Delta Air Lines annual report 1960

DELTA AIR LINES. INC
1960 ANNUAL REPOR
DELTA AIR
1960
ANNUAL
REPORT
LINES. INC.
C O N T E N T S
Page
Report from the President
and General Manager .... 2-9
Financial Results .......... 2
Services Rendered ........ 4
Personnel ................ 5
Regulatory Matters ....... 5
Equipment and Facilities ... 7
Capitalization and Financing 9
Outlook for the Future .... 9
Southern Transcontinental
Case and Route Map .... 10-11
Financial Statements ....... 12-16
Balance Sheets ............ 12-13
Statements of Income ...... 14
Statements of Capital Sur-
plus and Retained Earnings 15
Auditor's Opinion ........ 15
Notes to Financial
Statements ............. 16
Ten Year Summary
of Operations ............ 18-19
Ticket Offices ............ 20
Directors and Officers ..... 21






The twelve months encompassed by your Company's 1960 fiscal
year marked the advent of a new era in transportation. Airline
introduction of pure-jet equipment begun on a limited scale dur
ing the preceding year continued at an accelerated rate. Replace
ment of piston-engined equipment with pure-jct airplanes on
major routes proceeded rapidly, and historic travel patterns arc
being substantially altered by the speed and comfort of jet travel.
Delta Air Lines was first in the world to introduce into service
two of the three American-built commercial jct airplanes, with
Douglas DC-8 inaugural service on September 18, 1959 and
Convair 880 inaugural service on May 15, 1960. Your Company
achieved profitable operations during this transition period, not-
ANN UAL RE PORT TO THE STOC KHO LOE RS withstanding the significant burdens associated with its introduc
tion and expansion of pure-jet service.
FINANCIAL RESULTS
Traffic and earnings were inflated during the 1959 fiscal year by
the interruption of competitive services in late 1958 and early
1959 because of labor difficulties. A minor interruption of com
petitive services occurred in June, 1960 also, but its impact was
of less significance. These abnormal occurrences must be taken
into consideration in comparing operations for the two years.
REVENUES - Operating revenues increased 16% over the pre
ceding year to a record S120,191,000. The 13% increase in reve
nue passenger miles produced $12,228,000 of the total increase in
passenger revenue, surcharges on jet travel produced Sl,741,000
of the increase and the remaining Sl,641,000 (1.5% of total
passenger revenues) includes the effect for a full year of the pass
enger tariff adjustments effective in October, 1958.
Revenues for the transportation of cargo (mail, air express,
and airfreight) increased S515,000 (7.1%) to $7,753,000. These
revenues represented 6.5% of total revenues for the year, slightly
less than their proportional part in the 1959 fiscal year.
EXPENSES - Additional cash costs of $16,159,000 (19%) were
incurred in producing 15% more available seat miles and 20%
more available ton miles. Depreciation and amortization costs
rose $2,881,000 (32%) reflecting depreciation charges on the new
pure-jet aircraft placed in service during the year and amortiza
tion of pre-operating costs associated with the introduction of
that equipment. Total operating expenses of $113,460,000 were
20% above the 1959 fiscal year costs.
The 1960 fiscal year bore the brunt of advance personnel
staffing relating to the inauguration of jet service and the rapid
SOURCES
Passenger
and Excess Uaggage SI 11,249,197 92.56
Mail
S2, 140,292 1.78
Freight
and Express SS,612, 182 4.67
Other
Sl,189,554 .99
expansion of that service. Unit costs of operation, however, did
not vary significantly from those of the preceding year - the
cost of producing an available seat mile rose 4% to 3.75 and the
available ton mile cost rose less than 1 % (from 29.14 to 29.28).
EARNINGS AND DIVIDENDS - In the 1960 fiscal year 58.0% of the
total scat miles produced were sold, a slightly lower percentage
than in the preceding year. In addition to the greater benefits
accruing in 1959 from the interruption of competitive services,
the general settling of the national economy following the steel
strike in the early part of the 1960 fiscal year and continued
political unrest in the Caribbean exerted downward pressures
upon passenger load factors.
Operating income followed the passenger load factor trend
and dropped from $9,385,000 to S6,731,000; cash income (oper
ating income plus depreciation and amortization charges) of
S 18,483,000 in the 1960 fiscal year represented a slight increase
over the cash income of S18,255,000 in the preceding year. Net
income from operations after interest, taxes, and other non-oper
ating charges was S2,683,000, equivalent to 2.23 for each dollar
of revenue. Net profits (after taxes) of S156, 148 realized from the
disposition of flight equipment increased total earnings to
$2,839,000 (S2.53 a share), as compared with the $4,062,000
(S3.62 a share) earned in the preceding year when there were no
equipment sale profits.
Your directors continued Delta's outstanding dividend record
Total Dollar Rev
by declaring four cash dividends of 30 a share paid on September
1, 1959, December 1, 1959, March 1, 1960, and June 1, 1960,
marking the 12th consecutive year of cash dividend payments.
On July 28, 1960 the 49th cash dividend, of 30 a share, was de
clared payable September 1, 1960 to stockholders of record at the
close of business on August 12, 1960.
SERVICES RENDERED
The world's first pure-jet Douglas DC-8 service was begun by
your Company on September 18, 1959, climaxing four years of
planning and preparation. This historic event came within weeks
of the 30th anniversary of Delta's pioneering of scheduled pass
enger service on its Trans-Southern route. Another significant
"first" was achieved on May 15, 1960 with Delta's introduction
of the world's newest and fastest jetliner - the Convair 880- to
the nation's travelers and shippers.
Early inauguration of pure-jet service was followed by its
rapid expansion over the system as additional aircraft were de
livered. Advance commitments and attainment of programmed
service inauguration dates resulted in your Company being the
sole provider of the faster, more luxurious, vibration-free jet
travel in its major markets for several months.
The public response to jet service has been most gratifying,
and passenger load factors on jet operations have consistently ex
ceeded system load factors. Jet aircraft produced 15. 9% of system
seat miles for the 1960 fiscal year and carried 19.8% of the revenue
passenger miles. In June, 1960 jet seat miles were 25.5% of the
total, and it is expected that further service implementations
as additional Convair 880's are delivered will result in approxi
mately 40% of the 1961 fiscal year scat miles being produced by
Douglas DC-8's and Convair 880's - the finest equipment
known today.
