(iv) the airline has its principal place of business in the territory of the European Union Member

State from which it has received its valid operating license;

(b) in the case of an airline designated by the Republic of Korea:

(i) it is established in the territory of the Republic of Korea and is licensed in accordance with

the law of the Republic of Korea; and

(ii) the Republic of Korea has and maintains effective regulatory control of the airline; and

(iii) the airline is owned, directly or through majority ownership, and is effectively controlled by

the Republic of Korea, nationals of the Republic of Korea, or both, and the airline has a

valid operating license issued by the Republic of Korea;

(c) the designated airline is qualified to meet the conditions prescribed under the laws and

regulations normally applied to the operation of international air services by the Party considering

the application or applications;

(d) the Party designating the airline maintains and implements the standards relating to safety

and security set out in Articles 14 and 15 of this Agreement.

3. When an airline has been so designated and authorized, it may begin to operate the agreed

services, provided that the airline complies with the applicable provisions of this Agreement.

ARTICLE 4

REFUSAL, REVOCATION, SUSPENSION AND LIMITATION OF RIGHTS

1. Each Party shall have the right to refuse, revoke, suspend, limit or impose conditions on the

operating authorizations or technical permissions of an airline designated by the other Party

where:

(a) in the case of an airline designated by the Portuguese Republic:

II SÉRIE-A — NÚMERO 88_________________________________________________________________________________________________________________

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