Northeast Airlines Annual Report 1950

ANNUAL
REPORT
NORTHEAST AIRl/NES
1950
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NORTHEAST
INC.
AIRLINES
'Board of 'Directors
PAUL F. COLLINS, Chairman
JACQUELINE COCHRAN
New York, N. Y.
JAMES F. FITZGERALD
Boston, Mass.
GEORGE E. GARDNER
Boston, Mass.
GEORGE E. GARDNER.
A. A. LANE
ROBERT L. TURNER
HAMIL TON HEARD
R. H. HERRNSTEIN
HENRY E. FOLEY
FOLEY, HOAG AND ELIOT
LYBRAND, Ross BRos. & MONTGOMERY
OLD COLONY TRUST COMPANY.
THE FIRST NATIONAL BANK OF BOSTON
EUGENE L. VIDAL
New York, N. Y.
Officers
GRENVILLE L. HANCOCK
Boston, Mass.
RADU lRIMESCU
New York, N. Y.
ALBERT C. MCMENIMEN
Boston, Mass.
President
Vice President
Vice President
. Treasurer and Ass't to the President
Assistant Treasurer
. Clerk of Corporation
General Legal Counsel
Auditors
Transfer Agent
Registrar
General Offices, LOGAN .AIRPORT, BOSTON 28, MAss.
* NORTHEAST AI .RLINES, INC.
The President's Report to
The Stockholders and Employees
I. GENERAL
*
There is submitted herewith Northeast Airlines' Balance Sheet as at December 31, 19 5' 0 and Profit and
Loss Statement for the year 195'0 certified by the Company's auditors, Lybrand, Ross Bros. & Montgomery.
A tabulation of comparative statistics is also submitted.
During 195'0 your Company realized a net profit, after provision for Federal Income Taxes, of $418,279,
compared with $25',5'23 in 1949. However, included in this profit was a non,.recurring gain of approxi,.
mately $246,700 (after estimated taxes) from the sale of our three DC ... 4 aircraft and related equipment.
The operating profit of $120,5'37 compares with $65',235' in 1949 but shows a more encouraging trend
than first appears since the results of the first two quarters were very disappointing, with an operating loss
as of June 30th of $268,637. This recovery in the last six months can be attributed to many causes including
a reasonably good summer season, a continuation of the strong growth characteristics of the air transport
industry, the current mobilization program with its attendant stimulus to travel and increased need for
transportation speed, more extensive service by Northeast Airlines, and greater acceptance of youJ; company,
'"New England's Own Airline," in the communities we serve.
Not only the improved load factors resulting from the above factors, but also greater utilization of
aircraft in the last six months contributed to the :financial accomplishment.
The improved operating conditions in 195'0 are indicated by the following table which sets forth the
percentage increases in that year over 1949 in various statistical data for the sixteen trunkline air carriers
compared with those for the Company.
Industry Northeast
(Estimated) Airlines
Revenue Passenger Miles +16.7% +13.7%
Mail Ton Miles +11.6% +23.5'%
Cargo To111 Miles . +19.7% +41.8%
Total Revenue Ton Miles +16.8% +16.7%
Total Operating Revenues + 7.6% + 9.8%
Total Operating Expenses + 5'.1% + 8.9%
Operating Profit . +46.9% +84.8%
As we stated in our interim report to the stockholders for the first nine months of 195'0, July passenger
revenue of $5'81,5'5'2 was the highest in the Company's history and was subsequently topped in August when
$612,073 was received. Furthermore, 49,520 passengers were carried in August, which exceeded the previous
high of August, 1946.
* NORTHEAST AIRLINES, INC. *
II. REVIEW OF 1950
Financial
A comparison of the Balance Sheet at the end of 1950 with the December 31, 1949 statement reveals
the fact that the loan from the Reconstruction Finance Corporation was paid off during the year. It had
been reduced by advance payments to $587,000 in July and then completely eliminated in September after
the sale of our DG-4 aircraft and related spare parts. As a result, your company has no long-term debt.