Jet services increased rapidly during the year, as shown by the
following tabulation:
SYSTEM SEAT MILES (000)
Percentage DistributiOII
Quarter Ended Jet Aircraft Other Total Jet Aircraft Otl1er
September 30, 1959 .. 4,661 695,942 700,603 .7% 99.3%
December 31, 1959 . . 109,158 645,777 754,935 14.5 85.5
March 31, 1960 ..... 168,341 616,445 784,786 21.5 78.5
June 30, 1960 ...... . 198,708 588,418 787,126 25.2 74.8
Fiscal Year Totals .... 480,868 2,546,582 3,027,450 15.9% 84.1%
Interest in the maximum reasonable development of lower
fare aircoach services did not diminish during the year. Aircoach
seat miles represented 42.4% of system seat miles in the 1960 fiscal
year, a new high, and coach passenger miles rose from 624 million
to 757 million - up 12%. Delta brings the advantages of air
coach service to 34 of the 60 cities it serves.
Continuing deterioration of conditions in the Caribbean dic
tated curtailment of services in that area. Seat miles operated on
your Company's international routes were reduced from 126
million to 114 million and represented less than 4% of total oper
ations. The passenger load factor on these routes decreased, not
withstanding these service adjustments, and after the close of the
1960 fiscal year international services were further reduced in
order to more closely relate capacity to demand.
The cargo carrying capabilities of our jct aircraft provided a
stimulus to the growth of airfreight, and airfreight ton miles rose
11 %- Delta continued to cooperate with the Post Office De
partment in expediting mail deliveries. Transportation of first
class mail by air between certain designated cities on a space
available basis, begun as an experiment in 1953, was expanded in
recent months to include additional cities and mail movements.
PERSONNEL
The successful introduction of jet service created 844 additional
jobs during the year and broadened employee opportunities
throughout the Company. More than 40% of the 7,567 em
ployees at year-end have over five years experience with Delta.
For the first time, annual payments to or for the benefit of em
ployees passed the $50,000,000 level.
Flight, maintenance, and ground personnel underwent ex
tensive training to meet the challenges of new aircraft and new
operating techniques. The skills, abilities, and loyalties of our
employees smoothed the transition into jet equipment and are
among the major assets upon which we must rely in coping with
the problems of the intensely competitive years ahead.
PERSONNEL AT JUNE 30, 1960
Number
Pilots... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 715
Stewardesses. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 469
Maintenance and engineering personnel . . . . . . . . . . . . . . . 2,461
Sales, reservations, and ticketing persom1el. . . . . . . . . . . . . 1,585
Stations operations personnel. . . . . . . . . . . . . . . . . . . . . . . . . 1,589
All other personnel. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 48
Totals. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,567
REGULATORY MATTERS
Per Cent
of Total
9%
6
33
21
21
10
100%
THE SOUTHERN TRANSCONTINENTAL SERVICE CASE - In this pro
ceeding, now in its third year, the Hearing Examiner on June 20,
1960 recommended that Delta be extended beyond Dallas and
Fort Worth to California by two routings: (1) via Lubbock,
Albuquerque, Tucson, Phoenix and San Diego to Los Angeles/
Long Beach, and (2) via Lubbock, Albuquerque and Las Vegas
to San Francisco/Oakland. Although extensive non-stop oper
ations would be permitted (Atlanta to the West Coast, for ex
ample), his recommendations would require that Delta's Florida
California flights be operated via Atlanta and that New Orleans
California flights make a mandatory stop at Dallas or Fort Worth.
I, 2, 3
4
5
A Delta Convair 880
apprnaches Delta's
exclusive Jetway
loading bridge in
Atlanta
View from opposite
side.
View inside Jetway,
toward DC-8 front
compart111ent.
2
3
4
5
l
"?
-



IN MEMORIAM
During the past year Delta mourned the deaths of
two long time officers and directors and four able
and experienced pilots.
Laigh C. Parker, Senior Vice President and
Assistant to the President, passed away on Decem
ber 23, 1959. He had served the Company with
distinction for over a quarter of a century.
Carl H. McHenry, Secretary-Treasurer, died
on March 23, 1960. He had been associated with
Delta since its earliest days and served devotedly
for more than 32 years.
Captain James H. Longino, First Officer Bryan
E. Bolt, Captain H. L. Laube, and Captain W. F.
Williams died in a tragic accident May 23, 1960,
while on a routine training flight at Atlanta Air
port. They had a combined total of more than 55
years service with the company.
All of these gentlemen made important and
lasting contributions to the growth and develop
ment of Delta Air Lines. We shall miss them and
their outstanding abilities.
While the Examiner's recommendation for Delta route exten
sions is substantial, it is hoped that the Board in its final decision
will expand those recommendations, particularly through the
elimination of the mandatory stop provisions proposed by the
Examiner. Delta will also urge the Board to recognize the large
traffic volumes required to support the operation of high-speed,
high-capacity jct aircraft which are going into service in increas
ing numbers and so refrain from creating excessive competition
in this proceeding.
The map and text on pages 10 and 11 of this Report contain
additional detail of this case, in which CAB decision is expected
late this year or early in 1961.
DOMESTIC CARGO MAIL SERVICE CASE - Hearings have been
concluded in this general investigation of the specialized all-cargo
air carriers, and the Examiner's Initial Decision is pending. The
issues in this proceeding include the question of whether these
specialty carriers are to receive subsidy for the carriage of air
freight, and the possibility of their being replaced by all-cargo
service provided by domestic trunk line combination carriers
such as Delta. Your Company seeks authorization to provide all
cargo service to additional Florida points for the purpose of pro
viding better directional balance in its loads. Final CAB decision
in this case could have a major impact upon the future of Delta's
cargo service and can be expected in 1961.
OTHER ROUTE PROCEEDINGS - The CAB authorized a local
service carrier to provide airline service to Selma, Alabama and
Hattiesburg, Mississippi in lieu of the service formerly provided
by Delta. Accordingly, Delta suspended service to those cities on
April 24, 1960.
During the year Delta, along with several other carriers, par
ticipated in two other cases. In the Sarasota/ Bradenton Investiga
tion, provision of additional airline service to Sarasota/Bradenton,
Florida is at issue. In the Toronto-B11jfalo Case, U. S. flag carrier
service from Toronto to Florida is under consideration.
GENERAL PASSENGER FARE INVESTIGATION CASE - During the
pendcncy of this proceeding begun in 1955, an interim passenger
fare increase approximating 6.6% was authorized effective
February 10, 1958 and a second interim increase approximating
3.5% was authorized in mid-October, 1958. The Examiner's
Initial Decision issued on May 27, 1959 recommended that
domestic passenger fares should be increased to a point approxi
mately 12% above the pre-February, 1958 levels. Confronted
with higher price levels, intensified competitive pressures, and
deteriorating profit margins in the airline industry, the CAB
concluded this proceeding by authorizing an upward adjustment
in passenger fares of 2.5% plus Sl.00 a ticket effective July 1, 1960.
