Decision No. 699-A-2002

December 30, 2002

File No. M4815-2-1/C180Docket No. 021379

Cargolux Airlines International, S.A. (hereinafter Cargolux) has applied to the Canadian Transportation Agency (hereinafter the Agency) for the authorization set out in the title. The application was received on November 14, 2002.

In accordance with Canadian Government policy announced on August 6, 1982, the Minister of Transport directed the Air Transport Committee of the Canadian Transport Commission (hereinafter the Committee) to consider applications from air carriers for authorization to carry international cargo shipments to and from Mirabel International 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 Mirabel International Airport; and 2) have sufficient insurance to satisfy the minimum requirements of the Air Carrier Regulations, C.R.C., 1978, c. 3. The in transit cargo would be held in bond pending its onward transportation to its destination.

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, as applicable, 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.

By Decision No. 675-A-2001 dated December 28, 2001, the Agency authorized Cargolux to carry international bonded cargo shipments to/from Mirabel International Airport coming from and destined to points outside the territory of Canada until December 31, 2002.

The Agency notes that Cargolux has submitted the required statistics in respect of flights operated pursuant to Decision No. 675-A-2001 dated December 28, 2001.

The Agency has considered the application and is satisfied that Cargolux 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 authorizes Cargolux to carry international bonded cargo shipments to and from Mirabel International Airport coming from and destined to points outside the territory of Canada until December 31, 2003. This authorization is subject to the following term and condition:

Cargolux shall report to the Agency all traffic carried to and from Mirabel International Airport in accordance with the Agency's reporting requirements. If no flights are operated, a nil report is to be submitted.

Cargolux must comply with the applicable requirements of all legislative acts or regulations, including those of Transport Canada. The in transit cargo would be held in bond pending its onward transportation to its destination.

Cargolux 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 and for compliance with the security requirements of Transport Canada. Regarding the availability of clearance services, Cargolux is reminded to contact the Canada Customs and Revenue Agency.

This authorization is subject to the continuing requirements that Cargolux 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 Decision shall be kept on board the aircraft and made available for inspection by Canada Customs and Revenue Agency for each flight operated.

Any application for an extension of this authorization should be filed with the Agency in writing by November 15, 2003 and should include a copy of Cargolux'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 Cargolux's corporate structure.