The American Way

Because he was dissatisfied with his lack of authority, Marion Sadler three years ago abruptly quit as president of American Airlines. He gave the job back to Chairman C. R. Smith, who as he grew older, still dominated the airline he helped found. Smith persuaded Sadler to return and gave him responsibilities consonant with his title. Last week, however, word came that Sadler was about to quit again.

This time there is no question of his returning: the reason for the departure is a serious matter of health. Sadler, 56, survived a cancer operation 18 months ago, but he is still being bothered by complications. This week, therefore, American's board will accept his resignation and appoint Executive Vice President George A. Spater, 58, to take his place.

Some Satisfaction. Though Sadler departs before he intended to, he can take satisfaction from a 27-year career at American that began as a ramp agent. For one thing, the situation that prompted his earlier resignation has long since been settled. Financial Vice President William J. Hogan, who held about as much power as Sadler and reported to Smith, has retired, leaving the president to run the airline--with Smith's blessing, of course--pretty much in his own way. Beyond that, as a man who worked his way up through sales jobs and has constantly kept passengers in mind, Sadler leaves with some conspicuous marks on the industry.

It was he who thought up the half fare for young people, which has stimulated a new generation to fly, even while creating some problems for the industry. Sadler also conceived airline credit and the cut-rate fare for military personnel. Many an airline traveler is losing a friend he never knew he had. Along with collecting coins and studying Latin, onetime Schoolteacher Sadler's weekend habit was to fly to American cities, listen to complaints--and try to correct the problems.

Something New. Successor Spater springs from a completely different background. Born in Detroit, he studied law at the University of Michigan ('33), spent his time in corporate practice until he joined American in 1959 as general counsel. During the feud between Sadler and Hogan, Spater was given more and more responsibility, ended up as a natural successor to both. Ironically, in his new position Spater will gain something that Sadler has always wanted but never got. Naming him president this week, American's board of directors is also expected to name him chief executive, succeeding C. R. Smith, now 68.

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