BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

Notice of IATA Traffic Conference

Actions Tentatively Exempted  

From Filing for Approval

Docket OST‐2012‐0058

NOTICE OF TIER 1 AGREEMENTS FILING

BY THE

INTERNATIONAL AIR TRANSPORT ASSOCIATION

26 March 2013

  

Communications with respect to this

Document should be sent to  

Douglas Lavin  

Regional Vice President – North America  

International Air Transport Association

1201 F Street, NW, Suite 650  

Washington, DC 20004  

(202) 628‐9292
Summary DOCKET:  DOT‐OST‐2012‐0058  DOT ORDER:  None Requested

Date: 26 March 2013

Filing fee/IATA Acct: Waived by Order 2012‐4‐18, Appendix A, Section D

US/UST involved Yes

Intended

effective/implementation  

date:

1 July 2013  

Resolution

Original Memos  

Respective Docket Numbers

Resolution 011 ‐ PTC COMP Memo 1329 / 25Jul06 DN: 2006‐25789

Resolution 011b ‐ PTC COMP  Memo 1329 / 25Jul06 DN: 2006‐25789

                                 PTC COMP Memo 1547 / 18Sep09 DN: 2008‐0304

Resolution 012 ‐ PTC COMP Memo 1330 / 25Jul06 DN: 2006‐25790

                               PTC COMP Memo 1547 / 18Sep09 DN: 2008‐0304

                               PTC COMP Memo 1508 / 21Nov08 DN: 2008‐0304

                                PTC COMP Memo 1511 / 21Nov08 DN: 2008‐0304

                                PTC COMP Memo 1595 / 02Nov10 DN: 2010‐0037

Resolution 012c ‐ PTC COMP Memo 1330 / 25Jul06 DN: 2006‐25790

                                 PTC COMP Memo 1532 / 03Jul09 DN: 2008‐0304

Resolution 017a ‐ PTC COMP Memo 1268 / 23Aug05 DN: 2005‐22352

                                 PTC COMP Memo 1596 / 02Nov10 DN: 2011‐0038

                                 PTC COMP Memo 1547 / 18Sep09 DN: 2008‐0304  

Resolution 017e – PTC COMP Memo 1268 / 23Aug05 DN: 2005‐22352

                                  PTC COMP Memo 1547 / 18Sep09 DN: 2008‐0304
NOTICE OF TIER 1 AGREEMENTS FILING

Pursuant to statements submitted by Member airlines of the International Air Transport

Association (IATA), the undersigned has been constituted to be their attorney‐in‐fact for filing

with the Department of Transportation copies of agreements adopted by the IATA Traffic

Conferences.

On their behalf, and pursuant to the procedures specified in Order 2012‐4‐18 (13 April

2012), I am filing with the Department, in Docket OST‐2012‐0058, this Notice, the subject

agreements and supporting documentation.  These agreements are Tier 1 agreements

tentatively exempted by Order 2012‐4‐18 from Condition #2 to the Department’s approval of

the Provisions for the Conduct of the IATA Traffic Conferences, which condition requires pre‐

implementation Department review.  The intended effective date of the agreements is 1 August

2012.  

The subject agreements amend or establish Resolutions and/or Recommended Practices

that do not address subject areas which the Department has indicated it still chooses to review

under Condition #2.  The text of the agreements and other conference documentation sent to

airline Members of IATA accompany this Notice.   The cover pages of the documentation clearly

identify each affected Resolution and/or Recommended Practice and show whether the subject

agreements are amendments or new agreements.  Other pages provide the text of each subject

agreement. Where an affected Resolution or Recommended Practice has previously been

exempted from Condition #2 by Department action, the cover pages include the appropriate
- 2 - 

docket and order number.  The cover pages include a summary to explain the nature and

purpose of the subject amendments and/or agreements.

Respectfully submitted,

  /s/  Douglas Lavin    

Douglas Lavin

Regional Vice President – North America

International Air Transport Association

Attorney‐In‐Fact
- 3 - 

CERTIFICATE OF SERVICE

A copy of this notice has been served this day by first class or priority mail on the

following person:

Chief, Transportation, Energy & Agriculture Section

Antitrust Division

Department of Justice  

Washington, D.C. 20530

A copy of this notice has been sent this day by email to John Kiser (John.Kiser@dot.gov)

and to Della Davis (Della.Davis@dot.gov) of the Department of Transportation.  

