Pan Am clipper, Vol. 3, No. 9, September 1977

              

September
Volume 3 Number 9
Pan Am net
T
is all-time July record
Pan Am reported net income for July of $23.1 million, a record for any July in the company’s history. This represents an increase of $9.7 million over the comparable figure for July 1976 of $13.4 million, before extraordinary items.
Reported net income for July 1976 was favorably impacted by extraordinary items of $4.5 million, due principally to gains on an exchange of debentures. This increased 1976 July net earnings to $17.9 million.
Pan Am’s net income for the first seven months of 1977 was $16.7 million, a $51.6 million year-to-date improvement over a 1,976 loss of $34.9 million, before extraordinary items. Extraordinary items related to the exchange of debentures raised net earnings for the first seven months of 1976 to $68 million.
‘Overdue for good news’
Chairman Seawell, commenting on the July and year-to-date results, said, “We are highly pleased with the record earnings for July and the great improvement for the fixst seven months of this year. We have experienced the most serious problems and have performed severe and difficult surgery on this company in an effort to succeed.
“We have an effective and efficient organization. Our employees and investors are long overdue for some good news and I am most happy for it.
“At the same time, I note, as I must, that we are operating in an environment of very strong competition by a multitude of foreign airlines owned and supported by their governments. This disparity means that we must always face the future with concern..
“Costs are rising everywhere while pricing is declining in certain markets. Thus, although we
Nancy Hafner, Aware Executive Committee member and coordinator of political activities, hopes to deluge Congress with letters from Pan Am employees supporting the Airline Regulatory Reform Bill sponsored by Senators Howard Cannon and Ted Kennedy. If passed, the bill would have a significantly healthy impact on Pan Am.
Employees rally behind reform bill
(EDITOR’S NOTÉ: Pan Am strongly supports regulatory reform. Legislation currently pending in Congress would give the company the best chance in years to strengthen the domestic base of its international operations. Here is a report on the status and ramifications of the legislation, the mobilization to push for passage, and what all employees can do to make their individual voices heard.)
By Bryce Miller
Vice President Walter Mondale, presiding over the U.S. Senate, rapped his gavel—once, twice, three times.
“... recognize the senior Senator from Illinois,” he said.
Charles H. Percy bounced to his feet.
“Mr. President,” he began, then paused a few seconds to get the attention of his colleagues and the visitor’s gallery.
“Mr. President,” he continued, “another major airline and its employees have decided to support the Airline Regulatory Reform Act of 1977. Pan American, the nation’s largest international air carrier, recently announced its endorsement of this important legislation ... it is significant that the unionized employees as well as the corporate management of Pan American support this bill.
“Many of those who oppose the (Continued on page 7)
have good reason to be pleased with our progress, we are constrained to regard the immediate future with caution as well as with determination.”
Total operating revenues in July (Continued on page 6)
Aware launches fund raising campaign
Dorothy Kelly honored
Dorothy Kelly
Purser Dorothy Kelly, one of the nine Pan Am crew and ground staff survivors of the Tenerife accident, has been awarded this year’s Flight Safety Foundation Heroism Award for her actions in helping passengers and fellow crew members from the flaming wreckage of the disaster.
The award to Mrs. Kelly marks the first time a Pan Am employee has been cited for the Foundation’s Heroism Award.
Mrs. Kelly and her husband will travel to Ottawa, Canada, where the New York-based purser will receive the award September 21 at the Awards Banquet of the Foundation’s 30th International Air Safety Seminar.
The citation Mrs. Kelly will receive states:
“... for her courage, determination and deep concern for her pas-(Continued on page 2)
“Give a Damn for Pan Am”— employees will be seeing a lot of that slogan in upcoming months, as Aware launches a major fund raising campaign.
Complete with ads like the one on page 5 of this issue of Clipper 77, the campaign will use badges, iron-on transfers for T-shirts, posters and even a campaign theme song, to get the word across to employees.
Why?
“Because we’re flat broke,” says Felicia Fairchild, Chairman of Aware.
“We think Aware is a fine program that needs to be continued. But we need money to become financially stable and self sustaining. Simply, we need employee financial support ta continue our activities,” she says.
Membership kit
“The people of J. Walter Thompson Advertising Agency have volunteered their time to develop the program for us—a program that we feel certain will be successful,” says Miss Fair-child.
Here is how the program works: an employee becomes an official Aware member simply by making
a contribution. This may be done by filling out the payroll deduction coupon (page 5) or by contributing a lump sum.
Payroll deduction requests or contributions are then returned to Felicia Fairchild, Chairman, Executive Committee of Aware, Aware Headquarters, Pan Am Building, New York, N.Y. 10017, U.S.A.
In return, the contributing employee will receive an official Aware gold lapel pin and membership kit.
The kit contains a membership card, letter of welcome, five Aware handbooks outlining the five areas of Aware (Marketing, Political, EPIC, Fund Raising and Communications), sample logos for use by the employee at his local station, a plastic record of the Aware anthem for use by employees at home or at the office or for use as a gift to friends or relatives, and iron-on transfers for T-shirts.
We’re delighted to be able to help in this project,” says Jack Conroy, Vice President-Management Supervisor at J. Walter Thompson.
“Since our initial involvement back in 1974 when the employee
advertising effort started in Berlin, we’ve seen a great improvement in the worker-management relationship at Pan Am. Certainly no other airline, and no other U.S. company, to my knowledge, has a group of employees so concerned with improving their own performance.
“We hope this new campaign will help to harness some of that unique pride and enthusiasm.”
Where will money go?
Exactly how will the money collected be spent?
Some of the money, to be put in a central fund, will be used in the marketing area,” says Miss Fairchild. Among other things, we plan to continue, and hopefully expand, our hosting of receptions for travel agents and cargo agents; to develop an employee marketing program designed to tap the ethnic markets throughout the U.S.; and participate at the ASTA (American Society of Travel Agents) Convention this fall.
“In the political area, employees will continue to meet with Senators and Congressmen and other Washington officials in support of legislation backed by Aware.
(Continued on page 3)