INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [54 STAT. The American Minister (Roper) to the CanadianSecretary of State for External Affairs (Mackenzie King) No. 101 LEGATION OF THE UNITED STATES OF AMERICA OTTAWA, CANADA. August 18, 1939. SIR: Agreement by I have the honor to acknowledge the receipt of your note of August U.S.A. 18, 1939, in which you communicated to me the terms of a reciprocal arrangement between the United States of America and Canada relating to air transport services, as understood by you to have been agreed to in negotiations, now terminated, between the Government of the United States of America and the Government of Canada. The terms of this arrangement which you have communicated to me are as follows: ARRANGEMENT BETWEEN THE UNITED STATES OF AMERICA AND CANADA RELATING TO AIR TRANSPORT SERVICES ARTICLE I Having in mind the desirability of mutually stimulating and pro- moting the sound economic development of air transportation between the United States and Canada, the Parties to this Arrangement agree that the establishment and development of air transport services be- tween their respective territories by air carrier enterprises holding proper authorizations from their respective Governments, shall be governed by the following provisions. ARTICLE II The present Arrangement shall apply to continental United States of America, including Alaska, and to Canada, including their terri- torial waters. The privileges accorded by this Arrangement shall be available only to air carrier enterprises bona fide owned and controlled by nationals of the respective Parties. ARTICLE III Each of the Parties agrees, subject to compliance with its laws and regulations, to grant to air carrier enterprises of the other Party permits for non-stop services through the air space over its territory between two points within the territory of the other Party; provided however that inland non-stop services between the United States and Alaska shall be the subject of a separate understanding. Each Party further agrees, subject to compliance with its laws and regulations and on a basis of reciprocity, to grant operating rights to the air carrier enterprises of the other Party for the operation of international services between a place in the territory of one Party and a place in the territory of the other Party. 1808
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