  /s/ Douglas Lavin    

Douglas Lavin

26 March 2013

Date Served
RESOLUTION 011 MILEAGES AND ROUTES FOR TARIFF PURPOSES (ATTACHMENT A)

Effective 1 May 2013

(Tier 1)

Content Explanations/Notes Origi

SHORTEST OPERATED MILEAGES 

SOMs between the following TC Areas/Countries must be constructed with the shortest operated mileages over the specified points 

Adopted in September 2009 for

effective 1 April 2010, changes made

to clarify the technical application of

routing RU

ROUTING BETWEEN AND 1329 

GLOBAL INDICATOR OVER 

n) Russia Russia (in Europe) South East Asia except 

China (excluding Hong Kong SAR and Macao SAR), Kazakhstan, Kyrgyzstan, Mongolia, Russia in Asia, Tajikistan, Turkmenistan, Uzbekistan),

South West Pacific 

RU Moscow 

and Japan 
RESOLUTION 011b GLOBAL INDICATORS

Effective 1 May 2013

(Tier 1)

Content Explanations/Notes Origi

1) in applying Global Indicators (GI) the following shall apply  a) if a sector can attract more than one Global Indicator, then the routing of the 

flights must be used to determine the specific Global Indicator to be applied e.g. SIN-NYC --- options via PA or via AT. 

 b) the comparison of the itinerary of a fare component with a Global Indicator 

shall be based on the ticketed points within the fare component 

 c) fares may only be used for the Global Indicator for which they are 

established. The itinerary within a fare component will attract a Global 

Indicator as follows 

Fare Component GI Routing 

Restriction 

Wholly Within 

TC1 

 WH 

Wholly Within 

TC2 

 EH 

Wholly Within 

TC3 

 EH 

Between TC1 and TC2 via the 

Atlantic 

AT 

Between TC1 (except Argentina, Brazil, Chile, Paraguay, Uruguay) 

and TC3 via the 

Atlantic 

AT 

Between Argentina, Brazil, Chile, 

and TC3 (except 

South East Asia/South 

AT 

Adopted in July 2006 for effective 1

April 2007, changes made to clarify

intent that the fare componentshould be wholly within the area and

not via other areas

1329 
Paraguay, 

Uruguay 

Asian Subcontinent, Korea (Dem. People’s Rep. of), Korea (Rep. of) via the Atlantic) 

Between Argentina, Brazil, Chile, Paraguay, Uruguay 

and South East 

Asia/South Asian Subcontinent, Korea (Dem. People’s Rep. of), Korea (Rep. of) via the Atlantic 

AT if travel is via 

Central Africa, Southern Africa Indian Ocean Islands then travel must also be via a point(s) in TC2 outside Central Africa, Southern Africa, Indian Ocean Islands 

Between Argentina, Brazil, Chile, Paraguay, Uruguay 

and South East Asia, 

South Asian Subcontinent, Korea (Dem. People’s Rep. of), Korea (Rep. of) via the Atlantic 

SA only via point(s) in 

South East Asia, South Asian Subcontinent, Korea (Dem. People’s Rep. of), Korea (Rep. of), South Atlantic area, 

Central Africa, Southern Africa, Indian Ocean Islands only or via 

direct transatlantic

services 

Between TC1 and TC3 (except 

South West Pacific) 

PA not applicable for 

routings on nonstop services between Canada / USA and South Asian Subcontinent 

Between TC1 (except Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, French Guiana, 

and South West 

Pacific 

PA not applicable for 

routings on nonstop services between Canada / USA and South Asian Subcontinent 

Adopted in September 2009 for

effective 1 April 2010, changes made

to clarify the technical application of

routing SA

1547(
Guyana, 

Panama, Paraguay, Peru, Suriname, Uruguay, Venezuela) Between Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, French Guiana, Guyana, Panama, Paraguay, Peru, Suriname, Uruguay, Venezuela 

and South West 

Pacific 

PA not via North 

America / applicable for transpacific routings that do not qualify as PN 

Between TC1 (effective 01Jun12)

And TC2 via the 

Pacific 

PA via TC3 

Between Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, French Guiana, Guyana, Panama, Paraguay, Peru, Suriname, Uruguay, Venezuela 

and South West 

Pacific 

PN must be via North 

America but not via TC3 except South West Pacific 

Between TC2 (except Russia in Europe, Ukraine) 

and TC3 EH not for routings on 

non-stop services between Europe and Japan, Korea (Dem. People’s Rep. of), Korea (Rep. of) 

Between Russia (in Europe), Ukraine 

and TC3 EH not for routings on 

non-stop services between Europe and Japan, Korea 
(Dem. People’s 

Rep. of), Korea (Rep. of); only for routings via another country(ies) in Europe (except Russia in Europe, Ukraine) and/or Middle East 

Between TC2 (except Russia in Europe) 

and TC3 except 

China (excluding Hong Kong SAR and Macao SAR)

TS only for routings on 

non-stop services between Europe and Japan, Korea (Dem. People’s Rep. of), Korea (Rep. of) 

Between Russia (in Europe) 

and TC3 except 

China (excluding Hong Kong SAR and Macao SAR)

TS only for routings on 

non-stop services between Europe and Japan, Korea (Dem. People’s Rep. of), Korea (Rep. of); via another country(ies) in Europe 