It is estimated that this action will increase your Company's pass
enger fares by 4.5%-5% and will develop some $5,500,000 in
additional revenues during the 1961 fiscal year.
In reaching its decision in this proceeding, the CAB found
that the fair overall rate of return for the domestic trunk line in
dustry is approximately 10.5% of investment, based upon a
somewhat lower return for the four largest carriers and a some
what higher rate of return for the remaining trunk line carriers
(including Delta). These rates of return reflect general earnings
levels which the industry should be afforded an opportunity to
achieve over an extended period but do not establish a precise
level that an individual carrier or the industry may realize at any
given time. The earnings standard determinations adopted by the
CAB arc a constructive step toward economic stability and
should facilitate translation of future price level changes and com
petitive influences into needed rate adjustments, including review
of the presently-scheduled June 30, 1961 expiration date for jet
surcharges and the Sl.00 per ticket increase.
MAIL RATE OFF-S.ET ISSUE - On J tmc 2, 1960 the United States
Circuit Court of Appeals for the District of Columbia upheld
the CAB decision that Delta should repay to the Post Office
Department Sl,795,000 in mail pay received by Chicago and
Southern Air Lines, Inc. in the 1946-1952 period, prior to its
lUNDS PROVIDED BY:
Net ear111ngs, excluding equipment sales
merger with Delta. The Company has petitioned the Supreme
Court of the United States for certiorari to review the judgment
of the Court of Appeals; ultimate disposition of this case cannot
now be determined. Further detail is contained in Note 2 to the
financial statements.
EQUIPMENT AND FACILITIES
During the 1960 fiscal year Delta expended $36,550,000 to ac
quire and place in service jet flight equipment. This was a record
expenditure for new flight equipment in a single year and
brought to $102,121,000 the total expenditures for that purpose
in the five years then ended. The sources of funds for these and
other disbursements (exclusive of operating expenses) are shown
in the analysis appearing below on this page; it should be noted
that acquisition of jet aircraft is being accomplished without
capital financing involving present or potential dilution of stock
holder equity.
The first of a fleet of six Douglas DC-8 Jetliners was accepted
by Delta Air Lines in July, 1959. The DC-8 seats 119 passengers
and is powered by four proven and tested Pratt & Whitney J-57
jet engines developing 52,000 pounds of thrust. Initial operations
were begun on September 18, 1959; all six airplanes were deliv
ered and placed in service by the end of 1959, and operating
experience has been most satisfactory. The DC-8 has thus earned
its place as the finest in a long line of dependable Douglas-built
. ,
.... ..... '
Tora/ f>r
5 Years
s 13,585
1960
s 2,683
Fisrnl Years J..:11ded ],me 30
1959 1958 1957 1956
S 4,062 s 932 S 2,539 S 3,369
Eqt11p1ncnt retirement proceeds, less taxes
..... 5,332 2,'i82 158 93 2,499
Deferred mcomc taxes, net, payable in later years
...
D<..
prec.iation .1nd an1ortization accruals
.............
.. ,
. . .
Sale of conunon stock
............. ... . . . . . . . . ...
Borrowmgs under rredit agrccrncnts
......
Miscellaneous, pnnc,pally expenses not
requmng casb expenditures ........
FUNDS USED FOR:
. . . . . . . .
Flight ,quipment additions, includmg advances
..
Preparatory costs for jct operations ...................
(,round facility and equipment additions
....... ........
Redncuon of long-term debt
..................... . . .
Cash div1d,nds., ........
All other pnrposes
.. . . . . . . . . . . . .
10,246
46,485
4,329
43,600
629
$124,206
S 99,527
2,594
7,161
5,679
5,298
1,282
$121,541
2,780 2,120 2,817 1,420 1,109
12,753 9,637 9,873 7,239 6,983
4,329
20,000 5,000 12,600 6,000
81 178 16 71 283
S40,879 S20,997 $26,396 $21,691 $14,243
$34,306 $13,960 $23,856 $16,368 Sll,037
2,24.J 350
2,173 1,269 1,298 1,240 1,181
2,143 3,536
1,346 673 1,010 1,3-16 923
18') 234 161 542 156
$42,401 S 16,48(, $26,325 S19,496 $16,833
Net Change mWorking Capital. .... ... ............. +S 2,665-S 1,522 -t-S 4,511 -t-S 71 -t-S 2,195-S 2,590
Workmg Capital at 13cginning of Period . . . . . . . . . . . . . . 6,076 10,263 5,752 5,681 3,486 6,076
Workini-; Capital at End of Period.,.................... S 8,741 S 8,741 Sl0,263 S 5,752 S 5,681 S 3,486
airplanes successfully operated by Delta beginning with the DC-2
and continuing through the DC-3, DC-4, DC-6 and DC-7.
In February, 1960, Delta accepted the first Convair 880 Jet-
liner and promptly set a new coast-to-coast speed record for
commercial airplanes on the delivery flight. The 2,359 miles be-
tween San Diego, California and Miami, Florida were flown in
just over 3 hours, at an average speed of 668 miles an hour.
Scheduled Convair 880 flights were inaugurated on May 15,
1960, and three 880' s had been placed in service by the end of
J tmc, 1960. Nine additional 880' s arc on order; six are to be deliv-
ered in the last half of 1960 and three (including a replacement
for the airplane destroyed in a training accident on May 23,
1960) in the late summer of 1961.
New maintenance facilities at Miami, Florida and Atlanta,
Georgia were completed and occupied under long-term leases.
Both facilities were constructed to your Company's specifica-
tions, and the Atlanta facility is adequate for the complete over-
haul of jct airplanes and engines. During the year S2, 173,000 was
expended for the acquisition of ground equipment and other
facilities, consisting principally of specialized equipment required
for jct aircraft servicing and maintenance.
The following schedule sets forth the aircraft owned by
Delta at June 30, 1960:
Seating
Manr,fact11rer Model Number Coufig11ratio11
Douglas ................ DC-3 10 25
Douglas ................ DC-6 7 76
Douglas ................ DC-7/DC-7B 20 71/85
Douglas .......... . ..... DC-8 Jet 6 119
Convair ......... . ...... 340/440 28 44
Convair ................ 880 Jct 3 84
Curtiss .. . .............. C-46 5 Cargo
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30 1-----1--4----1---1--1---4-
28 1--~--4----1---1---1-
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26 l--~--4----1---1---1-
24 1-----1--4----1--+
22 L---l--4----1--+
20 ...___. _ __._
18 1-----1--4-
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12
10
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STOCKHOLDER EQUITY PER SHARE*
Adj11stt>d to Rtflta 25% Sto<.k Dividend Paid)unt 29. 1956
1 - - - - - - - - r 4. 1' Eami11gs
s Y EAR TOTAL { - Casi, Dir,ide11ds
Inc/11di11g Profits from Sale of 5/11ip111ew
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EARNINGS AND DIVIDENDS PER SHARE
FLIGHT EQUIPMENT
In addition to the owned aircraft, four DC-6's are being oper
ated under short-term leases. Deliveries of aircraft on order will
permit the elimination of DC-3 aircraft from scheduled service
by the end of the year.
