Pan American clipper, Vol. 22, No. 3, May 1963

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OVERSEAS DIVISION
Volume 22 May-June, 1963 No. 3

Rabat & Belgrade DC-3 Jet Cargo Flights JoinPAA Network Service Start on June 17
Two important capital cities — Rabat, Morocco and Bel­ grade, Yugoslavia — have been added to our world-wide route network. Direct service between New York and Morocco was in­
au g u rated on A pril 28. O ur J e t C lippers now provide th e first single-plane service between the U nited S tates and th e N orth A frican Kingdom. J e t C lippers fly to R abat, the capital, on a once-a-week sched­ ule. F lig h ts leave New York on Sundays a t 10 P.M., arriv in g at Lisbon a t 9 :30 the next m orning and a t R ab at a t 10:40 A.M. From R abat, the flight con­ tin u es to M onrovia and A ccra. R etu rn flights leave R abat a t 2:45 P.M. on T uesdays arriv in g in New York a t 8:25 P.M. a fte r a stop a t Lisbon. J e t C lippers make Morocco only eig h t hours and 40 m in­ utes d ista n t fro m New York. The capital city of R abat is on th e A tlan tic coast of A frica, a few miles aw ay from m odern C asablanca. Gateway to both popular beach reso rts and to the ski slopes of the A tlas M ountains, R ab at is also only a sh o rt distance from M arra­ kech, a fav o rite vacation place of S ir W inston C hurchill. P an Am continues to serve D akar w ith nonstop flights from New York leaving a t 7 P.M. on T uesdays and F ridays. D akar flights continue on to M onrovia, A ccra and Lagos, and once a

Begins

Pan American will open the Jet Age in air freight, as it did in passenger transportation, making the first scheduled flights June 17 with Boeing 707-321C all-cargo Jet Clippers, Willis G. Lipscomb, Vice President-Traffic/Sales, announced.
Je t freig h te r service will be inaugurated w ith simultaneous crossings of both the A tlantic and the Pacific. W ith its fleet of Boeing 707-321C’s — the world’s largest je t tran sp o rt — P an American will provide 12 jet freig h te r flights each week be­ tween the United States and Europe and six between the U ni­ ted States and the Orient. Mr. Lipscomb predicted th a t Pan A m erican’s J e t Cargo Clip­ pers will drastically revise exist­ ing pattern s of international dis­ tribution, leading to m ajor cost reductions in the future. Pointing out th a t each new je t freig h te r will do six times the work of a cu rren t pistonengine cargo aircraft, Mr. Lips­ comb said all-cargo jets should have as g reat an im pact on the movement of goods as passenger jets have had on tourism and business travel. C arrying a g reater load of a ir freig h t for longer distances non­ stop than any other aircraft, Pan Am erican’s new freig h ters will leave San Francisco a t 1 1 :30 p.m. and deliver Am erican goods at Tokyo at 6:05 the following m orning, a fte r a stop a t Hawaii. On eastbound flights, the jet freig h ters will fly nonstop three times a week from Tokyo to San

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OUR NEWEST PLANE — recently put into regular service — is this time-honored DC-3, which was the hottest thing in the air 25 years ago. For the full story, see page 13.

