3458 Right to embark, etc. Rates. IATA. Filing of proposed rates. INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [61 STAT. - that the right of the air carriers of either country to embark and to disembark at points in the territory of the other country international traffic destined for or coming from third countries at a point or points specified in the Schedules attached, shall be applied in accordance with the general principles or orderly development to which both govern- ments subscribe and shall be subject to the general principle that capac- ity shall be related. (I) to traffic requirements between the country of origin and the countries of destination, (2) to the requirements of through airline operation, and (3) to the traffic requirements of the area through which the airline passes after taking account of local and regional services. SECTION V (a) The determination of rates in accordance with the following paragraphs shall be made at reasonable levels, due regard being paid to all relevant factors, such as cost of operation, reasonable profit, and the rates charged by any other carriers, as well as the characteristics of each service. (b) The rates to be charged by the air carriers of either Contracting Party between the points in the territoty of the United States and points in French territory referred to in this Annex shall, consistent with the provisions of the present Agreement and its Annex, be subject to the approval of the aeronautical authorities of the Contracting Parties, who shall act in accordance with their obligations under the present Annex, within the limits of their legal powers. (c) The Civil Aeronautics Board of the United States having approved the traffic conference machinery of the International Air Transport Association (Hereinafter called "IATA"), for a period of one year beginning in February I946, any rate agreements concluded through this machinery during this period and involving United States air carriers will be subject to approval by the Board. (d) Any rate proposed by the air carrier or carriers of either Contracting Party shall be filed with the aeronautical authorities of both Contracting Parties at least thirty days before the proposed date of introduction; provided that this period of thirty days may be reduced in particular cases if so agreed by the aeronautical authorities of both Contracting Parties. (e) The Contracting Parties agree that the procedure described in paragraphs (f), (g) and (h) of this Section shall apply (I) if during the period of the Civil Aeronautics Board's ap- proval of the IATA traffic conference machinery, either any specific rate agreement is not approved within a reasonable time by either Contracting Party or a con- ference of IATA is unable to agree on a rate, or
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