Clipper, Vol. XVIII, No. 4, June 1961

              SALES DEPARTMENT	___ ______ ______ ______ ______ ______
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LATIN AMERICAN DIVISION
VOL. XVIII, No. 4	MIAMI, FLORIDA, JUNE 1961
MANAGEMENT REPORT TO EMPLOYES . . . Pages 4-5
610529
Trippe Cites Role of Pan Am in Economy
San Juan Busiest PAA Overseas Port
All-Jet Service, Lowest Fare Aid Travel to Island
San Juan became Pan American Airways’ busiest overseas jet airport when the airline began an all-jet operation of 62 flights a week between Puerto Rico and New York.
The schedule tops by 10 the 52 jet Clipper flights each week between New York and London. Pan Am’s landings and takeoffs in Rome total 36 a week and Paris 34 a week.
Jet Flights from Miami
At the same time the world’s lowest jetliner fare was introduced between the Commonwealth’s capital and New York City. The $55 thrift fare ticket for the 1,612-mile flight on one of the airline’s sweptwing jets figures slightly less than three and one-half cents a mile.
The new fare, seen as a breakthrough in jet air transportation, is being featured in Pan Am’s travel promotion simply as Jet 55.
Just prior to inauguration of the new service, a campaign to introduce the all-jet operation and low fare was launched in San Juan. In addition to officials of the airline, the ceremony was attended by government, civic and business leaders of Puerto Rico.
Campaign Launched
Also in San Juan for a series of conferences with travel agents were special Pan Am sales teams from Miami and New York.
The San Juan-New York jet flights are augmented by another 20 Pan Am jet flights each week between San Juan and Miami, Philadelphia, Baltimore and Washington to boost jet Clipper landings and takeoffs in Puerto Rico to 82 a week.
Half of the 10,000 seats offered each week on the San Juan-New York jet airlift are at the Thrift fare price of $55—the most economical jet fare anywhere in the world.
The 62 nonstop jets between San Juan and New York alone more than double Pan Am jet operations at other busy Latin American airports.
Panama A Pivot Point
At Panama, a pivot point for Pan Am jets between the Americas, 28 jet Clippers land or takeoff each week.
Continued on Page 3
First Jet Baby Born on Clipper
A newcomer in this world is off to a flying start. He is baby Alvare, only three days old.
The infant made his debut on this planet 30,000 feet above the Atlantic aboard a Pan American jet swooshing along at nearly 600 miles an hour.
Believed to be the first jet-born baby in aviation history, the boy was born Sunday night as the Puerto Rico - bound flight was an hour out of New York—a few hundred miles northeast of Cape Canaveral.
Capt. Jack Harvey radioed ahead for an ambulance to be at the airport. It was the third time an infant has been bom aboard a Clipper piloted by Harvey.
The baby and his mother, Mrs. Nelly Alvare, of Ponce, are in good condition.
JET AGE STEWARDESSES, just graduated from Pan Aim's training school in Miami, pose in front of one of the giant jet airliners they soon will be flying. Left to right are Barbara D. Vietor, Christa Zabel, Frances Ann Gordon, Patricia Rose and Ann Cannon, all ready to go.
Share in America Plan
‘Buy U. S. Savings , ’ Pan Am Urges Employes
Pan American is sponsoring a Company-wide “Share in America” Campaign to encourage employes to purchase U. S. Savings Bonds through payroll deductions.
Although the Company has long made its facilities available to the Government for€>-----------------------
sale of bonds to employes, a renewed solicitation is being conducted at this time in the interest of the future security of employes and on behalf of the nation’s defense program.
By enrolling in the Payroll Savings Plan, employes can set aside a small part of their pay for the automatic and regular purchase of one of the world’s safest investments.
Savings Bonds are like money —but money earning interest, three and % per cent compounded semi-annually when held to maturity (seven years and 9 months). They carry a guaranteed rate of interest over a period of years, are not subject to market fluctuation, and will be replaced by the U. S. Treasury without cost if lost, stolen or destroyed.
Over the years, Pan Am employes have used their accumulation of Savings Bonds to help buy homes, provide college education for their children.
Here’s how it works: Whatever amount you want to save each pay day will be set aside from your pay towards purchase of bonds. When you have the amount needed for the bond of your choice ($25, $50, $100 or more) it will be purchased for you. To start your Savings Bonds accumulation, you sign an authorization form which will be sent to you by Pan American.
Fast Air Service Brasilia, Panama
The fastest air service from Brazil to Central America and California was introduced by Pan American June 1 when DC-8 jets started flying nonstop between Brasilia and Panama.
