Word: cabs
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Only two months after he moved into his job, Civil Aeronautics Board Chairman Whitney Gillilland last week took a step that was long overdue. In the first clear sign that Gillilland intends to supply CAB with a new brand of leadership, CAB scrapped the cut-rate charter fares charged by nonscheduled and scheduled airlines flying for the Air Force's Military Air Transport Service, biggest U.S. airline; CAB said that the low fares will be replaced by higher, published tariff rates, with a reasonable margin of profit. This removes the position of privilege that has enabled many nonskeds...
Beginning during the Korean war, when certificated airlines operating in the Pacific did not have the capacity to meet the tremendous increase in military airlift requirements, CAB granted special rate and other economic exemptions to lines flying charter contracts for MATS. At cut-rate prices established by competitive bidding, nonskeds got the right to fly to given points regardless of the regular carriers already certificated on the route. The effect, CAB now concedes, was to develop "what amounts to an overlapping air transport system...
...taking a loss. Airlines have successfully bid for MATS charters, then had to go out and buy or lease their first planes. Losing out to the low-priced nonskeds, scheduled U.S. lines found themselves making money-losing bids to win MATS contracts. The competitive bidding used by MATS, said CAB, "is not conducive to sound economic growth and development of air transport capability." During the past five years, MATS spent some $300 million for international, overseas and Alaskan air transportation, all of it outside the regulatory system established by CAB. By scattering its business among so many airlines, MATS...
...less attractive routes. Its routes start in Atlanta and branch out only after Albuquerque to San Francisco and Los Angeles, while National's net starts in Miami, spreads out from Houston to Los Angeles and San Francisco. Stodola's recommendations must be acted on by the full CAB. The rebuffed carriers plan to fight them...
...biggest general-purpose forklift truck ever made was demonstrated by Clark Equipment Co. The dramatic-looking Ranger-700 can lift 35 tons (35 times the capacity of smaller truck lifts), has 6-ft.-high tires, and two sets of controls, between which the operator in his air-conditioned cab can swing to keep his view unblocked. It can lift a trailer carrying half a dozen autos, hoist truck trailers on and off flat cars in rail road piggybacking. Ford has ordered five for its steel division. Price: $90,000 each...