Decision No. 374-A-2016

December 20, 2016
APPLICATION by Air Canada also carrying on business as Air Canada rouge and as Air Canada Cargo (Air Canada) pursuant to section 77 of the Canada Transportation Act, S.C., 1996, c.10, as amended (CTA).
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Air Canada has applied to the Canadian Transportation Agency (Agency) for an approval to permit it to offer an additional capacity of 1,200 seats per week while operating its scheduled international service between Canada and Argentina, for a period of 18 months and 14 days, so as to coincide with the renewal of its temporary licenses (June 30, 2017) or alternatively for a period of one year.

Air Canada is licensed to operate a scheduled international service, large aircraft, in accordance with the Commercial Air Transport Agreement between the Government of Canada and the Government of the Argentine Republic, signed on May 8, 1979 (Agreement).

Under the terms of the Agreement, Air Canada may offer up to 2,000 seats per week in each direction. In addition, under the terms of the Agreement, the aeronautical authorities may approve temporary increases in capacity agreed to between the designated air carriers. In this case, Air Canada is the only carrier designated under the Agreement.

The Agency notes that the Agreement provides for temporary increases in capacity. Accordingly, as the aeronautical authority for Canada, the Agency, pursuant to section 77 of the CTA, approves the application by Air Canada to provide an additional capacity, by offering 1,200 additional seats per week between Canada and Argentina, for a period of one year from the date of this Decision.

This approval does not constitute a change in the capacity entitlement set out in the Agreement.


P. Paul Fitzgerald
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