There has been no change in the Company's temporary mail rate during the past year. Non-mail
operating revenue increased 14.5% above 1949, but mail pay received in 1950 declined slightly from the
amount received in 1949. It is significant to note that the net operating profit in both July and August
exceeded mail pay received in each of those months.
Quarterly 25 per share dividends due October 1, 1948, and January 1, April 1, and July 1, 1949 were
declared on the preferred stock during the past year. There are seven quarterly dividends in arrears as of
April, 1951.
Atlas Corporation on March 30, 1951 converted 34,000 of the 76,959 shares of the Company's Con,
vertible . Preferred Stock then held by it into 182,750 shares of the Company's Common Stock at the then
existing conversion rate of 5 shares of Common Stock for each share of Convertible Preferred Stock
surrendered for conversion. This action reduced the preferred dividend liability of April 1, 1951 by $59,500.
Operations
During 1950 the Company continued to provide dependable service and, as shown in Table of Com-
parative Statistics on Page 14, completed 92.58% of its total scheduled mileage. Although this percentage
was slightly less than the Company's high of 93.54% achieved in 1949, it was encouragingly higher than
that experienced in previous years. Examination of this table also reveals that in 1950 your company flew
more revenue miles than ever before and received more Passenger Revenue than in any other year, despite
the fact that fewer Revenue Passengers were carried than during the first post-war year of 1946, the Com,
pany's high for revenue passengers carried. The System Load Factor improved to 51.82% from 48.36%
experienced in 1949.
The increase in passenger revenue was experienced throughout the Company's system, with the routes
from Boston to New York, Maine and Montreal in particular contributing heavily. A further stimulus
was received from the excursion fares which were again offered commuters travelling to and from the Cape
points during the off-season.
In an effort to increase dependability, four Type H radio homing stations were installed by the Company
at the four cities where summer service was first inaugurated in 1950, namely Bar Harbor, Rockland and
Brunswick, Maine, and Laconia, New Hampshire.
Flight Equipment
During the early months of the year, the Company leased its three four-engine Douglas DC,4's to other
carriers and operated five Convair-liners and eight DC, 3 's, which were adequate for winter traffic. The
DC-4 's were utilized to provide needed additional service for the peak summer season.
When the outbreak of hostilities in Korea produced a sharp demand for four-engine equipment, your
company was able to obtain the price it had been asking for the DC-4 's for the last two years. In view of
their age, type and general unsuitability for Northeast Airlines' operation, the offer was accepted even though
giving up the DC-4 's necessitated a rearrangement of schedules and extremely high utilization of our remain,
ing fleet for the balance of the summer. Efforts are now being made to secure by lease, charter, or interchange
suitable equipment to provide adequate service this summer.
* NORTHEAST AIRLINES, INC. *
Management Changes
At the Board of Directors' Meeting held on April 28, 1950, Mr . .Robert L. Turner was elected Vice
President in charge of Sales. Mr Turner had resigned from Eastern Air Lines after fifteen years in the
Traffic Department where he had held the position of General Traffic Manager since the War. He served
with distinction in the Priorities and Traffic Section of the Air Transport Command during W orldl War II.
Routes and S ervi.ces
For the past several years, there has been a growing demand for direct air service to certain resort
communities in New England during the summer months. Following the decision of the Civil Aeronautics
Board in the Service in "N_ew England States Case, the Company inaugurated summer services to Laconia,
New Hampshire; Bar Harbor, Brunswick, and Rockland, Maine; and year-round service to New London,
Connecticut. Promising results were obtained! from all these services. The Civil Aeronautics Board and
the Canadian Air Transport Board granted an indefinite suspension of service to Moncton, New Brunswick.
On October 15, the Company moved its Boston passenger handling facilities into the new Apron building
at Logan International Airport. Northeast Airlines is located at Station 14, one of the two center airline
pos1t10ns. Operating efficiency was improved by moving the Dispatch and Reservations Offices and Com,
munications Center from the hangar to the new building.
