Agency Rulings

Decision No. 23-A-2000

January 12, 2000

APPLICATION by Sata Internacional - Serviços Transportes Aéreos, S.A. pursuant to subsection 73(2) of the Canada Transportation Act, S.C., 1996, c. 10, for a licence to operate a non-scheduled international service to transport traffic on a charter basis between points in Portugal and points in Canada.

File No. M4212/S447-2

Docket No. 991066

Sata Internacional - Serviços Transportes Aéreos, S.A. (hereinafter the applicant) has applied to the Canadian Transportation Agency (hereinafter the Agency) for a licence to operate the service set out in the title. The application was received on October 18, 1999 and was complete and ready for processing on January 12, 2000.

By Order No. 1999-A-471 dated October 29, 1999, the Agency exempted the applicant from the application of section 59 of the CTA, thereby permitting the air carrier to sell, cause to be sold, or publicly offer for sale a non-scheduled international service between Toronto and Ponta Delgada, Azores effective January 15, 2000, without holding the licence authorizing service between these points subject to certain conditions as established in the said Order.

The Agency has reviewed the application and is satisfied that the applicant meets the requirements of subsection 73(2) of the CTA.

Accordingly, the Agency will issue to the applicant a licence authorizing it to operate a non-scheduled international service to transport traffic on charter basis between points in Portugal and points in Canada.

Pursuant to subsection 74(1) of the CTA, the Agency deems it appropriate to include the terms and conditions set out below in the licence to be issued pursuant to this Decision.

The licence to be issued pursuant to this Decision shall be subject, in addition to the conditions prescribed by the Air Transportation Regulations, SOR/88-58, as amended (hereinafter the ATR), to the requirements to hold a Canadian aviation document issued by the Minister of Transport and to have prescribed liability insurance coverage as set out in section 7 of the ATR, and to the following terms and conditions to which the licence is made subject pursuant to subsection 74(1) of the CTA:

1. The Licensee is authorized to transport traffic on a charter basis between points in Portugal and points in Canada.
2. The Licensee is prohibited from carrying local traffic between points in Canada.
3. During any operating year (the period from April 1st in any year to March 31st of the year immediately following), the Licensee may operate out of Canada six (6) charter flights carrying fourth freedom Canadian-originating charter passengers without bringing any third freedom charter passengers from the Licensee's home country to Canada, but thereafter shall not transport out of Canada to the Licensee's home country more than three (3) fourth freedom Canadian-originating charter flight passengers for every two (2) third freedom charter flight passengers originated in the Licensee's home country which it transported to Canada. For the purpose of this condition such charter passengers must travel on a round-trip basis and the outward and return flights shall be considered as one passenger trip with the originating outbound flight of the passenger determining the status of fourth or third freedom.