TARIFFS

1. The tariffs to be applied by the designated airlines of one Party for services covered by this

Agreement shall be established at reasonable levels, due regard being paid to all relevant factors,

including the interests of users, costs of operation, characteristics of service, reasonable profit,

tariffs of other airlines and other commercial considerations in the marketplace.

2. The Parties may intervene to disapprove tariffs which may be objectionable. Intervention by

the Parties shall be limited to:

(a) prevention of unreasonably discriminatory tariffs or practices;

(b) protection of consumers from tariffs that are unreasonably high or restrictive due to the abuse

of a dominant position; and

(c) protection of airlines from prices that are artificially low due to direct or indirect government

subsidy or support.

3. Each Party may require, on a non-discriminatory basis, notification to or filing with its aeronautical

authorities of tariffs to be charged to or from its territory operated by airlines of the other Party. Such

notification or filing by the airlines of both Parties may be required at least thirty (30) days before the

proposed date of effectiveness. In individual cases, notification or filing may be permitted on shorter

notice than normally required.

4. Neither Party shall take unilateral action to prevent the inauguration or continuation of a tariff

proposed to be charged or charged by (a) an airline of either Party for international air

transportation between the territories of the Parties; or (b) an airline of one Party for international

air transportation between the territories of the other Party and any other country. If either Party

believes that any such tariff is inconsistent with the considerations set forth in paragraph 2 of this

Article, it shall request consultations and notify the other Party of the reasons for its dissatisfaction.

These consultations shall be held in accordance with Article 18 of this Agreement. The Parties

shall cooperate in securing information necessary for a reasoned resolution of the issue. If the

Parties reach agreement, each Party shall use its best efforts to put that agreement into effect.

Without such mutual agreement, the tariff shall go into effect or continue in effect.

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