Regulatory Proceedings
The Civil Aeronautics Board Order instituting a comprehensive survey of Northeast Airlines routes
is still pending and no hearings have as yet been held.
The National Airlines' investigation, in which your company intervened, has been dismissed.
In view of Northeast Airlines, proposal to merge with Delta Air Lines, the Board has again extended
the date by which Atlas Corporation is directed to dispose by sale or otherwise of its holdings of the Com,
pany's stock in excess of 3 % of the outstanding shares of each class. If the merger is approved, Atlas has
until six months after the approval date to dispose of its holdings, and a year after the decision date, if the
merger is disapproved by the Board.
Delta Merger
On October 17, 1950 the Company entered into an agreement of merger with and into Delta Air Lines,
Inc. Delta Air Lines, Inc. is at the present time certificated to operate over routes generally in the south,
easterly portion of the United States with terminals at Fort Worth, Texas; Savannah, Georgia; Charleston,
South Carolina; Miami, Florida; and Chicago, Illinois; but is not certificated to serve New York City.
The proposed merger is subject to the approval of the stockholders of both companies and is conditioned,
among other things, upon the approval thereof by the Civil Aeronautics Board ( with the approval of
the President of the United States to the extent required by law) and upon th~ authorization of Delta as
the surviving company to engage in air transportation of persons, property, and mail between New York
City on Northeast's present system and points on Delta's present system south of New York City. An
application for the approval of the merger is now pending before the Civil Aeronautics Board. The agree,
ment contemplates that at the time the merger is consummated there will be no shares of the Company's
Convertible Pref erred Stock outstanding and provides in general that holders of shares of its Common Stock
will receive pro rata in exchange for such shares a number of common shares of Delta to be computed on
the basis of net book values of the stocks of the respective companies as of the close of the month in which
* NORTHEAST AIRLINES, INC. *
final approval is ordered by the Board. After October 17, 1952 either party may terminate the agreement
upon thirty days written notice if the necessary Board Orders shall not have been entered.
The provision in the agreement that the merger is contingent upon the Board certifying the merged
company to operate between Columbia, South Carolina (now served by Delta) and New York City (now
served by Northeast) to provide a link between the two sytems has created opposition by other carriers
to the merger, but it is hoped that the advantages of the merged system will be recognized.
It is the opinion of your management that this merger would be desirable from the point of view
of the communities served, the stockholders, the employees, a:nd the overall air transportation system of the
country.
Northeast's routes extend south only as far as New York and contain no long haul segment which
would offset the Company's high cost short haul operation. This situation would be eliminated by a per,
centage of long haul revenue that would be provided by a connection to the south and southeast sections
of the country. The public would benefit by additional one,carrier service between much of New England
and points south. Final decision by the Civil Aeronautics Board will be delayed by necessary hearings
and procedure for some time.
Personnel
There were 696 persons employed by Northeast on December 31, 1950 as compared with 673 at the
end of the previous year. The Company has contra-cts with six labor unions and renewals of five of these
were negotiated during the year.
Salaries and wages amounted to $2,750,700 in 1950, or 44.1% of total operating expenses.
A large majority of our employees participate in the Group Insurance Plan which provides benefits
in the event of death or disability and also pays certain hospital, medical, and laboratory costs and weekly
compensation. These benefits have been increased during the past year at no additional cost to the employees.
It is difficult to measure the turnover rate of your company's personnel due to the high seasonal fluctua,
tions in our operations and traffic. Nevertheless, the turnover rate among the non,seasonal members of
the organization is satisfactorily low with the result that there is a steady increase in experience and skill.
To this increasing experience and ability, together with the loyalty and enthusiastic cooperation of all
personnel, your management attributes the growing success of the Company and, above all, the continuing
safety record.
lnfiation
As everyone knows, the country is in the midst of a swiftly rising tide of inflation, and, although most
other industries can offset higher costs by raising prices of goods and services sold, the airline industry is
faced with rates which can only be changed with considerable difficulty.