CAPITALIZATION AND FINANCING
At June 30, 1960 SSS,000,000 had been borrowed under the
credit arrangements negotiated in 1958 with banks and insurance
companies, and the remaining SS,000,000 available thereunder
will be taken down by December 31, 1960. Details of those
credit agreements are contained in Note 1 to the financial
statements.
Both credit agreements limit cash dividend payments to 70%
of net earnings after June 30, 1958 plus $1,000,000; at June 30,
1960 accumulated earnings ofS3,702,000 were unrestricted. The
agreements permit accelerated repayments under certain condi
tions and contain provisions not considered onerous governing
maintenance of working capital and creation of additional debt.
Stockholder equity reached a record high of $38,902,000 at
June 30, 1960, equivalent to S34.67 for each of the 1,122,233
shares then outstanding. It is expected that no additional financing
will be required by present commitments for equipment purchases.
Two Delta DC-8 Jetliners at first Jet ways installed at Atlanta terminal.
OUTLOOK FOR THE FUTURE
Your Company, having skipped the wrbo-prop stage in its
equipment planning, is entering this new year with the finest of jet
equipment and is in an advantageous position to meet the desires
and needs of the traveling public. Its loyal and devoted personnel
arc anxious to undertake the operations of the new routes to the
West Coast recommended by the Civil Aeronautics Board
Examiner.
The special characteristics and needs of the airlines were recog
nized by the Civil Aeronautics Board in reaching its decision in
the General Passenger Fare Investigation Case. Recognition of
these and other factors of particular regulatory significance -
the impact of jct aircraft upon requirements of a proficient route
system and the effect of jct speed and capacity upon competitive
operations - portends a healthy atmosphere for the sound
growth and development of the nation's civil air transportation
system.
September 9, 1960 PRESIDENT AND GENERAL MANAGER
fill
0 E LT A
-
--L .. 1,
.:.:J
DOUGLAS DC-8
CONVAIR 880
--- -- ---------,
EXCERPTS FROM
CAB EXAMINER'S
INI TIAL DECISION
IN SOUTHERN
TRANSCONTINENTAL CAS E
" .... non-designated within-area
and beyond-area points make Delta
uniquely qualified ... to provide
a maximum of service benefits
over the transcontinental
route Atlanta-West."
"Delta's service proposals in chis
case are designed co meet the needs
of various segments of the traveling
public: The first-class and coach
travelers, the low fare 'thrifccoach'
passenger, the cargo shipper, the
military traffic and the vacationer."
"The record leaves no doubt chat
Delta's proposed cargo operation
will provide a needed service for
both industry users and a
substantial number of national
defense installations in the area
under investigation."
SAN FRANCISCO

OAKLAND
LEG E N D
- Caribbean Routes
- Cities which Delta seeks
to serve and routes
recommended by CAB
Examiner in the
transcontinental case.
CHICAGO
FT. WAYNE e
INDIANAPOLIS e
DAYTON

e TOLEDO
e COLUMBUS
KANSAS CITY
ST. LOUIS e

CINCINNATI
SPRINGFIELD
HOT SPRINGS e
e LOUISVILLE

EVANSVILLE

PADUCAH
CHATTANOOGA
e LEXINGJON
KNOXVILLE

e
ASHE\/ l-HEND SONVILLE
C
\
ARLOTTE
e qREENl/ll SPARTANBUJIG
e COLUMBIA
ATLA A
e CHARLESTON
This pending proceeding, perhaps the most important in your Company's
history, involves Civil Aeronautics Board consideration of the need for addi
tional airline service across the southern part of the United States and selection
of the carrier or carriers to provide any services found needed.
APPROACHES FINAL DECISION
The CAB Hearing Examiner has recommended that Delta's east-west Route
24 be extended beyond Dallas and Fort Worth to Los Angeles-Long Beach, via
Lubbock, Albuquerque, Tucson, Phoenix and San Diego, and also to San Fran
cisco-Oakland via Lubbock, Albuquerque and Las Vegas. Under this recom
mendation, your Company would be authorized to provide the first direct
single-carrier service (non-stop, express and point-to-point) between the major
cities of Georgia, Alabama, Mississippi and North Louisiana and the principal
cities of New Mexico, Arizona, Nevada and California. Single plane service
would also be possible between other cities east of Texas and the proposed new
points in the Texas-California area, subject to restrictions requiring one or more
stops at intermediate points.
Delta began "Trans-Southern" service more than 31 years ago. Over the
years it has steadily increased its participation in the traffic moving between the
principal cities involved in this case across the gateway cities of Dallas, Fort
Worth and Houston, and participates in the carriage of 75% of those passengers .
Existing Delta service to other cities in the Southern and Southeastern part of
the United States, the Caribbean, and South America will both provide impor
tant traffic support for the proposed new authorizations and additionally benefit
the traveling public in those areas.
Delta's continuing participation in the traffic at issue in this proceeding is vital
to its economic well-being. Access to those long-haul traffic markets constitutes
Delta's greatest present need as the industry moves farther into the jet era, and
the ability to serve those markets effectively will be a major step toward achiev
ing equality of competitive opportunity in the airline industry of the future.
Recognizing that the public need for adequate air transport service is and must
remain the paramount issue, Delta is the logical carrier to assume primary re
sponsibility for providing the needed air services. Delta's willingness, ability and
readiness have been convincingly documented during the extensive hearings.
The Examiner's affirmative recommendation is encouraging notwithstanding
the restrictions which he would apply to the new authority proposed for Delta.
The Examiner also recommended extensive new operating authority for other
airlines in this proceeding. Those recommendations would create multiple and,
in your Company's opinion, excessive competition in certain markets. Your
Company will urge that the Civil Aeronautics Board in its final decision remove
the burdensome restrictions proposed for it so that a full measure of the services
found needed can be provided by Delta and the certification of uneconomic
competitive operations will not be necessary. A decision along those lines would
strengthen your Company and would contribute materially to the development
of a sound air transportation system properly adapted to the needs of the com
merce of the United States, the postal service, and the national defense.
NEW YORK
NEWARK
PHllAOELP,JifA
DELTA AIR LIN ES. I NC. 'BALANCE S H E ET S ]1111e 30, 1960 a11d 1959
ASSETS
CURRENT ASSETS:
Cash .................................................................
