Decision No. 86-A-1989

February 13, 1989

File No. M5050-F1

Renown Aviation Inc. (hereinafter the applicant) has applied to the National Transportation Agency for the exemption set out in the title.

Under Licence No. 880019, the applicant is authorized to operate a Class 9-4 Charter non-scheduled international service to transport traffic between points in Canada and points in the United States of America using aircraft in excess of 35,000 pounds maximum certificated take-off weight.

By Order No. 1988-A-369 dated May 10, 1988, the applicant was granted an exemption pursuant to paragraph 70(1)(c) of the National Transportation Act, 1987, S.C. 1987, c. 34 from the requirements of paragraph 20(a) of the Air Transportation Regulations, for the chartering of its Group E, Convair 240 aircraft to Federal Express Corp. for the carriage of transborder courier traffic between the Canadian point Calgary, Alberta and the U.S. point Great Falls, Montana, on an interim ex parte basis, pursuant to subsection 40(3) of the National Transportation Act, 1987, until such time as the Agency heard and rendered a decision on its application.

By letter dated May 26, 1988, which enclosed a copy of Order No. 1988-A-369, all Licensees that operate Class 9-4 Charter non-scheduled international services using fixed wing aircraft in Group E or larger were advised of the interim ex parte order and were given notice of the application. No interventions opposing the granting of the application were filed with the Agency.

The Agency has considered the application and the material in support thereof and notes that the application was unopposed.

The Agency notes the particular and unique requirements necessary to satisfy a single customer such as Federal Express Corp. as well as that such requirements are not compatible with obligations under a scheduled international licence to serve the public in general and serve points in accordance with a service schedule at a toll per unit of traffic. Accordingly, the Agency is of the opinion that compliance by the applicant with the requirements of paragraph 20(a) of the Air Transportation Regulations for the chartering of its Group E aircraft to Federal Express Corp. is unnecessary, undesirable and impractical. The application is hereby approved.

Renown Aviation Inc. is hereby exempted from complying with the requirements set out in paragraph 20(a) of the Air Transportation Regulations until May 10, 1989, subject to the following condition:

Renown Aviation Inc. is required to file not less than two working days prior to the commencement of the flight or series of flights charter documentation for all Canadian originating departures, as set out in Division III of the Air Transportation Regulations, as applicable, and shall notify the Agency of all U.S. originating flights at least 48 hours prior to departure pursuant to the Canada U.S. Non-scheduled Air Service Agreement.

Should the applicant require an exemption from paragraph 20(a) of the Air Transportation Regulations for a longer period of time, an application must be filed with the Agency no later than March 10, 1989.