Decision No. 83-A-2008

February 29, 2008

APPLICATION by Flair Airlines Ltd., on behalf of itself and Air Transat A.T. Inc. carrying on business as Air Transat, pursuant to section 60 of the Canada Transportation Act, S.C., 1996, c. 10, as amended and section 8.2 of the Air Transportation Regulations, SOR/88-58, as amended, for an approval to permit Air Transat A.T. Inc. carrying on business as Air Transat to provide its scheduled international service between Toronto, Ontario, Canada and Cancun, Mexico using aircraft and flight crew provided by Flair Airlines Ltd., from February 29 to March 16, 2008.

File No. M4835-16-8

Flair Airlines, Ltd. (Flair), on behalf of itself and Air Transat A.T. Inc. carrying on business as Air Transat (Air Transat), has applied to the Canadian Transportation Agency (the Agency) for the approval set out in the title. The application was received on February 27, 2008.

Under Licence No. 030163, Air Transat is authorized to operate a scheduled international service, large aircraft, in accordance with the Air Transport Agreement between the Government of Canada and the Government of the United Mexican States signed on December 21, 1961, as amended (the Agreement).

The Agency notes that 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 (the ATR), and therefore an exemption from the application of this provision is necessary. The Agency is of the opinion that compliance with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, pursuant to paragraph 80(l)(c) of the Canada Transportation Act (the CTA), the Agency hereby orders that Flair be exempt from the application of subsection 8.2(2) of the ATR.

The Agency has reviewed and considered the application and the material filed in support thereof and is satisfied that it meets the remaining requirements of section 8.2 of the ATR.

Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the CTA and section 8.2 of the ATR, hereby approves the use by Air Transat of aircraft and flight crew provided by Flair, and the provision by Flair of such aircraft and flight crew to Air Transat, in order to permit Air Transat to provide its scheduled international service between Toronto and Cancun using aircraft and flight crew provided by Flair, from February 29 to March 16, 2008, subject to the following conditions:

1. Air Transat shall continue to hold the required licence authority.
2. Commercial control of the flights shall be maintained by Air Transat. Flair shall maintain operational control of the flights and shall receive payment based on the rental of aircraft and crew and not on the basis of the volume of traffic carried or other revenue-sharing formula.

Air Transat and Flair are reminded to advise the Agency in advance of any changes to the information provided in support of the subject application.

Air Transat and Flair are further reminded of the continuing requirement to comply with sections 8.2 and 8.5 of the ATR.

The approval granted herein does not exempt Air Transat and Flair from the requirements of other legislative acts or regulations, including those of Transport Canada.

Members

• Raymon J. Kaduck
• J. Mark MacKeigan