U. S. Government securities, at cost. ..................................... .
Accounts receivable -
Traffic (net) ......................................................... .
Other .............................................................. .
Maintenance and operating supplies, at average cost ........................ .
Prepaid expenses .......................................................
Other current assets .................................................... .
Total current assets ........................................ .
OTHER ASSETS (Net assets of dusting
division and other investments) .......................................... .
PROPERTY AND EQUIPMENT:
Cost-
1960 ..................
1959 ................................ .
Reserves for depreciation -
1960 ................................ .
1959 ................................ .
F/iglrt
Eq11ip111e11t
$130,099,752
86,424,713
51,325,271
44,784,235
Otl,er
Property a11d
q11ip111e11t
S 13,350,482
11,249,565
6,533,839
5,593,616
Advance payments for new flight equipment ............................... .
DEFERRED CHARGES, ETC.:
Preparatory costs for jet operations, being amortized ........................ .
Advances for leased facilities, being amortized .............................. .
Other deferred charges .................................................. .
1960
s 8,601,649
6,794,680
6,511,886
2,164,890
1,442,696
1,066,251
141,441
S 26,723,493
S 422,047
S143,450,234
57,859,110
S 85,591,124
6,942,100
S 92,533,224
s 2,040,720
134,340
35,683
s 2,210,743
$121,889,507
1959
S 15,227,334
4,099,292
3,694,472
816,593
48,534
61,654
S 23,947,879
S 388,270
S 97,674,278
50,377,851
S 47,296,427
23,228,615
S 70,525,042
s 349,642
133,665
82,402
s 565,709
S 95,426,900
LIABILITIE a11d Stockl,o/der Equity
CURRENT LIABILITIES :
Notes payable maturing within one year .................................. .
Accounts payable and accrued liabilities ................................... .
Accrued vacation pay ................................................... .
Tickets outstanding subject to refund or use ............................... .
Air travel plan deposits ................................................. .
Accrued Federal and state taxes on income ................................. .
Total current liabilities ..................................... .
LONG-TERM NOTES PAYABLE (Note 1) .............................. .
RESERVES AND DEFERRED CREDITS:
Deferred Federal income taxes ........................................... .
Reserve for contingencies (Note 2) ....................................... .
Other ................................................................ .
STOCKHOLDER EQUITY:
Common stock, par value $3.00 per share -
Authorized 1,500,000 shares
Issued and outstanding 1,122,233 shares at June 30, 1960,
and 1,122,221 shares at June 30, 1959 .................................. .
Capital surplus ......................................................... .
Retained earnings (of which $15,871,568 is not presently available
for cash dividends under terms of credit agreements) ...................... .
PURCHASE COMMITMENTS (Note 3)
Tl,e acco111pa11yi11g 110/es are a11 integral part of tl,ese state111e11ts.
1960
S 2,143,000
9,900,825
1,995,000
1.,808,129
1,211,250
924,786
S 17,982,990
S 52,857,000
S 11,571,000
500,000
76,108
S 12,147,108
s 3,366,699
15,962,472
19,573,238
S 38,902,409
$121,889,507
s
1959
6,729,931
1,429,000
1,521,916
1,125,400
2,878,747
S 13,684,994
S 35,000,000
S 8,791,000
500,000
41,330
S 9,332,330
s 3,366,663
15,962,088
18,080,825
S 37,409,576
S 95,426,900
1/)
STATEMENTS
OF
For tl,e Years ended J1111e 30, 1960 and 1959
OPERATING REVENUES:
Passenger ............................................................. .
U. S. Mail. ........................................................... .
Freight ............................................................... .
Express ............................................................... .
Excess baggage ........................................................ .
Other operating revenue -net .......................................... .
Total operating revenues ....................................... .
OPERA TING EXPENSES:
Flying operations ...................................................... .
Maintenance .......................................................... .
Aircraft and traffic servicing ............................................. .
Promotion and sales .................................................... .
Passenger service ....................................................... .
General and administrative .............................................. .
Operating expenses before
depreciation and amortization ................................ .
Depreciation and amortization -
Flight equipment owned .............................................. .
Less - Net depreciation credits arising
from equipment interchange agreements .......................... .
Ground property and equipment ....................................... .
Amortization of jct preopcrating costs .................................. .
Depreciation and amortization ................................. .
Total operating expenses ...................................... .
Income from operations before income taxes .................... .
OTHER EXPENSE (INCOME):
Interest expense (less capitalized interest on advances for flight equipment -
S771,000 in 1960 and $807,000 in 1959) ................................. .
Other-net .......................................................... .
Total other expense .......................................... .
Income before income taxes ................................... .
PROVISION FOR TAXES ON INCOME:
Current Federal and state income taxes .................................... .
Deferred Federal income taxes ........................................... .
Net income ................................................. .
SPECIAL ITEM - Profit on disposition of flight equipment,
less applicable income taxes of $59,400 .................................... .
Net income and special item ................................... .
1960
$109,671,406
2,140,292
4,250,345
1,361,837
1,577,791
1,189,554
$120,191,225
S 32,151,166
24,455,871
18,824,184
13,573,386
9,364,591
3,339,317
$101,708,515
S 11,187,210
(1,000,568)
1,012,384
553,048
S 11,752,074
$113,460,589
s 6,730,636
S 1,490,683
(177,982)
S 1,312,701
S 5,417,935
s 520,000
2,215,000
s 2,735,000
s 2,682,935
156,148
s 2,839,083
1959
S 94,061,577
2,151,953
3,879,389
1,206,184
1,490,510
1,015,832
$103,805,445
S 27,969,920
20,909,722
15,151,804
11,797,470
6,850,847
2,870,063
S 85,549,826
s 8,801,536
(766,058)
835,307
s 8,870,785
S 94,420,611
s 9,384,834
S 628,703
(75,091)
S 553,612
S 8,831,222
s 2,649,400
2,119,600
s 4,769,000
s 4,062,222
s 4,062,222
Tl,e acco111pa11yi11g 110/es are a11 integral part of these state111e11ts.
INCOME
S TATEMENTS OF CAPITAL SURPLUS AND RETAINED EARNINGS
Capital
For tht Year emled June 30, 1960
AUDITORS' OPINION
Retained
Surplus E(1min.4,!S
Balance at beginning of year ............................. . SIS,962,088 $18,080,825
Add:
Net income .......................................... . 2,682,935
Special item - Profit on disposition of Right equipment, less
applicable income taxes of S59,400 .................... . 156,148
Excess of proceeds over par value of 12 shares of common
stock issued during year in exchange for scrip .......... . 384
SlS,962,472 S20,919,908
Deduct:
Cash dividends on common stock - St.20 per share ...... . 1,346,670
Balance at end of year - (S 15,871,568 of retained earnings is
restricted as indicated on balance sheet) ................. .
