Evening star., 1951-06-03

A1rWayS nave unally ueVelOpeu II
In the history Of commercial avi
Pan American Grace Airway
operates between Panama and
Buenos Aires by way of Western
South America, through Ecuador
Peru, Bolivia and Chile. Its
planes are flown between Panama
and Miami over the route Of Pan
American under charter to that
company. The Grace company
and Pan American each own Sc
per cent of Panagra's stock and
each is represented by four mem
bers on its board Of directors
The present president OF Panagra
Andrew B. Shea, whose legal right
to the position is now being dis
puted by the Pan American con-
tingent on the board. Is also a
vice president of w. r. Grace d
Co.
President Shea and the repre-
sentatives of the Grace company
directors have long insisted that
Panagra should have route OF its
own between Panama and Miami
and even on to New York. But as
yet neither Panagra nor Pan
American has been granted per-
mission to fly domestically within
the United States. Meantime, the
chief issue of the moment between
the two parent organizations con-
Germs a proposed interchange
arrangement by which Panagra
planes would be flown between
Miami and New York over Ma
tional Airlines, q company IN
which w. R. Grace d Co. owns
l74,000 shares, or q 17.4 per cent
stock interest.
Temporary Arrangements
The Civil Aeronautics Board has
actually handed down a temporary
decision which would permit the
Panagra National arrangement
On the other hand, Pan American
Airways has made q tentative in
terchange agreement by which
both it's own and Panagra planes
would be flown between New Yorl
and Miami over Eastern Airlines
with which it has previously
maintained connecting traff1c ar
rangements at the Miami gateway
Either of these interchanges would
provide Panagra passengers anc
cargo with through plane service
between Buenos Aires and New
York by way of the west coast o1
South America, Panama anc
Miami, in direct competition with
Pan Americans present through
service between the Argentine cap
ital and New York by way Of Sar
Juan. p. r.
Pan American and Eastern have
petitioned for, and the CAB has
agreed to hear, oral arguments
that might justify reconsider
alton of it's temporary decision
on the Panagra-National inter-
change. The board has also agreed
to hear arguments on a number OF
other petitions and applications
growing out of that decision. The
latest is an application by Branlf1
Airways for a route from Havana
to Miami and New York.
Braniff is not only one OF the
large domestic carriers. with
network of lines throughout our
own Middle West, but 1t also op-
crates to several of the countries
OF Western and Eastern South
America by way of Houston, Ha-
vana and Panama. Passengers
destined to or from New York and
Buenos Aires by Braniff usually
transfer to or from National Air
lines planes at the Cuban capital
The CAB hearings on all these
objections, applications and pro-
posals are expected to take place
soon. Last Thursday was the
deadline, by which time all the
parties concerned were to have
handed in briefs.
w. r. Grace g. Co. is one OF
the oldest, most successful and
diversified of all large firms doing
business in the other nations OF
this hemisphere. In this country
perhaps the best known of its ac-
tivities is the operation of the
Grace Line, one of the largest
steamship companies under the
American flag. It has a feet o1
luxury liners and cargo carrier:
plying between the East Coast o1
the United States and Western
South America through the Pan.
anna Canal. The line also serve!
several of the Caribbean countrie.
and islands, as well as the United
States Pacific Coast.
The Grace company engages IL
several other branches of com
merce and industry. both in thu
United States and Latin America
Grace banks serve not only com
pany enterprises, but also inter
ests of the other countries. II
Peru, Chile and elsewhere it man
ufactures textiles, engages in min
ing, owns cotton farms and sugar
cane plantations, refines sugar
produces rum. operates wholesal,
and retail stores and even radio
stations. chain grocery stores ant
many other business establish
mentS.
Entered Aviation in 1928
Grace entered the aviation fielC
in 1928. when Juan Trippe wa
pioneering Pan American Airway
from a slngle-plane service tina
carried mail between Key West
Fla, and Havana to a system O
regular passenger lines through
several of the islands and coun
tries of the Caribbean, as far South
as Panama and the Canal Zone
Mr.. Trippe had also secured al
operating concession in Peru AM
had applied for rights to fly ii
sever al other South American re