The industry shares with others the common experience of sharply higher taxes and payroll costs,
but in addition has other increased costs peculiar to the industry which are uncontrollable. An example
is the item of rentals which includes landing fees. Communities are building larger, more modern and more
expensive airports and airport facilities and the burden of paying for these falls mostly on the airlines.
Not only have aircraft insurance costs been rising, rates for which are set by industry (world,wide)
experience, but they have been further increased by the sharply higher value of aircraft and spare parts.
Nevertheless your management is confident that solutions to these difficult problems will be found due
to the essential nature of the air transportation industry to the National Defense. The increase in traffic
resulting from greater public acceptance and the stimulus of the mobilization program should tend to offset
the higher costs of doing business over the next few years.
* NORTHEAST AIRLINES, INC. *
III. OUTLOOK FOR 1951
Under existing conditions in the world today, it is difficult to forecast what the future may hold. We
anticipate, however, that your Company will continue to share in the growth of the industry and to extend
its service to the community. Results for the :first three months of 1951 indicate substantial improvement
over the corresponding period of 1950.
We are confident that the major problems of the air transportation industry, particularly those related
to route patterns, will continue to receive the careful consideration of the Civil Aeronautics Board.
At the present time your company is fully utilizing its fleet of aircraft, even though this is the low
point of seasonal traffic. Therefore, the inevitable high demand next summer will require that additional
equipment be placed in service. This is a problem which is receiving the full attention of your manage,
ment as the availability of flight equipment has diminished rapidly since the start of the Korean War.
With excellent engine overhaul and shop facilities at our maintenance base in Boston, your company
is attempting to obtain government contracts to perform work for the Air Force. It is believed that these
can produce a profit as well as reduce overall costs of the Company.
I wish to salute all persons on Northeast Airlines' payroll for their concerted effort in behalf of the
Company, which has borne fruit in the form of increased earnings and I also wish to thank our stockholders
for their continued loyalty and support.
April 10, 1951.
CARGO &
OTHER
630%
SOURCE
For the Board of Directors,
GEORGE E. GARDNER.
THE 1950 OPERATING DOLLAR
PROFIT
I 90c
OTHER
14 06c
President.
DISPOSITION
INSURANCE RENTALS
4 37c 4 95c
and
MATERI ALS
734c
DEPRECIATION
1037c
ASSETS
CURRENT ASSETS:
Cash in banks
Receivables:
Airlines and agents .
United States Post Office Department (note A) .
Other receivables
Total receivables
Miscellaneous supplies (at average cost)
Total current assets
PROPERTY AND EQUIPMENT, AT COST:
Flight equipment (note B) .
Hangar and service building on leased land .
Flight equipment spare parts .
Ground and shop equipment
Improvements to rented properties
Construction in progress and nonoperating property
Less allowances for depreciation and amortization
Property and equipment less allowances .
Receivable under stock purchase contract (note C)
Unexpired insurance
Other prepaid expenses and deferred charges
NORTHEAST AI RLINES, INC.
1950
$1,259,359
191,029
146,471
124,370
461,870
83,834
1,805,063
3,427,366
648,679
55'3,964
524,133
167,905
12,479
5,334,526
2,591,891
2,742,635
26,875
95,660
58,423
$4,728,656
'Balance Sheets
As at December 31, 1950 and 1949
1949
$1,189,511
172,514
154,147
83,026
409,687
80,960
1,680,158
4,284,902
649,058
620,797
492,546
84,926
52,852
6,185,081
2,858,341
3,326,740
26,875
170,872
89,198
$5,293,843
l
J
LIABILITIES
CURRENT LIABILITIES:
A'Ccounts payable-vendors and others (including in each year $200,000 bal,
ance on aircraft purchases)
Accrued salaries and wages .
Accrued federal income tax .
Taxes withheld and other payroll deductions, to be remitted .
Accrued social security and other taxes .
Unearned transportation revenue .
