Evening star., 1950-01-08
Air Monopoly Looms


Orient, all Pan American pioneered
territory. The remaining six
United States competitors in Mr..
Trippe's empire are: Chicago &
Southern, Colonial, Eastern, Ma
tional, United and Western Air
Lines. Their combined total route
mileage is only 5000. but they, too,
have been promised they will feel
the heat of Pan American COM
petition.
Meanwhile, hanging over their
heads is CAB application. by Pan
American to operate high-ball
passenger service connecting 13
gateway cities located around the
rim Of the United States so that,
for example, passengers leaving
Hawaii on Pan American for
London, via PAA, will not have to
get of in California, board a
domestic airline flying to New
York and reboard q Pan American
Clipper for England. This "in-
vasion" Of the domestic airline
territory by Pan American
brought thunderous objections
from the domestic airlines. some
OF which had invaded" Pan
Americans international areas
with CAB approval, of course)
and resulted in the longest hear
ing ever held by the CAB. Mr..
Trippe has not pressed for q de-
cision. though the hearings were
concluded three years ago this
month, but declaring his applica-
ton was made "in the public in
terest." he is allowing it to remain
on the docket. where it serves as
a gentle reminder about a sauce,
a goose and a gander.
When the CABS policy ofsregu-
lated competition on international
air routes remained firm against
the attacks of Pan Americans
legal shock troops, to prove his
sincerity that it was in the public
interest for but one United States
airline to represent America in
international air transport Gust
as there is but one line for each
Of the many nations that fly to
this country under reciprocal air
agreements-and they are gov
ernment owned or dominated) ,
Mr.. Trippe went to Congress. He
proposed legislation that became
known as the All-American Flag
Line plan. the Community Com
pany. also the Chosen Instru-
ment." It had the astonishing
characteristics of putting Pan
American Airways out of business
Gin its present corporate struc-
ture) and uniting instead all
United States-operated interna- =
tional airlines under American
Government supervision, but not
Government ownership. Into this
Community Company, American
steamship, railroad and bus COM
panies would be admitted as
partners in addition to all sched-
uled airlines and it would have
the effect of making every recog-
nized form of American trans
portation a promoter and ticket
seller for the one big American
international airline. This solid
American front would produce
lower fares, reduce mail subsidies,
cut operating expenses and would
make 1t difficult for our citizens
to justify riding on foreign air
lines, so Mr.. Trippe argued. -
At the same time he also argued
that if regulated competition were
permitted to continue. q condi-
ton would result whereby the
United States companies would be
at each others throats when a
single American line could more
effectively meet the competition
of the seven foreign lines now
enjoying the right to fly the North
Atlantic. He described this COM
petition policy as dividing and
weakening the American effort
against foreign competition and
that 1t threatens our international
air commerce with disaster.
Single Line Sidetracked
But his proposed legislation, re-
Quiring congressional approval.
has consistently failed to get out
OF committee since first proposed
in l943 and in spite of intense
sponsorship by Democratic Sem
ator Pat McCarran of Nevada and
Republican Senator Brewster.
Opposition to it ranged from cold,
academic Government testimony
for continued regulated competi-
ton "as a stimulus to progress"
to vicious charges by airline
enemies that 1t was a typical
Trippe trick to restore Pan Amer
ican in complete control Of all
United States international air
transportation. They feared Pan
Americans experience, seniority
and holdings In the international
field would enable it to dominate
the Community Company and
Trippe then would emerge more
influential and powerful in foreign
lands than our State Department,
a status which he did enjoy when
he was building his great inter-
national airline system between
1927 and 1898. there being no
competition and nobody in the
States seemed to care.
The congressional committees
considering the proposed Com
munity Company legislation
through the years could not ignore
the formidable array Of opposi-
ton marshaled against 1t. In
cluded were the State, War, Navy,
Commerce, Justice and Post Of
flce Departments and the Civil
Aeronautics Board and just about
all the domestic airlines.
The last blast against it by the
Government was from the Presi-
dents Air Co-ordinating Com
mittee. representing all Govern
ment agencies concerned in any