Between Russia (in Europe) 

and TC3 except 

China (excluding Hong Kong SAR and Macao SAR), Kazakhstan, Kyrgyzstan, Mongolia, Russia in Asia, Tajikistan, Turkmenistan, Uzbekistan)

RU only for routings on 

non-stop services between Russia (in Europe) and Japan, Korea (Dem. People’s Rep. of), Korea (Rep. of); not 

via another country(ies) in Europe 

Between Russia (in Europe), Ukraine 

and TC3 FE only for routings on 

non-stop services between Russia (in Europe), Ukraine and TC3 other than Japan, Korea (Dem. People’s Rep. of), 

Adopted in September 2009 for

effective 1 April 2010, changes made

to clarify the technical application of

routings TS and RU

1547(
Korea (Rep. of) 

Between TC2 and TC3 via the 

Atlantic and Pacific 

AP 

2) if there is no fare with the Global Indicator identified by the routing travelled, the 

fare shall be constructed in accordance with Resolution 017a Section A) Paragraph 6) (the lowest combination principle) 

 Example  Routing: ACC-FRA-MOW-TYO-MNL  Through fare: based on fare component ACC-MNL, EH or TS: the 

itinerary of the fare component dictates that a TS fare 

should be applied 

 Fare Construction: if there is no through TS fare then the fare must be 

broken at FRA or MOW or TYO (if a TS fare exists) whichever gives the lower amount 

3) for purposes of this Resolution, travel via North and Central Pacific refers to 

TC31 travel via a point(s) in TC3 excluding South West Pacific 

 Example 

 CCS-ATL-LAX-SYD is considered a PN route not via North and Central Pacific 

4) IATA is authorised to update this Resolution as and when required based on 

agreements for fare specification by individual conference meetings 
RESOLUTION 012 GLOSSARY OF TERMS

Effective 1 May 2013

(Tier 1)

Content Explanations/Notes Origin

TERM DEFINITION Exchange The issuance of a new ticket for a totally unused ticket

necessitated by a change to the carrier, flight, date, classof service or sector of the first flight coupon of the ticket

Rebooking change of reservation and/or other changes which do not

require ticket reissuance

a change to the reservations data without a change of

ticketed points

Reissue The issuance of a revised ticket necessitated by a

change to other than the first flight coupon of the ticket ora change to other than the carrier, flight, date or sector ofthe first flight coupon of a ticket.

Rerouting change of routing and/or other changes which require

ticket reissuance

any change to ticketed points

Other Charges Charges such as taxes/fees/charges, flight related

services, merchandising related service, ticket relatedservices etc., excluding excess baggage charges 

Related Charges fare related charges such as cancellation penalties, nonrefundable amounts, rebooking and rerouting charges, 

refund/reissue overrides, stopover charges, weekend 

surcharges etc., and excess baggage charges 

Amended definitions of ‘Rebooking’

and ‘Rerouting’ for clarity and to be

in line with Resolution 017f Exchange,

Reissues and Refunds.

Introduced definitions of ‘Exchange’and ‘Reissue’ to clearly distinct the

processes.Added ‘class of service’ to the

definition of ‘Exchange’ for further

technical clarity

Amended definitions for ‘Other

Charges’ and ‘Related Charges’ to

align with definitions in the Passenger

Services Conference Recommended

Practice (RP) 1790 Additional Services

to accommodate the newfunctionality

1330(1330(1547(1508(
TERM DEFINITION 

Status fares fares that are only available to designated categories

of passengers after meeting eligibility requirements

accompanied by passenger type description

Deadline reservations: the minimum/maximum number of 

days/months before the day of

 departure by which reservations must 

be confirmed

ticketing: the minimum/maximum number of 

days/months before the day of departure or the minimum/maximum number of hours/days after reservation by which payment and ticketing must be completed; issue date of a PTA constitutes the ticketing date

Notes 1) before departure: the definition refers to the first 

flight of the pricing unit 

2) after departure: the definition refers to subsequent 

flights of the pricing unit 

3) for the purpose of determining a deadline

expressed in months it shall mean a period of time

before a given date in one month to the

corresponding date in a previous month

Exceptions

Where the corresponding date does not exist in ashorter, earlier month, then the month(s) shall

mean from a given date in one month to the last

day of such shorter earlier month. For example:

Departure Date = 30 March

One month before departure = 28/29 FebruaryWhen the 'given date' is the last day in one month,

then the corresponding date in an earlier month

Introduced definition for ‘Status

Fares’ to accommodate the split of

the HIP application for Normal and

Special fares

Examples added to the definition of

‘Deadline’ for clarity

1511(1547(
must be the same date, with the exception of

earlier months that do not have that same date. For

example:

