THE WHITE HOUSE

WASHINGTON

June 23, 1922.

Gentlemen:

I find pleasure in adding a word expressive of my interest in aerial transport, and in the presentation of the subject which is being made by the Aeronautical Chamber of Commerce. The history of civilization is largely the history of communication. Each stage of progress seems to demand and develop improved means of transport. The steamship, the railroad and the motor car have been devised and utilized. Now we enter a new phase. It is a real distinction to America, to be known as the birthplace of the airplane; it should be our concern that this art shall not languish, but that in its practical application we shall lead the world. The amazing development will take place in the near future in the utilization of the air as a medium of transport and communication. As a government, we are aiming to provide this art with necessary guaranties of law, and with such facilities as may be possible through the encouragement of airways and terminals. But for air transport quickly to achieve the important place it is destined to occupy, it must have public interest and support. I hope your efforts in this behalf may be productive of most gratifying results.

Very truly yours,

Margstering

Aeronautical Chamber of Commerce of America, Inc.,

501 Fifth Avenue,

New York City, N. Y.

CHAPTER II

COMMERCIAL AIRCRAFT IN THE UNITED STATES; CRITICAL STUDY OF SERVICES PERFORMED AND PROBLEMS OVERCOME

T

O express the opinion that American leadership in the air is more remote than it was a year ago, and yet to assert that, in commercial aviation, we are steadily gaining confidence and demonstrating increased usefulness, is to present an apparently contradictory but really truthful picture.

The Aeronautical Chamber of Commerce estimates that approximately 1,200 commercial aircraft were in operation in the United States during 1922. This is the same figure given for 1921, losses and depreciation being compensated for in new construction and in the release by the Government of additional surplus equipment.

As in 1921, it is estimated that about one-half, or 550 to 600 of all the commercial aircraft, are in the hands of itinerant fliers, or gypsies, whose movements are very difficult to trace, and 600 to 650, according to reports voluntarily submitted, are under the control of the fixed-base operators, or those who have the responsibility assumed with financial or business obligations.

A careful analysis of available records, together with observation and correspondence, justifies the belief that, while in 1922 there was if anything a decrease in civilian flying, as compared with 1921, commercial aviation as a whole was upon a much sounder basis. Free demonstration flying, merely for publicity purposes, is no longer regarded as necessary. Stunt flying with passengers has diminished in favor of paid flying without passengers and under stricter safeguards. In many instances even this type of demonstration is being abandoned for "taxi work," or long-distance, cross-country flights with passengers or cargoes of merchandise. This "taxi-flying," in turn, is the natural introduction to air transport, on schedule, which is the aim of commercial aviation.

FIRST PRACTICAL STEPS TAKEN

Having taken the first practical steps toward providing services for which the public will pay, the fixed-base operators are so improving their manner of operation that they are learning what it costs to do business. They are getting longer and more continuous

use from their equipment. They have learned that curiosity is fickle but that a permanent market is found for their activities in meeting the every-day demands of commerce and industry. Consequently, as compared with 1921, they have reduced their charges for short flights over 22 per cent; their charge per mile for inter-city passenger transportation over 21 per cent, and their charge per pound per mile for merchandise about 87 per cent.

Here are the comparative recapitulations, among transient and permanent operators, for 1921 and 1922:

Note that these figures do not cover all operations, but are limited to actual replies from the log books of those operators maintaining complete records.