Tl,e auompm,ying notes are an integral part of these sltl!emems.
ARTHUR ANDERSEN & Co.
To the Board of Directors,
Del to Air Lines, Inc,:
SlS,962,472 Sl 9,573,238
TnE W1u.u..MO" .eu1u>n-ro
Arl.J\VTA 0
We have examined the balance sheet of Delta Air Lines, Inc.
(a Louisiana corporation) os of June JO, 1960, and the related statements
or income, capital surplus and retained earnings for the year then ended.
Our examination was made in accordance with generally accepted auditing
standards, and accordingly included such tests of the accounting records
and such other auditing procedures as ve considered necessary in the
circumstances. We had made a similar examination for the year ended
June JO, 1959.
In our opinion, the accompanying balance sheet and statements of
income, capital surplus and retained earnings present fairly the financial
position of Delta Air Lines, Inc, as of June JO, 1960, and the results of
its operations for the year then ended, and were prepared in conformity
vith generally accepted accounting principles applied on a basis
consistent with that of tbe preceding year.
Atlanta, Georgia,
August 12, 1960.
-
-
S TO FINANCIAL STATEMENTS
ju11e 30, 1960
1. LONG-TERM NOTES PAYABLE: The Company has entered into a credit agreement with a group
of twenty-four banks under which the borrowing of a maximum ofS35,000,000 is permitted on 4 % unsecured
notes maturing December 30, 1960, at which time the outstanding aggregate balances on such notes will be
consolidated into one 4 % note payable in 28 equal quarterly installments beginning on March 31, 1961. As of
June 30, 1960, $30,000,000 had been borrowed under this agreement.
The Company has borrowed S25,000,000 from four insurance companies, on 6% unsecured notes,
pursuant to agreements entered into in November, 1958. Repayments are to be made on a semi-annual basis
beginning on April 1, 1968, with final maturity in 1974.
2. CONTINGENT LIABILITY: As a further step in mail pay proceedings begun in 1952, the Civil Aero
nautics Board (CAB) by order dated February 18, 1959, held that Chicago and Southern Air Lines (C&S),
received excessive international mail pay of (1) $729,000 based on "offset" principles applied to periods prior to
1953, and {2) $1,066,000 during a "reopened" period of December 16, 1950, through July 31, 1952. Delta, as
successor to C&S, feels that the CAB has erred in several respects in its determination under the "offset" princi
ples and that the CAB was incorrect in reopening the question of mail rate levels. Delta has appealed the CAB
order and on May 4, 1959, the United States Court of Appeals for the District of Columbia, upon petition by
Delta and without objection by the CAB or the Post Office Department, granted a stay of the CAB order
pending completion of judicial review. On June 2, 1960, the Court of Appeals issued its decision upholding the
CAB order. Delta has requested the U. S. Supreme Court to review this decision. Ultimate disposition of this
case cannot now be determined; a $500,000 reserve has been provided in connection with this contingent liability.
3. FLEET EXPANSION PROGRAM: The Company has outstanding commitments for the purchase of
nine Convair Model 880 {Jct) aircraft to be delivered in 1960 and 1961. The acquisition of these aircraft, to
gether with related spare parts and accessories, will require the outlay of approximately $15,000,000 in 1960
and $16,000,000 in 1961.
-
N"""TE
DECADE
OF
GROWTH
Years e11ded ]1111e 30 1960
Total assets.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $121,889,507
Current assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,723,493
Current liabilities................................. 17,982,990
Net working capital. . . . . . . . . . . . . . . . . . S 8,740,503
Stockholder equity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . S 38,902,409
Stockholder equity per share* . . . . . . . . . . . . . . . . . . . . . . $34.67
Shares of common stock outstanding*............... 1,122,233
Operating revenues
Passenger .................................... .
Mail. ....................................... .
Express ..................................... .
Freight. ..................................... .
All other .................................... .
$109,671,406
2,140,292
1,361,837
4,250,345
2,767,345
Total revenues ........................ $120,191,225
Operating expenses (excluding
depreciation and amortization) ................. .
Depreciation and amortization .................... .
Total expenses ...................... .
Operating ratio .............................. .
Net non-operating revenue or (expense) ............ .
Net income before taxes .......................... .
Taxes on income ................................ .
Net income ......................... .
Net income as % of revenues ........ .
Special item-profit on disposition
of flight equipment (after taxes) ................ .
Total income and special item ..................... .
Per share of stock outstanding* ................. .
Dividends paid ................................. .
Dividends paid per share* ..................... .
Revenue plane miles (000) ........................ .
Revenue passengers carried ....................... .
Available seat miles (000) ........ , ................ .
Revenue passenger miles (000) .................... .
Passenger load factor .......................... .
Available ton miles (000) ......................... .
Revenue ton miles (000) ........................ .
Overall load factor ........................... .
Percent of scheduled miles fl.own. , ... , ............ .
*Adjusted to reflect 25% stock dividend paid],me 29, 1956.