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Seek to Buy ported In Pan American World Airways’ 35th Annual Report Juan T. Trippe, President, re­ Plan New that gross revenues for Pan American for the first time reached a half billion dollars. stated that 1962 was a year of progress for the company, principally because of its larger Interchange Grace’s Half He business volume. Of Panagra With Delta
W. R. Grace & Co. and P an A m erican W orld A irw ays, Inc. announced recently th a t the Civil A eronautics Board had been asked to approve th e p u r­ chase by P an A m erican of G race’s 50% stock holding in P an A m erican-G race A irways, Inc. (P a n a g ra ). U nder an agreem ent filed w ith th e CAB, P an A m erican would pay Grace $10,625,000 or, a t G race’s option, a specified num ber of P an A m erican shares fo r G race’s h a lf ow nership of P an ag ra. If th e sale is approved by the CAB, P an A m erican would own 100% of P an ag ra. In a jo in t statem en t today, J. P e te r Grace, P resid en t of W. R. Grace & Co., and Ju a n T. Trippe, P resid en t of P an A m erican, s a id : “We believe to day’s agree­ m ent offers a prom pt solution to th e dual ow nership of P an ag ra. The re su lts flowing from the 50/50 ow nership of th a t Com­ pany have been the su b ject of litig atio n fo r m any years and Mr. Trippe credited the larg e r business volume to the “produc­ tion of m ass tra n sp o rta tio n at lower u n it cost — carried on under the A m erican system of free private en terp rise as a regulated public u tility under economic supervision of the Civil A eronautics B oard.” He pointed out th a t P an Am­ eric an ’s yield p er passengermile fo r the y ear was 5.88 cents, lower th an any other m ajor a ir­ line, reflecting the com pany’s long-time policy of low fa res and rates fo r the trav e lin g and shipping public. P an A m erican will continue to urge approval of the pro­ posed m erger of P an A m erican and T rans W orld A irlines, Mr. Trippe said, although proceed­ ings before the Civil A eronau­ tics Board have been delayed by legal m atters in w hich TWA is involved. M ajor economies, Mr. Trippe pointed out, will be achieved by the m erger. The m erger would enable the U nited S tates to regain a fa ir share of the tra n sa tla n tic t r a f ­ fic lost to foreign-flag airlines over the p ast ten years and a t the sam e tim e bolster the U nited S ta tes’ balance of paym ents position and gold reserve, Mr. Trippe declared. The re p o rt listed n et income fo r 1962, a fte r taxes, a t $15,000,000, or $2.23 per share, com­ pared w ith $8,900,000 or $1.34 per sh are fo r 1961. These ea rn ­ ings w ere a fte r paym ent of $3,288,000 to E astern A ir Lines under the airlin e in d u stry m u­ tu al aid agreem ent, covering the period when E astern was sh u t down by a strike. O p erating revenues of P an A m erican W orld A irw ays fo r 1962 were $503,900,000 com­ pared to $460,400,000 fo r the previous year, an increase of 9.4 per cent. O perating expenses were $458,900,000 com pared to $434,100,000 in the previous year, an increase of 5.7 per cent. A lthough strik e th re a ts d u r­ ing the early p a rt of 1962 in the crew com plem ent dispute be­ tween com peting unions “di­ verted m any m illions of dollars in revenue to com peting c a r­ rie rs,” Mr. T rippe said th a t Pan A m erican’s passen g er traffic in ­ creased 17 p er cent and cargo traffic increased 22 p er cent over 1961. P an A m erican’s annual re ­ port showed th a t the airlin e VISITOR from outer space? No, just operated 7.3 billion passengera devoted coemp in the perform­ miles d u rin g 1962. Revenue p as­ ance of his duties. For the story, sengers totaled 4,495,000, up
see page 14.

$15,000,000 In Profits Announced by Trippe

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Daily je t service from New O rleans and A tlan ta to Europe will be provided by D elta A ir Lines and P an A m erican W orld Airw ays, the two U nited S tatesflag ca rriers announced re ­ cently. An agreem ent has been signed by th e airlin es w hich w o u ld e s ta b lis h th e firs t through-plane service between the two m ajor Southern cities and points in Europe. F lig h ts will operate over the routes of both ca rriers w ith D elta flying the segm ent from New O rleans and A tlan ta to a P an A m erican gatew ay city in the n o rth ea ste rn U nited S tates and P an A m erican o p erating the tra n s a tla n tic portion w ith a lte rn a tin g flights to London and P aris. A P an A m erican A irw ays J e t C lipper will be used fo r single­ plane service to and from E u ­ rope fo r New O rleans and A t­ lanta. The agreem ent is sub­ ject to approval by the Civil A eronautics Board.

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