Friday, Jan. 31, 1969
Storm over the Pacific
The hardest-fought commercial air battle in Washington memory seemed to end last month when Lyndon Johnson awarded new Pacific routes to six of 18 carriers that had sought them for more than a decade. Johnson's choices were two Pacific veterans, Pan American and Northwest, and newcomers TWA, Continental and all-cargo Flying Tiger. In addition, Braniff got new runs to Hawaii. Last week Richard Nixon said: nothing doing. In a letter to the Civil Aeronautics Board, Nixon stated that he would "recall the matter" and later on "advise you of my decision on the merits."
Why the upheaval? The losers--and some not-so-satisfied winners--had complained that Johnson's original awards were made less on merit than on the wondrous performance of old political cronies who had interests in the victorious carriers. Eastern Airlines, a loser that has already been in serious difficulties (TIME, Jan. 24), had the least political lift of all.
Nixon's step was highly unusual, but he has had experience with this sort of thing. The last time that a Pacific case came up for decision was in 1961, when Vice President Nixon watched Dwight Eisenhower express his irritation over high-altitude lobbying by foreign and domestic airlines. Ike tossed the whole matter back to the CAB for a new version --during his last 24 hours in office.
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