Decision No. 673-A-1999

"Varig", S.A. (Viaçao Aérea Rio-Grandense) Varig Brazilian Airlines (hereinafter Varig) has applied to the Canadian Transportation Agency (hereinafter the Agency) for the authorization set out in the title. The application was received on November 15, 1999.

In accordance with Canadian Government policy announced on November 2, 1987, the Minister of Transport directed the Air Transport Committee (hereinafter the Committee) of the Canadian Transport Commission (hereinafter the CTC) to consider applications from air carriers for authorization to carry international cargo shipments to and from Hamilton Airport coming from and destined to points outside the territory of Canada. The Minister of Transport further directed the Committee to make any authorization subject to the carriers' obligation to: 1) report traffic carried to and from Hamilton Airport; and 2) have sufficient insurance to satisfy the minimum requirements of the Air Carrier Regulations, C.R.C., 1978, c. 3.

By Decision No. 638-A-1998 dated December 29, 1998, the Agency authorized Varig to carry international bonded cargo shipments to/from Hamilton Airport coming from and destined to points outside the territory of Canada until December 31, 1999.

Pursuant to subsection 7(1) of the Canada Transportation Act, S.C. 1996, c. 10 (hereinafter the CTA), the National Transportation Agency (hereinafter the NTA) is continued as the Agency. In addition, pursuant to subsection 272(2) of the National Transportation Act, 1987, R.S.C., c. 28 (3rd Supp.) (hereinafter the NTA, 1987) and section 187 of the CTA, any power, duty or function vested in or exercisable by the CTC and subsequently the NTA under a direction from the Minister of Transport is a power, duty or function vested in or exercisable by the Agency.

The Agency has considered the application and is satisfied that Varig holds a valid Canadian aviation document and has prescribed liability insurance coverage in respect of the service to be provided. Accordingly, pursuant to the direction of the Minister of Transport, subsection 272(2) of the NTA, 1987 and section 187 of the CTA, the Agency hereby renews Varig's authorization to carry international bonded cargo shipments to and from Hamilton Airport coming from and destined to points outside the territory of Canada until December 31, 2000. This authorization is subject to the following term and condition:

1. Varig shall report to the Aviation Statistics Centre all traffic carried to and from Hamilton Airport in accordance with the Agency's reporting requirements.

Varig must comply with the applicable requirements of all legislative acts or regulations, including those of Transport Canada.

Varig is reminded to contact Transport Canada or the local airport authority regarding permission either to operate at specific times or to use any airport facility. Regarding the availability of clearance services, Varig is reminded to contact Revenue Canada.

This authorization is subject to the continuing requirements that Varig hold a valid Canadian aviation document issued by the Minister of Transport and have sufficient liability insurance coverage in respect of the service to be provided to satisfy the minimum requirements of the Air Transportation Regulations, SOR/88-58, as amended.

A copy of this authorization shall be kept on board the aircraft and made available for inspection by Revenue Canada for each flight operated.

Any application for an extension of this authorization should be filed with the Agency in writing by November 15, 2000 and should include a copy of Varig's 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 Varig's corporate structure.