$101,708,515
11,752,074
$113,460,589
94.40%
S (1,312,701)
s 5,417,935
2,735,000
s 2,682,935
2.23%
s 156,148
s 2,839,083
$2.53
s 1,346,670
$1.20
49,405
3,241,511
3,027,450
1,757,208
58.04%
387,552
195,373
50.41%
97.03%
1959
S 95,426,900
23,947,879
13,684,994
S 10,262,885
S 37,409,576
$33.34
1,122,221
S 94,061,577
2,151,953
1,206,184
3,879,389
2,506,342
S103,805,445
S 85,549,826
8,870,785
S 94,420,611
90.96%
$ (553,612)
s 8,831,222
4,769,000
s 4,062,222
3.91%
s
s 4,062,222
$3.62
s 673,270
$.60
46,022
2,988,241
2,622,740
1,554,630
59.28%
324,018
174,936
53.99%
97.04%
1958 1957
$80,941,307 $66,931,027
15,453,600 16,773,180
9,701,837 11,092,231
S 5,751,763 S 5,680,949
S34,019,718 $33,965,765
$30.32 $30.27
1,122,045 1,121,944
$80,217,086 $71,873,125
1,795,885 1,636,218
952,510 1,015,947
2,954,896 2,230,512
2,252,318 1,840,201
S88,172,695 $78,596,003
$76,276,726 $65,782,059
9,354,358 6,728,875
$85,631,084 $72,510,934
97.12% 92.26%
$ (599,865) $ (556,423)
S 1,941,746 S 5,528,646
1,010,000 2,990,000
s 931,746 $ 2,538,646
1.06% 3.23%
s 131,409 s 82,939
S 1,063,155 S 2,621,585
$.95 $2.34
S 1,009,791 $ 1,346,109
$.90 $1.20
44,972 41,671
2,728,220 2,572,982
2,479,428 2,206,408
1,408,857 1,299,482
56.82% 58.90%
301,105 260,431
156,332 141,861
51.92% 54.47%
97.40% 97.62%
1956 1955 1954 1953 1952 1951
$54,638,388 $54,049,882 $48,089,997 $37,966,469 $16,836,905 S14,402,050
15,140,819 18,762,696 15,888,546 14,706,498 7,186,793 6,093,494
11,654,690 12,686,444 8,861,111 9,192,041 6,618,627 4,541,282
S 3,486,129 S 6,076,252 S 7,027,435 S 5,514,457 s 568,166 S 1,552,212
$28,357,864 $19,845,898 $16,233,227 S15,647,278 S 9,808,493 S 8,658,043
$28.47 $23.99 $21.64 $20.86 $15.69 $13.85
996,219 827,391 750,000 7$0,000 625,000 625,000
$60,557,924 $53,966,525 $45,144,949 $28,946,479 $23,995,938 Sl9,006,936
1,468,247 1,462,684 1,723,703 1,131,578 1,035,599 1,306,752
1,045,567 917,609 844,483 550,305 431,240 374,480
2,020,061 1,844,168 1,766,266 1,044,338 827,927 720,719
1,712,827 996,975 854,481 665,102 727,417 812,112
$66,804,626 $59,187,961 $50,333,882 $32,337,802 $27,018,121 $22,220,999
$53,168,806 $47,047,051 $43,021,159 $26,641,944 $21,155,513 $17,499,480
5,661,358 6,444,981 5,275,152 2,259,784 1,485,556 1,389,721
$58,830,164 $53,492,032 $48,296,311 $28,901,728 $22,641,069 $18,889,201
88.06% 90.38% 95.95% 89.37% 83.80% 85.01%
s (536,266) S (1,376,754) S (1,359,987) S(l,345,957) s 12,398 s (75,000)
S 7,438,196 S 4,319,175 s 677,584 S 2,090,117 S 4,389,450 S 3,256,798
4,069,000 2,412,000 394,000 688,000 2,739,000 1,625,000
S 3,369,196 S 1,907,175 s 283,584 S 1,402,117 S 1,650,450 $ 1,631,798
5.04% 3.22% .56% 4.34% 6.11% 7.34%
S 1,308,770 s 258,850 S 1,022,365 S 2,756,561 s s
S 4,677,966 S 2,166,025 S 1,305,949 S 4,158,678 S 1,650,450 S 1,631,798
$4.70 $2.62 $1.74 $5.54 $2.64 $2.61
s 922,990 s 720,309 s 720,000 s 575,000 s 500,000 s 375,000
$.96 $.96 $.96 $.80 $.80 $.60
33,962 31,579 31,916 20,672 17,531 15,698
2,261,770 2,039,018 1,712,562 1,119,688 940,120 759,803
1,726,941 1,517,891 1,344,069 776,157 653,121 541,038
1,080,267 952,426 769,653 507,713 427,534 345,246
62.55% 62.75% 57.26% 65.41% 65.46% 63.81%
207,416 182,997 162,345 94,045 80,089 71,987
118,544 104,927 87,251 57,565 48,093 40,480
57.15% 57.34% 53.74% 61.21% 60.05% 56.23%
98.39% 98.79% 98.29% 98.83% 98.98% 98.91%
These data reflect operations of Delta Air Lines, [11c., a11d do 11ot include t/1e C&S system prior to May 1, 1953.
/
:.,. ~ . . . ~ ..... _ ?
' ..- _.,
- -
. ~'-.. -~-
DELTA TICKET OFFICES:
TICKET OFFICES RESERVATIONS TELEPHONE
ALEXANDRIA Bentley Hotel ..................................... HILLCREST 2-4471
ASHEVILLE Battery Park Hotel. .................................... ALPINE 2-7601
ATLANTA Fulton National Bank Bldg., Piedmont and Biltmore Hotels JACKSON 4-3242
AUGUSTA Richmond Hotel. ........................................ PARK 2-8811
OALTIMORE Lord Balt imore Hotel. ........................... SOUTHFIELD 6-2100
BATON ROUGE Capitol House Hotel. .......................... ELGIN 5-4491
IIBAUMONT Hotel Beaumont .................................. RANDOLPH 2-3471
llIRMINGHAM 2002 Fifth Ave., N .................................... LYRIC 2-9601
BRUNSWICK Malcolm-McKinnon Airport ......................... MELROSE 8-2531
CARACAS, VENEZ. Edificio Paris, Plaza Candelaria ......................... 55-8488
CHARLESTON Francis Marion Hotel ........................... SHERWOOD 4-2567
CHARLOTTE Lobby, Selwyn Hotel. ................................ EXPRESS 9-0481
CHATTANOOGA Hotel Patten .................................... MADISON 2-8336
CHICAGO 67 East Monroe, Conrad Hilton Hotel,
1649 Orrington, Evanston, Illinois ............................ FINANCIAL 6-5300
CINCINNATI Sheraton-Gibson and Netherland -Hilton Hotels ......... DUNBAR 1-3232
CIUDAD TRUJILLO, DOM. REP. El Conde 79 .................................. 2-5350
CLEARWATER St. Petersburg-Clearwater International Airport. ................ 3-8318
COLUMBIA Hotel Wade Hampton .................................. SWIFT 4-3000
COLUMBUS, GA. Ralston Hotel. .................................. FAIRFAX 7-7458
COLUMBUS, OHIO Deshler Hilton Hotel .......................... BELMONT 7-2571
DALLAS 212 S. Akard St. (Baker Hotel) and
Lobby, Marriot t Motor Hotel ............................. FLEETWOOD 7-6161
DAYTON Biltmore Hotel. .................................. TWIN OAKS 8-3651
DETROIT 1205 Washington Blvd. and
Lobby, General Motors Bldg ............................. WOODWARD 5-3000
EVANSVILLE McCurdy Hotel .................................... HARRISON 5-9023
FORT LIIUDEROIILE 10 s. Federal Hwy ..........................