Total current liabilities .
4% note payable to Reconstruction Finance Corporation (note B)
Reserve against uninsured portion of possible future claims (workmen's com,
pensation)
Reserve for aircraft overhaul (note D)
Stock purchase contract (see contra)
Contingencies (note F)
CAPITAL
CONVERTIBLE PREFERRED STOCK of no par value (note E):
Authorized 85,000 shares
Issued and outstandling:
1950, 78,709 shares; 1949, 80,019 shares .
COMMON STOCK, par value $1.00 per share:
Authorized 2,000,000 shares (note C) .
Issued and outstanding-fully paid:
1950, 638,949 shares; 1949, 631,321 shares.
Issued under stock purchase contract-part paid:
10,000 shares at 50 cents per share paid thereon (unpaid balance under
contract, $26,875 shown above) . .
CAPITAL SURPLUS, per accompanying statement
DEFICIT since July 1, 1940, per accompanying statement .
Total capital .
The accompanying notes are an integral part of the above balance sheets
1950
$479,670
58,222
75,000
43,131
35,923
78,467
770,413
26,724
53,398
26,875
1,574,180
638,949
5,000
1,742,839
. (109,722)
3,851,246
-- -
$4,728,656
1949
$498,010
51,964
19,299
20,853
36,450
626,576
995,000
16,270
117,444
26,875
1,600,380
631,321
5,000
1,724,269
(449,292)
3,511,678
$5,293,843
* NORTHEAST AIRLINES, INC.
Statements of Profit and Loss
For the Years Ended December 31, 1950 and 1949
OPERATING REVENUES:
Passengers
Air mail ( note A)
Express, freight andi excess baggage
Other, net
Total operating revenues
OPERATING EXPENSES:
Conducting transportation
Maintenance and repairs ( note D)
Provision for depreciation and amortization .
Traffic and advertising .
General and administrative
Taxes other than income taxes
Total operating expenses
Operating profit
ADD (deduct):
Net gain from sale of DC-4 aircraft and equipment
Unused portion of reserve provided for overhaul of DC-4 aircraft sold in
1950 (note D) .
Other charges, net, including interest expense ($22,443 in 1950, $36,525 in
1949)
Profit before federal income tax
Provision for federal income tax
Net profit for year
1950
$4,440,034
1,519,268
212,531
188,712
6,360,545
2,888,731
1,309,876
659,430
819,897
392,062
170,012
6,240,008
120,537
326,965
76,087
(28,702)
494,887
76,608
$ 418,279
1949
$3,992,450
1,565,437
146,186
89,429
5,793,502
2,526,048
1,226,473
796,735
723,689
330,956
124,366
5,728,267
65,235
(39,712)
25,523
$ 25,523
The accompanying notes are an integral part of the above statements of profit and loss
* .N O R T H E A S T A I R L I N E S , I N C .
Statement of Deficit Since July 1, 1940
For the Year Ended December 31, 19 5 0
BALANCE at beginning of year as previously reported .
NET profit for the year, including gain on sale of aircraft
DIVIDENDS paid in cash on convertible preferred stock-$1.00 per share
BALANCE at end of year
Statement of Capital Surplus
For the Year E?-ded December 31, 19 50
*
$449,292
418,279
31,013
78,709
$109,722
BALANCE at beginning of year . $1,724,269
EXCESS of amount paid in on 1,310 shares of convertible preferred stock surrendered for con,
version over par value of 7,628 shares of common stock issued in exchange therefor 18,570
BALANCE at end of year . $1,742,839
* NORTHEAST AIRLINES, INC. *
Notes to Financial Statements
A-AIR MAIL REVENUE:
The company has been receiving air mail revenue under a temporary air mail rate. Amounts so received
and to be received are subject to such increase or decrease as may result from order of Civil Aeronautics
Board fixing final mail rates for the period subsequent to April 30, 1947.