Departure Date = 31 March

One month before departure = 28/29 FebruaryDeparture Date = 28/29 February

One month before departure = 28/29 January

Departure Date = 30 April

Three months before departure = 30 January

Departure Date = 31 July

One month before departure = 30 June

Budget Fare 

(for travel wholly 

within Europe)

special economy restricted fares

Normal Fare a fare established in the Resolution 040/050/060 

series for intermediate/business, first or economy class service and any other fare denominated and published as a normal fare (e.g. C2, F2, Y2, YIF, CIF, FIF). Children's fares and infants' fares which are established as a percentage of the fares referred to above are also considered to be normal fares 

Local Currency Fares 

fares and related charges expressed in the currency of the country of commencement of travel; see Resolution 024a for those countries where the US Dollar or euro is used for local currency 

Country of Commencement of Transportation 

the country from which travel on the first international sector takes place. If the first international sector is a 

surface sector, priced as an embedded surface sector, such sector shall constitute “travel” for the purpose of establishing the Country of Commencement of Transportation

Excess Baggage 

Charge 

Charges applied to baggage checked in excess of free 

or paid baggage allowance

Definition of ‘Budget Fare’ deleted

with the cancellation of the fare in

light of introduction of Flex Fares

Definition ‘Normal Fares’ amended to

include fare basis codes for Flex Fares

Definition ‘Local Currency Fares’

amended to include ‘euro’ currency

fares applicationDefinition ‘Country of

Commencement of Transportation’

amended to clarify technicalprocessing of cases where the first

international sector of a journey is an

embedded surface sector

Definition ‘Excess Baggage Charges’

introduced for clarity

1547(1547(1547(1595(1595(

RESOLUTION 012c FARE CONSTRUCTION RULE ACRONYMS

Effective 1 xxx 2013 (to be determined with HIP package)

(Tier 1)

Content Explanations/Notes Origi

Acronym Name Resolution/Reference Fares Applicable Fare 

BHC One Way 

Back Haul check 

017c Paragraph 6) Normal

Special 

day of week, seasonality (including blackout dates), flight application, number of

stopovers, 

number of and

transfers

limitations, routing

validation

CTM Circle Trip 

Minimum check 

017b Section C, 3) Normal

Special 

day of week, seasonality (including blackout dates) 

EMA Extra 

Mileage Allowance 

017c Attachment C 

EMS Extra 

Mileage Surcharge 

017c Paragraph 2) a) i) 

HIP Higher 

Intermediate Point check 

017c Paragraph 5) a),

b)

NormalSpecial 

day of week, seasonality (including blackout dates), flight application, number of

stopovers, 

number of and

transfers

limitations, routing

validation

Clarified the application of stopover

and transfer rules for the ‘One Way

Back Haul check(BHC)’ and ‘Higher

Intermediate Point check (HIP)’

References to the HIP application

added for clarity

1330(1532(
MPM Maximum 

Permitted Mileage 

011 Section E 

RWM Round the 

World Minimum 

017b Section C, 3) same as CTM 

TPM Ticketed 

Point Mileage 

011 Section D 
RESOLUTION 017a CONSTRUCTION RULES FOR JOURNEYS

Effective 1 xxx 2013 (to be determined)

(Tier 1)

Content Explanations/Notes Origin

RESOLVED that, SECTION A - APPLICATION 1) a) the fare for a journey (excluding side trips assessed separately) shall be the 

lowest of 

 i) a single pricing unit for the journey, or  ii) any series of end-on combined pricing units which collectively comprise 

the journey being travelled 

 b) to determine the fares for Paragraph 1)a) above using normal fares refer to 

the flow chart attached hereto 

2) fares to be assessed for the total journey shall be the applicable fares effective 

on the date of departure on the first sector 

 a) if the routing of the journey is determined as fulfilling the definition of a round 

trip or circle trip or normal/special fare open jaw trip in Resolution 012, the 

pricing unit must be assessed as a round trip or circle trip or normal/special 

fare open jaw trip and must use half round trip fares; the use of one way fares 

is not permitted. For end-on combination of normal and special fares, completely separate the special and normal fare and assess the normal fare subjourney according to the flow chart Example: Travel LON-MIL-STO-LON 

 Construction LON-MIL 1⁄2 RT ) 

MIL-STO 1⁄2 RT ) 1 pricing unit LON-STO 1⁄2 RT ) 

• OW fares not permitted as travel is continuous, circuitous and returns to 

same point 

• CTM check LON-MIL RT and LON-STO RT • last fare component from country of origin 

 b) if there is a common point/country on the routing the journey may be broken 

into more than one pricing unit provided these must be for return subjourneys 

Removed reference to

‘normal/special fare open jaw trip’

1268(
using half round trip fares 

Example: Travel HEL-BKK-TYO-SEL-TYO-BKK-HEL  Construction could be  HEL-BKK RT 1 pricing unit 