JACKSN 4-0331
FORT WAYNE Van Orman Hotel. ................................. SHERWOOD 4191
FORT WORTH Hotel Texas ....................................... EDISON 2-7871
GREENVILLE Municipal Airport. .................................... CEDAR 2-8213
HATTIESBURG Municipal Airport ................................. JUNIPER 2-1643
HAVANA, CUBA Prado 301 ................................................ 6-8224
HENDERSONVILLE Asheville-Hendersonville Airport ................. OXFORD 3-7211
HOT SPRINGS Hot Springs Memorial Airport. ..................... NATION/IL 3-1671
HOUSTON Rice and Shamrock-Hilton Hotels ...................... CAPITOL 5-1361
INDIANAPOLIS Lobby, Claypool Hotel. ........................... MELROSE 7-1554
JACKSON Heidelberg Hotel .................................. FLEETWOOD 2-0861
JACKSONVILLE Hotel Robert Meyer ............................... ELGIN 3-3171
KANSAS CITY Muehlebach Hotel. .................................. GRAND 1-7733
KNOXVILLE Farragut Hotel .............................................. 7-6611
LEXINGTON Blue Grass Airport. .......................................... 4-5569
LITTLE ROCK C apitol at Ferry St. (Coachman's Inn) ............... FRANKLIN 5-9111
LOS ANGELES 530 West Sixth St. . . . . . . . . . . . . . .............. MADISON 7-9669
LOUISVILLE Shop 102, Starks Bldg ................................. JUNIPER 2-2681
MACON Hotel Dem psey ....................................... SHERWOOD 3-6731
MARACAJBO , VEN. Edificio lcuma Ave. 5 de Julio Maracaibo ................. 75-281
MEMPHIS Peabody Hotel. ..................................... WHITEHALL 8-2641
MERIDIAN Key Field ..................................................... 2-3141
MIAMI 300 N. E. First St. (Columbus Hotel) ...................... FRANKLIN 3-0441
MIAMI BEACH 1632 Collins Ave. and 230 71st. St .................. FRANKLIN 3-0441
MONROE Frances Hotel. ........................................ FAIRFAX 3-5116
MONTEGO BAY, JAMAICA Casa Montego Hotel. ............................... 2811
MONTGOMERY Jefferson Davis Hotel. ........................... AMHERST 4-7313
NEW ORLEANS St. Charles and Roosevelt Hotels ...................... TULANE 8592
NEW YORK Rockefeller Center, 5 West 49th St.. ................... .
Airlines Building, 80 East 42nd St ..............................
100 Broadway .............................................
Lobby, Statler Hotel, 7th Ave. and 33rd St ...................... .
East Side Terminal, First Ave., 37-38 Sts....................... . . PLAZA 1-6600
West Side Terminal, 42nd St. and 10th Ave .....................
200 Livingston St., Brooklyn .................................
35 Mamaroneck Ave., White Plains .........................
635 Madison Avenue, 15th Floor ...........................
NEWARK 13 Commerce Street ................................. MITCHELL 2-2228
ORLANDO San Juan Hotel. ....................................... CHERRY 1-4531
PADUCAH Barkley Field ............................................... 443-1732
PHILADELPHIA Bellev ue-Stratford Hotel (Broad St. Ent rance) ........ SARATOGA 7-9900
PORT ARTHUR Jefferson County Airport ......................... RANDOLPH 2-3471
PORT-AU-PRINCE, HAm c/o Nadal & Co ...................................... 3313
SAN JUAN, PUERTO RICO Hotel L a Concha ................................ 9-0045
SAVANNAH Manger Hotel ........................................ ADAMS 3-0267
SELMA Sclficld Airport ......................................... T RINITY 4-7581
SHREVEPORT Captain Shreve Hotel. .................................... 425-3232
SPARTANBURG Memorial Airport ..................................... 582-7131
SPRINGFIELD Municipal Airport ................................ UNIVERSITY 4-7353
ST. LOUIS Lobby, Statler Hotel. ..................................... MAIN 1-7580
ST. PETERSBURG St. P
etersburg-C learwater International Airport ...... ORANGE 1-7141
TAMPA 500 Florida Ave. (Hillsboro Hotel) ................................. 2-2911
TOLEDO Commodore Perry Hotel Arcade ...................... UNIVERSITY 5-2366
TULSA Alvin Hotel, 627 So. Main ................................. LUTHER 2-0202
WASHINGTON 1605 K. St . N.W. and Washington Hotel. ............ DISTRICT 7-9600
WEST PALM BEACH George Washington Hotel. ................... OVERLAND 3-4121
TODD G. COLE
Atlanta, Georgia
R. W. COURTS
Atlanta, Georgia
C.H. DOLSON
Atlanta, Georgia
EMERY FLINN
Miami, Florida
I(. W. FREEMAN
Chairman
EDWARD H. GERRY
New York, New York
JOHN R. LONGMIRE
St. Louis, Missouri
R. S. MAURER
Atlanta, Georgia
WINSHIP NUNNALLY
Atlanta, Georgia
New O rleans, Louisiana
DIRECTORS
OFFICERS
CARLETON PUTNAM
Washington, D. C.
TODD G. COLE
J. WOODALL RODGERS
Dallas, Texas
C. E. WOOLMAN
President and General Manager
Execuuvc Vice President - Admmistration
and ASS1st2nt Secretary
W. T. BEEBE ERLE COCKE, JR.
Vice PrCStdent - Personnel Vice President - C1v1c. Affairs
R. S. MAURER
Vice PrCStdent -
Legal and Secretary
T. M. MILLER
Vice President -
Traffic and Sales
GEO. M. SNELLINGS, JR.
Monroe, Louisiana
C.H. DOLSON
Execunve Vice President -
Operations
ROBERT L. GRIFHTH
Vice President
ROBERT OPPENLANDER
Comptroller and
Treasurer
CHARLES P. KNECHT
Assmant Vice President -
Sales
PAUL W. PATE
Assistant Vice Prcstdent -
Properties
R. H. WHARTON
ASS1Stant Vice President -
Personnel
C. BOYCE WILDER
Ass1st;int Vice President
Operauons - Technical
CA THERINE FITZGERALD
Assistant Treasurer
J. R. HOWELL
Assistant Treasurer
HUGH H. SAXON
Assistant Treasurer
C. E. WOOLMAN
Atlanta, Georgia
TRANSFER ACE'-TS: The Citizens and Southern Nanonal !lank, Atlanta, Georgia REGISTRARS: Trust Company of Georgia, Atbnta, Georgia
The First Nmonal City Bank of Ne" York. Ne" York, New York Morgan GuJranty Trust Company of Ne\\ York, New York, !\;cw York
COMMON STOCK: Listed 0n th< 1',;e" York Stock Exchange AlDITORS: Arthur Andersen & Co. A-.st.;AL MEETI,;C: October 18, 1960, Monroe. Loumana
TA AIR SI C.
GENERAL OFFICES ATLANTA AIRPORT, ATLANTA, GEORGIA
DEL LINE . N ~