Glossary of Airline Terminology

Multilateral Agreement on the Liberalization of Air Transportation

(Negotiated October 31 to November 2, 2000 in Kona, Hawaii; signed May 1, 2001, in Washington, D.C.; entered into force December 21, 2001) An agreement to promote open skies between signatory countries. The agreement allows for full schedule freedom, open traffic rights including seventh-freedom cargo rights, no capacity controls, greater investment (while protecting against “flag of convenience” airlines), multiple airline designation, third-country code sharing, and a minimal tariff filing regime. Signatories are: Brunei, Chile, Cook Islands, New Zealand, Samoa, Singapore, Tonga and the United States of America. In addition, Peru was a signatory to MALIAT but withdrew on January 15, 2005. The Protocol to MALIAT provides for parties to exchange seventh-freedom passenger and sabotage rights. Signatories to the Protocol are: Brunei, Chile, Cook Islands, New Zealand and Singapore.

< Back to Glossary