BKK-TYO RT 1 pricing unit TYO-SEL RT 1 pricing unit 

 or  HEL-TYO RT 1 pricing unit 

TYO-SEL RT 1 pricing unit 

 or  HEL-BKK RT 1 pricing unit 

BKK-SEL RT 1 pricing unit 

 c) i) a return subjourney only occurs if the fare is broken more than once at the 

common point/country. The fare for travel between such fare break points must be priced as a round trip, circle trip or normal/special fare open jaw, as applicable, and must use half round trip fares Example: Travel NYC-LON-JNB-MAN-NYC 

 Construction could be  NYC-LON 1⁄2 RT ) 

NYC-MAN 1⁄2 RT ) 1 pricing unit LON-JNB 1⁄2 RT ) MAN-JNB 1⁄2 RT 1 pricing unit 

• both subjourneys fall within definition of OJ • (note that above journey could also be constructed as NYC-JNB RT) 

 ii) if travel between such fare break points would require the use of one way 

fares, this is not permitted Example: Travel NYC-LON-RIO-JNB-MAN-NYC 

 Construction could not be  NYC-LON 1⁄2 RT) ) 

NYC-MAN 1⁄2 RT) ) LON-RIO OW ) not possible

RIO-JNB OW ) MAN-JNB OW ) 

• travel LON-RIO-JNB-MAN is not within definition of OJ • use of OW fares not permitted • total journey falls within definition of CT and may only be constructed 

as a single pricing unit 

 d) fares shall be assessed in the direction of travel, except that the fare 
component into the country of pricing unit origin shall be in the direction from 

such country, i.e. not in the direction of travel Example 1: Travel FRA-MAD-JNB-MAD-FRA  Construction could be  FRA-JNB RT 1 pricing unit 

 or  FRA-MAD RT 1 pricing unit 

MAD-JNB RT 1 pricing unit 

 Total of 2 pricing units • component JNB-MAD must be in the direction from MAD to JNB 

Example 2: Travel SYD-SIN-BNE-SYD

 Construction could be

 SYD-SIN RT 1 pricing unit

 or

 SYD-SIN 1⁄2 RT )

BNE-SIN 1⁄2 RT ) 1 pricing unitBNE-SYD 1⁄2 RT )

 Total of 1 circle trip pricing units

• component SIN-BNE must be in the direction from BNE to SIN because 

the fare component is back in to country of pricing origin

3) a)if the routing of the journey is determined as fulfilling the definition of a 

normal/special fare open jaw trip in Resolution 012, the pricing unit shall be assessed as two half round trip fares, provided that, if there is a common point(s) or other points in either the country of origin or the country of turnaround or both, the fare may alternatively be assessed as a return subjourney from/to the common point(s) or other points and a one way subjourney(s) for the domestic sector(s)

 b) in the case of the alternative pricing option the one way pricing unit must be 

assessed using one way fares and the return subjourney must be assessed using half round trip fares

 c) fares shall be assessed in the direction of travel, except that the fare 

component into the country of pricing unit origin shall be in the direction from such country, i.e. not in the direction of travel

4 3)a) if the routing of a journey is determined as not fulfilling the definition of round 

 trip or circle trip or normal/special fare open jaw trip, it shall be assessed as 

 follows, subject to the routing 

 i) as a one way journey 

Added example to ensure clarity for

the direction of domestic fares

ticketed as a part of an international

journeyRemoved the entire paragraph for

‘normal/special fare open jaw trip’

Deleted reference to ‘normal/special

fare open jaw trip’ and added

assessment process using half round

trip fares

1596(1268(1268(
 ii) as a series of one way subjourneys 

 iii) as a round trip, or circle trip journey with the surface sector assumed 

flown 

 iv) as an open jaw using two half round trip fares (subject to Paragraph 2) d) 

above) 

 v) if there is a common point/country - as a mix of one way subjourney and a 

return subjourney (subject to Paragraphs 2)c) and 2)d) above) Example: Travel PAR-ATH 

 Construction PAR-ATH OW 1 pricing unit 

• does not qualify for RT, CT or normal fare OJ 

vi) if there is a common point/country - as a mix of side trip and a return

subjourney (subject to Paragraphs 2)c) and 2)d) above)

Example: Travel MAN-LON (/-PAR-LON) NCE-MAN

Construction MAN-NCE RT 1 pricing unit

 PAR-LON OW 1 pricing unit

• does not qualify for RT, CT or normal fare OJ. PAR-LON must be in the

direction PAR to LON as the side trip is considered separate.

