3. Routing, Capacity and Traffic Rights

With effect from the beginning of IATA Scheduling Season for Northern Summer 2010

(“IATA Summer 2010”):

The designated airlines of the Parties shall be allowed to exercise unlimited

third, fourth and fifth freedom traffic rights, on the specified routes, with

unlimited frequencies and capacities, and with any aircraft type.

Prior to IATA Summer 2010:

(i) With respect to all-cargo services, the designated airlines of each Party shall be

allowed to exercise full third, fourth and fifth freedom traffic rights, on the specified

routes, with unlimited frequencies and capacities, and with any aircraft type.

(ii) With respect to passenger services, the designated airlines of each Party shall

be allowed to exercise:

(a) full third and fourth freedom traffic rights, on the specified routes, with

unlimited frequencies and capacities, and with any aircraft type.

(b) full fifth freedom traffic rights on the specified routes, with unlimited

frequencies and capacities, and with any aircraft type, on sectors which

are not served by the airlines of the other Party. Should the airlines of

the other Party commence operations on the said sector(s), the Parties

shall consult to discuss the exercise of 5th freedom traffic rights on the

said sector(s). Such consultations may be conducted through

correspondence.

4. Cooperative Marketing Arrangements

In operating or holding out the agreed services on the specified routes, the airlines of

one Party may enter into co-operative marketing arrangements such as code-sharing

with:

an airline or airlines of either Party; and

an airline or airlines of a third country, provided that such third country

authorizes or allows comparable arrangements between the airlines of

the other Party and other airlines on services to, from and via such third

country;

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