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Aviation History
1962
1962 - 0120.PDF
120 FLIGHT Internationa; 25 January 1962 Latest Sikorsky helicopter project is the S-65, powered by two Pratt and Y/hitney JFTD-12 turbines, and capable of carrying 50-60 passengers up to 400 miles at speeds between 150 and 200 m.p.h. If orders were placed, the S-65 could be operating by 1965 AIR COMMERCE CAR COMPETITION A CAUTIOUS attitude towards lower fares and the traffic increases that could be expected from them was expressed recently by W. A. Patterson, president of United Air Lines, in an address before the Wings Club in New York entitled "Our Imposed Problems and Their Solution." Pointing out that the estimated $30m loss of the US domestic trunks last year was approximately six times the industry's loss in 1948 (the last year in which it made a net loss), Mr Patterson stressed that common-carrier passenger transport by US railroads, buses and airlines had been declining for many years. In 1947, almost 71,000m common-carrier passenger-miles were operated, but in 1960 the total was less than 62,000m. A large part of airline growth represented traffic diversion from surface carriers, particularly from the railways; and the harsh fact was that airlines had been getting a larger and larger share of a total volume that was steadily dwindling. The decline of approximately 13 per cent in common-carrier traffic since 1947 had been accompanied by an increase of more than 140 per cent in inter-city automobile passenger-miles. But this did not mean that new markets could necessarily be developed among car travellers and the 90m Americans who had never flown before. Mr Patterson had a simple rule of thumb to test any new potential market. It consisted of three questions: first, was the desire there ? Second, was the need there ? And, third, did this particular market have the means ? Many of the 90m who had never flown had neither the desire to fly nor the means; many more could only fly during holiday periods, assuming they had the means. It had been suggested that those with modest incomes, of the order of 15,000 a year, budgeted as much as 10 per cent of their salaries for travel; but Mr Patterson was convinced that the percentage, whatever it might be, was irretrievably earmarked for a holiday in the family car, probably in a remote spot away from cities and airline service. Mr Patterson advocated actual field tests to determine if low fares could attract a large volume of motorists and result in airline profits. Routes could be carefully isolated for control purposes with costs, traffic levels and other factors under thorough study for a suitable period. And, just as laboratory research was underwritten, the carriers taking part in the experiment could be subsidized for any losses. The airlines could not reasonably be expected to experi ment at their own expense, thought Mr Patterson, especially when a profit cushion was lacking. Past low-fare experiments had failed to generate sufficient traffic to offset the revenue reduction and the costs of providing the service; some time ago United had reduced fares to Hawaii by 25 per cent and travel had increased 24 per cent, or one per cent less than the volume required to break even on the discount. The growth of coach travel had been accompanied by a steady decline in first-class travel; for every four who shifted to coach, United had to get one new passenger to break even. "The reduction in revenue due to this kind of inward growth has contributed to the industry's present financial condition," said Mr Patterson. All the market research and planning that had preceded the first jet orders in 1955 had been disrupted by route award piled upon route award; there were now nine airlines instead of two on the New York - Washington route and four airlines instead of two on the New York - Chicago route. A standard reply to protests about excessive competition was that the CAB merely awarded what the airlines have requested. This was true, but Mr Patterson pointed out that regulatory power included the power to hold individual interests in check, and that it was an express duty of the CAB under the Civil Aeronautics Act to foster sound economic conditions and maintain competition to the extent necessary to ensure sound development. Mr Patterson urged a thorough study of excessive competition to clarify what should be stripped away to produce balanced competition and economic health. The next step would be to achieve airline agreement on a withdrawal policy, so that those who were last to begin service on a route would be the first removed. This would take a considerable time and the only realistic course open in the interim would be to provide temporary fare increases as a measure of relief while legal analysis and fact-finding were in progress. ROYAL TOUR CREWS FLY OUT THE crews of the two BE A Heralds in which the Duke of Edinburgh is to make his Royal Tour of South America next month left London for Kingston, Jamaica, on January 14 by BO AC Boeing 707. The crews include two BEA captains, two first officer pilots, two catering staff and a purser; they rendezvoused at Kingston with Herald G-APWC, which left for Jamaica on January 11 flown by Handley Page's chief test pilot, Sqn Ldr H. G. Hazelden, and a Handley Page crew. The Herald was handed over to Capt William J. Johnson, Flight Manager of BEA's Training Flight, and on January 17 Capt Johnson began a 20,000-mile, three week-long proving flight over the entire South American continent. During this 90-hour proving programme over the route to be covered by the Duke, Capt Johnson and his crew are to land and take off from the world's highest airport—La Paz, Bolivia, 13,500ft above sea level. A second Herald, G-APWA, will leave for Port of Spain, Trinidad, in readiness for the start of the Royal Tour on February 9. It will be flown across the Atlantic by a BEA crew commanded by Capt Stanley J. Nicolle. RADIO FOR CHINESE VISCOUNTS AMERICAN reaction to the sale of Viscounts to Communist China has taken tangible form in the refusal of the US Government to allow any patents held by Standard Telephones and Cables from its parent International Telephone and Telegraph Corp to be applied to radio equipment in the aircraft concerned. This would affect VHF communications radio and VOR/ILS receivers normally supplied for some Viscounts by STC, although this equipment is designed and produced in Britain. There are objections also to the sale of airborne weather radar and radio altimeters, but the former is wholly designed and made in Britain by Ekco. In any case, China probably has no need for VOR
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