Example: Travel PAR-BKK-VIE-ROM 

 Construction could be  PAR-BKK OW 1 pricing unit

BKK-VIE OW 1 pricing unitVIE-ROM OW 1 pricing unit

 or

 PAR-BKK OW 1 pricing unit

PAR BKK 1⁄2 RT)

BKK-ROM OW 1 pricing unit

ROM BKK 1⁄2 RT) 1 pricing unit

 or

 PAR-BKK 1⁄2 RT)

VIE-BKK 1⁄2 RT) 1 pricing unit

VIE-ROM OW 1 pricing unit

* no return to country of origin (Europe in accordance with Resolution

Added an example to to ensure clarity

for one way (OW) fare in a side trip

Clarified the correct application by

amending and adding examples. It

deals with the Europe should be

considered as one country for

Normal open jaw and thedirectionality of pricing units.

1596(1547(
017b Section D 1) a), fares in the direction of travel from the country

of origin

Example: Travel STO-NBO XXX SEZ-NBO-STO 

 Construction could be  STO-NBO OW 1⁄2 RT) 1 pricing unit

STO-SEZ OW 1⁄2 RT) 1 pricing unit 

 (subject to international turnaround surface sector

TPM check in accordance with Resolution 017b

Section D 1) c) iii) aa)

 or 

 STO-NBO RT 1 pricing unit 

SEZ-NBO OW 1 pricing unit 

 or  STO-SEZ RT 1 pricing unit 

Example 1: Travel KHH-TPE-SIN-TPE  Construction could be  KHH-SIN 1⁄2 RT )  TPE-SIN 1⁄2 RT ) 1 pricing unit  or  KHH-TPE OW 1 pricing unit  TPE-SIN RT 1 pricing unit  whichever is the lower 

 Example 2: Travel KHH-TPE-JKT-DPS XXX JKT-TPE

 Construction could be  KHH-DPS 1⁄2 RT )  TPE-JKT 1⁄2 RT ) 1 pricing unit  or  KHH-TPE OW 1 pricing unit  TPE-JKT RT 1 pricing unit  JKT-DPS OW 1 pricing unit  or  KHH-TPE OW 1 pricing unit  TPE-DPS 1⁄2 RT )  TPE-JKT 1⁄2 RT ) 1 pricing unit  or  KHH-JKT 1⁄2 RT )  TPE-JKT 1⁄2 RT ) 1 pricing unit  JKT-DPS OW 1 pricing unit  whichever is the lower Example 3: Travel GLA MAN ROM LON 

Clarified the correct application by

amending and adding examples. It

deals with the Europe should be

considered as one country for

Normal open jaw and thedirectionality of pricing units.

1547(
 Construction could be 

 GLA-ROM 1⁄2 RT )  LON-ROM 1⁄2 RT ) 1 pricing unit  or  GLA-MAN OW 1 pricing unit  MAN-ROM 1⁄2 RT )  LON-ROM 1⁄2 RT ) 1 pricing unit 

 b) in the case of i), ii) and the one way subjourney in iv) and v) above, the 

journey/subjourney must be assessed using one way fares; the use of half 

round trip fares is not permitted 

 c) fares shall be assessed in the direction of travel, except that when a pricing 

unit for a one way subjourney terminates in a country from which a previous pricing unit has been assessed, the pricing unit for the one way subjourney into such country shall be assessed from such country, i.e. not in the direction of travel Examples: 1. Travel ATL-LON-STO-LIS-GLA ATL-SEL-SYD-BJS-PUS 

 Construction ATL-LON ATL-SEL OW 1 pricing unit 

LON-STO SEL-SYD OW 1 pricing unit 

STO-LIS SYD-BJS OW 1 pricing unit GLA-LIS PUS-BJS OW 1 pricing unit 

 Total of 4 pricing units 

fare component LIS-GLA BJS-PUS must be in the direction of GLA-LIS PUS-BJS because the termination point (GLA PUS) 

is in the same country from which a previous pricing unit (LONSTO SEL-SYD) was assessed 

2. Travel : PAR BKK AMS /- BRU NCE

 Construction PAR BKK 1⁄2 RT)

AMS BKK 1⁄2 RT) 1 pricing unit

NCE BRU OW 1 pricing unit

 Total of 2 pricing units

Fare component BRU-NCE must be in the direction of NCE-BRU

because the termination point (NCE) is the unit origin country of

the previous pricing (PAR-BKK-AMS).

3. Travel : ZRH CAI MUC /- DXB FRA

Construction a) ZRH CAI 1⁄2 RT)

 FRA DXB 1⁄2 RT) 1 pricing unit

 CAI MUC OW 1 pricing unit

 Total of 2 pricing units

Clarified the correct application by

amending and adding examples. It

deals with the Europe should be

considered as one country for

Normal open jaw and thedirectionality of pricing units.

1547(
 Fare component CAI-MUC must be in the actual direction of

travel because the termination point (MUC) is not in the country

of unit origin of the previous pricing unit (ZRH-CAI surface DXB

FRA).

