The Daily Alaska empire., 1950-04-05
CAB HEA R 5 PORTLAND v5. TILT.
By CHARLES D. WATKINS

hearing yesterday on the adequacy of air service to Alaska with one member asserting the agency has always wanted to act as fair as is could to develop Alaska"
 The assertion was made by Con- missioner Oswald T. Ryan after Gov. Ernest Gruening of Alaska charged the board with aggravating he Territory's air situation by re- luiring independent carriers to maintain infrequent and non-sched- lled service.
 Grrening said this created void n air service which would have o be filled in by the board certify ng additional air carriers and pro- 5iding more mail pay. The Gov arnor expressed the belief the non- skeds had not received fair treat ment.
 Jones said independent Alaskan carriers have resisted the law and only one of them has applied for a certificate.
 He said that Civil Aeronautics expenditures in the Territory for the year starting next July l would be $20 100000, about $500 for each adult person in the Territory"
 He said this was much greater ,um than is spent per adult per- son in the United States.
 Seattle vs Portland
 Seattle and Portland staged a verbal battle before the board over which should be the terminal for he Alaska air service.
 Tom Alderson, representing Seattle, told the board Seattle all ways has been the terminal for service to Alaska from the United States and with it's new airport could furnish better service with a shorter distance to the Territory than Portland, Great Falls, Mont, Minneapoiis-St. Paul or Chicago.
 He said no time was lost in ship ping through Seattle.
 Virgil H. Langtry, representing Portland, Ore, urged the board to make that city a terminal for the Alaska service. He said commerce from the Portland area would amply justify the board making that de- cision.
 The Seattle monopoly" on trans ,ortation to Alaska should be ended, le said. This, he added, would bene- fit Alaskan economy.
 He contended it is economically wrong to confine Alaska to one Pa ,ific Northwest gateway and that direct service from Portland would oe in the public interest.
 Chicago Wants In
 J. R. Turney, representing Chi cago, urged the board to authorize direct airline from Alaska to Chi cago. He said he believed this would lid in the development of Alaska.
 Gerald P. O'Grady, counsel for Pacific Northern Airlines. who was criticized by Gruening for saying yesterday that his company was only incidentally" interested ill crying Juneau, disclaimed today my intention of dropping the Ter ritorial capital from the lines sched- uled stops.
 O'Grady said he was referring only to income derived by his lne from-the city. His line wants to ex- end it's route to Seattle.
 The board took the case under ,dvisement with no indication when it may rule.
 In his arguments for the non ,keds, Governor Gruening declared 2.
 T happen to believe in the so~ called American system of free en- terprise. It is under this system that aviation largely developed in Alaska Our bush pilots are the fines' example of pioneering and the'r bush flying, which has matured ana developed into the more important intra-Alaska carriers, is the fruit oi individual initiative and free Amerl- can enterprise and that is hkewise prominently true of he non-skeos
 Let in Competition"
 If I were making policy for this hoard I would let the laws of com petition operate. I would let those who are unable to make the grace themselves. It somehow runs contrary to the conception of free enterprise. which we are at this moment upholding in the world, to see individual initiative, effort and undertaking throttled by decree. (The CAB order, which resulted in reduction of serv- ice) If you do not want to let them live as uncertified non-scheduled lines. then certify them"
 Gruening insisted that any carrier certified to serve Alaska should pen citrate deeply into the Territory and into the states. He said it seemed all lines wanted to serve Anchorage but that AIaskanS wanted all parts Ot