ABSTRACT
This chapter addresses the technical and safety aspects of regulation before covering the economic and financial side. It includes traffic rights that are negotiated in air services agreements between the country and other countries. The granting of air operator's licences, whether for passenger or cargo airlines, involves the assessment of the technical and financial fitness of the airline applying for the licence. Air services agreements have generally been negotiated on a bilateral basis between two countries and are thus often called 'bilaterals'. DHL Airways provided the US domestic airlift for the worldwide network of DHL Worldwide Express (DHLWE). After DHLWE was acquired by the German Post Office, Federal Express and United Parcel Service challenged the citizenship of DHL Airways. The European Union also experienced pressures to liberalise air services but with its international air routes it was inherently more complex to achieve this.