Construction b) ZRH CAI 1⁄2 RT)

 MUC CAI 1⁄2 RT) 1 pricing unit

 DXB FRA OW 1 pricing unit

 Total of 2 pricing units

Fare component DXB-FRA must be in the actual direction of

travel because the termination point (FRA) is not in the country

of unit origin of the previous pricing unit (ZRH-CAI-MUC).

4) in applying the provisions of Subparagraphs 2)d) and 3)c) except for round trip 

pricing units, fare components between Canada and USA and between Denmark, Norway, Sweden shall be assessed in the direction of travel 

 5) fare construction must be via the itinerary of the passenger. The addition of 

points not on the passenger's itinerary is not permitted 

 Exception: constructions using add-ons 6) Unpublished Fares when it is necessary to establish a fare between any two ticketed points on a 

journey, the following provisions shall apply, subject to Section B, Paragraph 4: 

 a) the fare shall be the lowest combination of sector fares over an intermediate 

ticketed point for the class of service used 

 b) the fare shall be constructed in the direction of travel, except that when the 

fare is for a fare component which terminates in the country of unit origin or in a country from which a previous pricing unit has been assessed, the fare shall be in the direction from the country, i.e. not in the direction of travel 

 c) if the same construction point is used for the outbound and inbound fare, the 

fare shall be constructed in accordance with Section B, Paragraph 1 Example: i A to B to C to D to A 

ii A to D to C to B to A 

Fares: A to B 50 B to A 45 

B to C 40 C to B 50 C to D 60 D to C 90 D to A 90 A to D 50 No fare A to C No fare C to A 

Construction: i A to B 50 + B to C 40 + C to D 60 + A to D 50 = Total 200

Corrected reference consequent to

removal of a paragraph

1268(
ii A to D 50 + D to C 90 + C to B 50 + A to B 50 = Total 240 

 d) the fares used must be shown separately on the ticket  e) for purposes of fare construction checks, a fare need not be constructed over 

another ticketed point when there are no published fares to/from/between an intermediate point(s) in the routing. 

7) Fares Expressed as a Percentage

 when fares are expressed as a percentage of another fare and different 

percentages apply in a pricing unit, the following rule applies: 

 a) apply the percentage to the base fare to establish the fare level as an amount  b) use such fare level for the application of all fare construction rules 

Example: A - B - C - D - A 

 children's fare: A - C 50% of adult fare 

B - C 67% of adult fare A - D 50% of adult fare 

* calculate amounts resulting from application of above percentages * apply HIP/CTM etc rules using the resultant levels 

8) a journey on a ticket or conjunction ticket, at the time of original issue or when 

reissued, must not include more than four international arrivals and four international departures in any one country; provided for the counting of arrivals and departures surface sectors are considered to be flown 

Example: AMS-CAI-RTM-LON-AMS-DXB-AMS-JNB-AMS-BAH  This journey is not allowed to have five international 

departures from the Netherlands 

9) unless otherwise specified, for the purpose of: 

Resolution 017a (except Section A Paragraphs 6 5 and 8 7, Section B Paragraph 

3)

Resolution 017b Resolution 017c (except Paragraph 3) Resolution 017f (except Section B Paragraph 1, Section C, Section D) 

 a) Canada and USA shall be considered as one country 

Corrected reference consequent to

removal of a paragraph

1268(
 b) Scandinavia shall be considered as one country 

SECTION B - COMBINATIONS 1) a) combinations are only permitted with fares which by their own terms are 

combinable 

 Exception: combinations to/from USA  b) fares used in combination are to be shown separately on the ticket 2) round the world: one way special fares shall not be used to calculate fares for 

round the world travel 

3) combination of one way normal pricing units with international side trip one way 

pricing units to or via the country of commencement of transportation shall not be permitted 

4) combination of fares USA: nothing precludes the combination of international 

fares and normal/special fares within USA provided that any conditions attached to such fares are complied with; stand-by fares must not be so combined 

Flowchart Attachment replaced as attached 

1268(

RESOLUTION 017e MIXED CLASS

Effective 1 May 2013

(Tier 1)

Content Explanations/Notes Origin

A GENERAL 1) mixed class travel is when an itinerary involves travel in two or more classes of 

service 

2) in assessing the fare for the mixed class transportation, special fares must not be 

used 

3) the application of this Resolution shall not be used to circumvent any 

stopover/transfer restrictions applicable to the through fare for the lowest class of service used 

4) differentials are assessed in the same direction as the fare used for the lowest 

class of service 

5) when half round trip fares are used, differentials are assessed using half round 

trip fares. When one way fares are used, differentials are assessed using one 

way fares 

6) class differential calculation is only subject to the HIP check, no further minimum 

checks apply 

7) when comparing normal fares of the 'same class of service', in order to determine

the fares to be used in a class differential calculation, the following sequence shallapply

 if no sleeper seat fare, use first class fare;

 if no first class fare, use intermediate class fare;

 if no intermediate class fare, use economy class fare;

provided that where more than one economy class fare is published,

use the highest economy class fare;

