Clipper, Vol. 13, No. 2, February 1956

              ELECTRONIC SHOP IN PICTURES
. . . Pages 4 and 5
VOL 13, No. 2
Pan Amfrlca/v World Alr ways
LATIN AMERICAN DIVISION
UPfíEB
FEBRUARY 1956
SUGGESTION PLAN HAS BEST YEAR
. . . Page 3
560131
Big Increase Seen In 1956 For Air Cargo
More cargo of more varieties is being flown more miles between the Americas by Pan American than ever before in the history of the airline. Predictions indicate the 1956 total will be a third more than the 1955 record-breaking figure.
“Air cargo revenue between the United States and Latin America, and between various countries of the Southern Hemisphere, we expect within the next ten years will equal, if not surpass, our passenger revenue,” prophesies Wilbur L. Morrison, LAD executive vice president.
Latin America was the scene of Pan American’s aviation pioneering, in air cargo as well as in passenger transport. That area today is still the scene of its greatest cargo activities. The approximately 61,600,000 pounds of freight flown in the Latin American Division in 1955 represents more than 50 per cent of all the cargo carried by PAA on all of its globe-girdling routes.
The air cargo terminal at Miami is the largest in the business. It has nearly 100,000 square feet of warehouse space.
There are sound reasons for believing 1956 will top anything experienced before in air cargo transportation.
“We will have 50 per cent more all-cargo aircraft,” Morrison points out. “We will have in 1956 new all-cargo routes that we did not have in 1955. We will be able to provide a greater airlift on others.”
Among the new PAA airlifts is the four times weekly all-cargo service between San Francisco, Los Angeles and Central and South America. Twice weekly all-cargo flights now link Houston and Brownsville with all parts of Latin America. Additional cargo service has been added between New York and San Juan, Miami and Caracas, and Caracas and Panama.
PAA’s Latin American Division currently operates more than 300
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Management Award To PAA
An award for distinguished management during 1955 has been made to Pan American World Airways by the American Institute of Management.
The award covers ten categories of management. They are: Economic Function, Corporate Structure, Health of Earnings Growth, Fairness to Stockholders, Research and Development, Directorate Analysis, Fiscal Policies, Production Efficiency, Sales Vigor and Executive Evaluation.
The citation says: “American Institute of Management, in recognition of distinguished accomplishment in the ten categories of our management audit, hereby confers upon Pan American World Airways, Inc., this certificate of management excellence for the year 1955.”
New Record Set For Yule Letters
The Latin American Division was one of Santa Claus’ busiest helpers during the Christmas season carrying 613,834 pounds of the total System mail haul of 1,825,880 pounds, or 56,237,104 holiday letters between December 1 and 25.
This was an increase of 40 per cent over 1954 when the three divisions carried 1,300,-000 pounds during the same period.
Contributing to the total was a bulging sack of 82,853 Santa Claus letters mailed from all parts of the world to Pan American’s station at Fairbanks, Alaska, then remailed under special cachet to children whose parents wanted them to have a letter direct from St. Nick.
Blood Donors Help Fellow PAA Workers
THE CALL TO REPLENISH the Pan American blood bank, that had become depleted, resulted in addition of 71 pints of the life-giving fluid. The blood is collected by the Dade County Blood Bank and kept available for Pan American employes in need of transfusions. Margaret Ozmer, Dade County Blood Bank technician, takes 500 C.C.'s from James T. Grainger, master mechanic. Waiting to donate are Clifford Haworth, master mechanic, left, and Albert Corcoran, mechanic, in industrial relations office at COB.
End of Subsidy For PAA Predicted by Adams If CAB Action Is Favorable on New Routes
GUEST SPEAKER at PAA Management Club’s January meeting, Vice President Alvin P. Adams, right, receives his badge from President Richard N. Harbottle, production control superintendent, in Miami.
And Still Working!
Hotel Staffers in Bogota Win Half-Million Lottery
Imagine winning half a million dollars and going back to work.
Twenty-five members of Bogota’s Hotel Tequendama staff did just that. They put up $138 (550 pesos) for a
ticket in a two-million peso Co-' lombian lottery, won the $500,000 and promptly assured Tequenda-ma’s manager, Ernst Etter, they still were on the job.
Etter received the tidings by cable at New York Headquarters of International Hotels Corporation, which operates the 400-room hotel for its Colombian owners. He was there on a business trip.
High man among the lucky ones was Raul Torres, payroll clerk, whose stake netted him $50,000 (200,000 pesos). There were 12 $25,000 (100,000 pesos) winners including Alberto Rivera, personnel manager; Ana Gutierrez, secretary; Carlos Martinez, accounts
receivable clerk, and Ernesto Cortez, sales auditor.
The 12 $12,500 (50,000 pesos) winners included Nohra de Gaitan, switchboard operator; Lucy Pallares and Leonor Esguerra, cashiers, and Leonel Ospina, inventory clerk.
