bond pending its onward transportation to its destination.

The Agency notes that the CTA was enacted to, inter alia, continue the National Transportation Agency as the Canadian Transportation Agency, as well as to revise the National Transportation Act, 1987. Further, pursuant to section 187 of the CTA, and as applicable, any power, duty or function vested in or exercisable by the National Transportation Agency under a direction from the Minister of Transport is a power, duty or function vested in or exercisable by the Agency.

By Decision No. 704-A-2006 dated December 20, 2006, the Agency authorized Atlantic Airlines, subject to certain requirements, to carry international bonded cargo shipments to/from the international airports of Mirabel, Hamilton, Gander, Winnipeg and Edmonton and the airport of Windsor coming from and destined to points outside the territory of Canada until December 31, 2007.

The Agency notes that Atlantic Airlines has submitted the required statistics in respect of flights operated pursuant to Decision No. 704-A-2006.

The Agency has considered the application and is satisfied that Atlantic Airlines holds a valid Canadian aviation document and has prescribed liability insurance coverage in respect of the service to be provided.

Accordingly, pursuant to the directions of the Minister of Transport and section 187 of the CTA, the Agency hereby authorizes Atlantic Airlines to carry international bonded cargo shipments to and from the international airports of Mirabel, Hamilton, Gander, Winnipeg, Edmonton and Calgary and the airport of Windsor coming from and destined to points outside the territory of Canada until December 31, 2008. These authorizations are subject to the following terms and conditions:

1. Atlantic Airlines shall report to the Agency all traffic carried to and from the international airports of Mirabel, Hamilton, Gander, Winnipeg, Edmonton and Calgary and the airport of Windsor in accordance with the Agency's reporting requirements. If no flights are operated, a nil report is to be submitted.
2. The in-transit cargo be held in bond pending its onward transportation to its destination.
3. Atlantic Airlines must have sufficient liability insurance coverage in respect of the service to be provided to satisfy the minimum requirements of the ATR.

Atlantic Airlines is reminded that it must comply with the applicable requirements of all legislative acts or regulations, including those of Transport Canada. With respect to the authorizations set out above, Atlantic Airlines must hold a valid Canadian aviation document.

Atlantic Airlines is reminded to contact Transport Canada for compliance with the requirements related to security and the carriage of dangerous goods and the local airport authority for permission to operate at specific times or for the use of any airport facility. Also, Atlantic Airlines is reminded to contact the Canada Border Services Agency regarding the availability of clearance services and hours of operation of the port of entry.

A copy of this Decision shall be kept on board the aircraft and made available for inspection by the Canada Border Services Agency for each flight operated pursuant to these authorizations.

Any similar application for subsequent authorizations should be filed with the Agency in writing by November 17, 2008 and should include a copy of Atlantic Airlines' valid certificate of insurance and evidence that it continues to hold a valid Canadian aviation document, if not already on file, and any information pertaining to changes in Atlantic Airlines' corporate structure.

1. It should be noted that pursuant to section 272 of the National Transportation Act, 1987 any power, duty or function vested in or exercisable by the Committee under directive from the Minister of Transport shall or may be exercised by the National Transportation Agency.↑

Members

• Geoffrey C. Hare
• J. Mark MacKeigan