The 2,760-mile diagonal flight across South America in five and one-half hours is the big time-saver in the route that stretches 6,896 miles from Sao Paulo to San Francisco.
Jets on the new short-cut route trim flying time between Brasilia and Los Angeles to 12 hours.
Airline Invited On Russian Tour
Pan American has been asked by the U. S. Information Agency to participate in a traveling exhibition which will tour three or more major cities in Russia later this year.
The exhibit will be in Moscow early in October and will include a scale model of the new Pan Am terminal at Idlewild. The scale model of the terminal is now in Helsinki as part of a U. S. exhibit there.
Careless Walker Nearly Clobbered By Landing Jet
A new world sprint record very probably was set at San Jose, but it may be a little hard to check.
Site of the event was El Coco Airport, where Capt. Richard W. Vinal, of Miami, was bringing in a Pan American DC-8 jet during a flight checking out the San Jose airport for jet operations. The giant, 121-passenger airliner was rapidly settling toward the runway when one of the crowd of onlookers watching the arrival of the country’s first jet strolled out on the strip directly in front of the plane.
Captain Vinal poured on power to get the plane in the air and avoid obliterating one pedestrian.
“We passed about 30 feet over his head with full power,” a flight crewman reported laconically. “When we came around again for another landing try, he had gone.”
‘Visit U.S.A.’
Is Promoted
By dropping $3,500,000 into the promotion pot to back up the “Visit U.S.A.” program, Pan American has become the largest single contributor to the campaign to bring more foreign tourists to the United States.
The 1961 budget includes black and white and color advertising in international magazines, foreign newspapers and other publications, direct mail approaches and local campaigns in countries throughout the world, plus window displays, counter exhibits and posters in many languages for use in Pan Am’s 750 offices abroad and in foreign travel agencies.
In Latin America the program includes a “Excursiones Fabulosas” campaign with special emphasis on auto tours of the United States after entering the country through “Fabulous Florida.”
Another facet of the program involves special promotion to build foreign attendance at conventions in Miami, Miami Beach, New York, Chicago and other convention centers, followed by visits to other parts of the country.
It’s a Wonderful NEW World With Pan American Jets
Annual Report Shows Higher 1960Revenues
But Rising Costs Of Labor, Material Reduce Net Profit
The importance of Ameri-can-flag airlines as an asset of the nation’s economy was stressed by Juan T. Trippe, President of Pan American World Airways, in the Company’s 33rd annual report.
“Every overseas traveler, every ton of international cargo, parcel post and mail — American as well as foreign— that moves on Pan American and not on a competitive foreign-flag airline, contributes t o the gold reserves of our nation,” Trippe said.
Citing Pan American’s contributions to the TRIPPE United States’ dollar balance of payments and its gold reserves, Trippe stated, “Were our company’s American-flag service not available and not used by overseas travelers and shippers, United States gold reserves would be further impaired in an amount every year running into hundreds of millions of dollars.”
No Subsidy For Pan Am
He noted that although United States labor scales are at least twice as high as those of foreign-flag competitors, Pan American operated during the year again without subsidy, actually turning over $7,000,000 in tax dollars to the United States Treasury.
Operating revenues of Pan American for 1960 were 16 per cent higher than for 1959.
At the same time, net income for the year, after taxes, was $1.07 per share, compared to $1.17 per share in 1959.
Operating expenses in 1960 were $387,700,000, up 4 per cent. Despite increased expenses, due chiefly to the rising costs of labor and materials, cost per revenue ton-mile was reduced to 53.9 cents, compared to 54.4 cents in 1959.
Trippe said these reductions were accomplished i n part Continued on page 2
Pan Am Joins Major Carriers
Parts Pool Is Established
A169 A	irports Around World
At 69 different airports throughout the world Pan American now has access to spare parts for jet aircraft, thanks to a worldwide parts pooling arrangement.
Pan American took the lead in developing pooling
arrangements with 23 other majors carriers. These agreements give Pan American use of $6,000,000 in spare parts with an investment of only $2,200,000.
The pooling arrangement permits minimum capital investments by individual airlines and reduces operating costs. By eliminating duplication of low-usage items, substantial savings have been achieved.
In initiating these pooling arrangements, Pan Am established standards and quality control procedures approved by Federal Avi-
ation Agency and paved the way for the other United States certificated airlines to share in the benefits of parts pooling.
The agreements with 23 airlines permit one airline to lend another a part to repair an aircraft at a line station. This means that no single airline has to stock all possibly-needed spares at line stations.
When the aircraft returns to its base, the loaned part is removed and returned to the airline which supplied it. In some cases, replacement of parts is made rather than return of the specific part.
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