CHEST DRIVE SUCCESSFUL
Employes of PAA in Miami subscribed a total of $51,004.77 to the Community Chest drive, final figures disclose. With the company gift of $7,500, the grand total was $58,504.77. Wilbur L. Morrison, LAD executive vice president, was co-chairman of the Chest’s Industry Division, Section I, with Comer J. Kimball, Miami Banker.
A subsidy-free Pan American World Airways is seen by Vice President Alvin P. Adams, if the company can maintain its betterment in financial results shown during the past three years and, most assuredly, if favorable CAB action is forthcoming on certain route applications for which the company has applied.
Guest speaker at the January meeting of the PAA Management Club, Adams cited facts and figures to substantiate his predictions, calling particular attention to increased revenues from passengers and cargo during the past three years, accompanied by substantial reductions in operating costs.
The subsidy requirement, he believes, can be completely eliminated if PAA is permitted to provide the highly important and much required additional service on the Boston-New York-Miami route. The effects on subsidy elimination of other important new route applications the company has pending before the Civil Aeronautics Board were also stressed by Vice President Adams. These include nonstop service between New York and Mexico City; New York and Nassau; the right to serve Madrid, Spain, instead of Lisbon, Portugal, on the New York-South Africa route and the all-important Pacific Great Circle Route case.
No other airline, Adams said, has the facilities available to assume the operating responsibility of these additional routes, nor can they provide anywhere near the public service requirements with resulting benefits to the taxpayer.
Adams said he didn’t see how, in the light of evidence supplied by PAA at hearings, the CAB can deny the Northeast-Florida route to the airline. He also feels that PAA’s position is equally strong with regard to the other applications mentioned.
The great strides made during the past three years in carrying increased passenger and cargo traffic is attributed to long term planning, improved equipment and service and also intelligent rate modificatioens that have lead the way in many areas, specifically the forward lead in the Pacific tourist market with dual configuration airplanes, pay-later plan and Atlantic cargo rates. Adams said the addition of San Francisco as a coterminal with Los Angeles will produce a sharp increase in both passenger and cargo traffic and revenue between the Americas during the coming year.
President Asks Great Circle Route Review
Review of Pan American World Airways’ application for a Great Circle route to the Orient has been asked of the Civil Aeronautics Board by President Eisenhower.
A year ago, CAB recommended that the application be denied.
In a letter to CAB Chairman Ross Rizley, Mr. Eisenhower said he had been advised that new circumstances and developments have arisen that may make some of the considerations previously raised by the board no longer applicable.
The President’s “decision concerning the use of the Great Circle route by Pan American” has been held in abeyance since February 1, 1955, “pending further study and later report on the economic and technical feasibility and the military and foreign policy implications of nonstop service between the West Coast and the Orient.”
The declared policy of the government is for competition in American-flag air service to the Orient. Such competition cannot be maintain if one of the two carriers to the Orient is required to operate by a circuitous course which increases its expenses, which has already drastically curtailed its share of the United States mail, and which in the long run will similarly curtail its share of passenger and cargo traffic.
Requiring Pan American to make a stop at a mid-Pacific island adds 1,200 miles of unnecessary flying from San Francisco and is 2,000 miles longer from the traffic centers of the East and the United States, which provide over 50 per cent of the U.S.-Orient passengers. As a result of the circuity of Pan American’s route and the introduction of modern long range equipment by Northwest Airlines, Pan American’s share of U.S.-Orient mail has decreased from over 60 per cent a year ago to less than 40 per cent today. So long as Pan American is required to fly a circuitous course between the Pacific Coast and the Orient, further loss by diversion of mail from Pan American to Northwest will be inevitable. Under the permanent mail rate for Pan American which has been recently fixed by the Civil Aeronautics Board, every dollar of mail revenue that is lost by Pan American to Northwest increases Pan American’s subsidy by that amount and adds proportionately to the burden on the taxpayer.
Pan American will commence to receive deliveries of DC-7C equipment in the first half of 1956, and Northwest somewhat later. These
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Warfield Appointed DTSM In Kingston
Frank M. Warfield, a 14-year veteran of Pan American’s Latin American Division, has been appointed district traffic and sales manager, in Kingston, Jamaica.
Warfield joined PAA September 15, 1941, as a r e s e rvations clerk. Shortly thereafterhe transfe r r e d to traffic representative. During this time he was on various relief assignments i n Central America and the Caribbean. Appointed assistant station WARFIELD traffic manager in PAA’s Miami terminal in 1951, he was in this position until named to his new assignment on January 1. For three years, from November 1942 until October 1945, he was a member of the Naval Air Transport Service.
Born in Tampa, Florida, War-field attended local schools. He was in the hotel business in Pennsylvania’s Pocono Mountain resort area for a number of years before coming to PAA.
Warfield was married to the former Helen Wall, of Augusta, Georgia, in 1939. They have two daughters, both at home. The family will live in Jamaica.