 Example

 Routing: SIN C LAX F CHI

when calculating the class differential for LAX to CHI, if there is no intermediate

Mixed class calculation sequence

clarified for the fares to be used

1268(
class fare for this sector, the highest economy fare shall be used, i.e. LAX-CHI FY = D

B FARE CALCULATION 

1) establish the fare for the itinerary in the lowest class of service used applying all 

applicable fare construction checks; provided that if no fare is found in the lowest

class of service used, drop down to the next lower class of service common to allthe fare components of the pricing unit

 Example:

 TYO C SEL F TSN C DLC C TYO (sector fares) when there is no C fare

available for SEL TSN, calculate with Y fare for the entire pricing unit and applyCTM check using Y fare

2) establish whether as a result of 1) above the mixed class sector(s)  a) apply within a fare component, or  b) constitute an entire fare component, or  c) constitute an entire pricing unit

C MIXED CLASS SECTOR(S) WITHIN A FARE COMPONENT 1) if the calculation in the lower class of travel establishes that the mixed class 

sector(s) fall within a fare component, the differential for the sector(s) travelled in a higher class shall be the lowest of the following 

 a) the difference between the lower class fare for the sectors flown in the higher 

class and the fare for the higher class of travel on those sectors 

 b) the difference between the applicable fare for the fare component in the lower 

class of service and the applicable fare for the fare component in the higher class of service 

Example LON-BKK-HKG-LON class of service Y except BKK-HKG F fares (half RT in NUC) First Economy LON-BKK 4626.10 1929.54 LON-HKG 4895.92 2188.27 BKK-HKG 291.13 207.96 

 the fare shall be assessed in economy class: LON-HKG-LON RT = NUC 

4376.54 

 the differential shall be the lowest of  a) BKK-HKG F 291.13  less 

Clarified the application of Mixed

class travel by adding an example

1547(
 BKK-HKG Y 207.96 Differential 83.17 

 b) LON-HKG F 4895.92  less  LON-HKG Y 2188.27 Differential 2707.65  the total fare shall be LON-HKG-LON RT Y 4376.54  Plus differential 83.17 

TOTAL 4459.71

2) for consecutive sectors within a fare component travelled in a higher class of 

service, the difference shall be the lower of 

 a) the difference between the lowest applicable fare for the lowest class of 

service used and the lowest applicable fare for the higher class of service used, or 

 b) lowest applicable through fare for the lowest class used for the sectors 

concerned and the lowest applicable through fare for the higher class used for such sectors 

Example Travel BKK  HKG C  SIN F  ZRH F sum of the through C fare plus lower differential of the following Calculation 1 HKG-SIN F Fare 876.94  HKG-SIN C Fare 741.73  difference 135.21  SIN-ZRH F2 Fare 2421.28  SIN-ZRH C Fare 2122.39  Difference 298.89  total difference 434.10 Calculation 2 HKG-ZRH F Fare *3613.68  HKG-ZRH C Fare 2566.70  difference 1046.98  (*subject to mileage rules and HIP check) 

the differential to be applied shall be 434.10 
D AN ENTIRE FARE COMPONENT IN A HIGHER CLASS 

 if the calculation in the lower class of travel establishes that the mixed class 

sector(s) constitute an entire fare component(s), the differential shall be the difference between the applicable fare for the lower class of travel for the fare component and the applicable fare for the higher class of travel for the fare component Example LON-BKK-HKG-LON Class of service Y except HKG-LON F fares (half RT in NUC) First Economy LON-BKK 4626.10 1929.54 

LON-HKG 4895.92 2188.27 BKK-HKG 291.13 207.96 the fare shall be assessed in economy class LON-HKG-LON RT Y 4376.54 the differential shall be LON-HKG F 4895.92 less LON-HKG Y 2188.27 differential 2707.65 TOTAL 7084.19 

E AN ENTIRE PRICING UNIT IN A HIGHER CLASS 1) if the calculation in the lower class of travel establishes that the mixed class 

sector(s) constitute an entire Pricing Unit, the differential shall be the difference between the applicable fare for the lower class of travel for the Pricing Unit and the applicable fare for the higher class of travel for the Pricing Unit 

2) in applying this methodology the resultant level will only be applied if it gives a 

lower level than other calculations Example LON-BKK-HKG-BKK-LON Class of service LON-BKK-LON F BKK-HKG-BKK Y Fares (RT in NUC) First Economy LON-BKK 9256.20 3859.08 LON-HKG 9791.84 4376.54 BKK-HKG 582.26 415.92 the fare shall be LON-BKK RT Y 3859.08 plus differential LON-BKK RT F 9256.20 less LON-BKK RT Y 3859.08 5397.12 

.
plus 

BKK-HKG RT Y 415.92 TOTAL 9672.12