B-DISCHARGE OF MORTGAGE:
Payments on the note to Reconstruction Finance Corporation, which was secured by instruments of
mortgage on the company's flight equipment, were completed in September, 1950 and the mortgages
were discharged.
C-COMMON STOCK RESERVED FOR SALE TO EMPLOYEES AND OFFICERS:
On November 24, 1947 stockholders voted to reserve 100,000 shares of authorized and unissued common
stock for sale to full time employees, including officers, at a price, payable in instalments, not less than
the market value thereof on the date of purchase contract. As at December 31, 195'0, no such sales had
been made other than the 10,000 shares sold to the president of the company under contract dated
November 24, 1947 at the then market price of $31,875. The unpaid balance on this contract at
December 31, 195'0 is $26,875.
D-RESERVE FOR AIRCRAFT OVERHAUL:
The company charges certain major periodic overhaul costs against a reserve provided by charges to
maintenance expense. Provisions for aircraft overhaul reserve charged to maintenance expense amounted
to $52,983 in 1950 and $65,787 in 1949. The costs of aircraft overhaul charged against the reserve
were $40,942 in 195'0 and $30,763 in 1949. Also $76,087 previously provided with respect to DC-4
aircraft was transferred from this reserve to other income when the company's DC-4 aircraft were sold
in 1950.
E-CONVERTIBLE PREFERRED STOCK:
Cumulative dividends on convertible preferred stock are in arrears $118,064 at December 31, 1950.
Under the provisions of the convertible preferred stock, the 'COmpany shall not declare any dlividend or
redeem or retire any shares of stock or make any distribution to stockholders if immediately thereafter
the net worth of the company would be less than $20.00 for each share of convertible preferred stock
immediately thereafter outstandjng.
As at December 31, 195'0, the conversion rate of the convertible preferred stock, after adjustment in 1949
in a'Ccordance with the provisions thereof, is 5 shares of common stock for each share of convertible
pref erred stock surrendered for conversion.
All or any part of the convertible preferred stock may be called for redemption at any time at $22.00
per share plus dividends accrued thereon to the redemption date. In case of any liquidation, whether
voluntary or involuntary, the convertible preferred stock shall be entitled to receive $20.00 per share
plus dividends accrued thereon to the day of payment.
F-CONTINGENCIES:
The company's federal income tax returns for years subsequent to 1945 are being examined by the Treasury
Department. The management believes that any liability for f ed~ral income and Massachusetts corpora,
tion excise taxes which may result from such examination should not be material in amount.
* NORTHEAST AIRLINES, INC. *
Notes to Financial Statements (Continued)
F-CONTINGENCIES (Continued):
In March, 1947 the Civil Aeronautics Board instituted an investigation into the routes and operations of
the company, subsequently amended to include a comprehensive survey through public hearings of
whether the public interest would be furthered by merger, by sale of routes or properties or by agree,
ments with other air carriers.
On October 17, 1950 the company entered into an agreement of merger with and into Delta Air Lines,
Inc. The merger is conditioned, among other things, upon the approval thereof by the Civil Aeronautics
Board (with the approval of the President of the United States to the extent required by law) and upon
the authorization of Delta as the surviving comp:rny to engage in air transportation of persons, property
and mail between New York City on the company's present system and points on Delta's present system
south of New York City. An application for the approval of the merger is now pending before the
Board. The agreement contemplates that at the time the merger is consummated there will be no shares
of the company's convertible preferred stock outstanding and provides in general that holders of shares
of its common stock will receive pro rata in exchange for such shares a number of common shares
of Delta to be computed on the basis of net book values of the stocks of the respective companies as
of the close of the month in which final approval is ordered by the Board. After October 17, 1952
either party may terminate the agreement upon 30 days written notice if the necessary Board orders
shall not have been entered.
The company has joined with nine other airlines in an agreement with Triborough Bridge & Tunnel
Authority in connection with a proposed Manhattm terminal building, under which the company agrees
to guarantee its proportional share in case of any default under a proposed long-term lease by the.
Authority to a corporation organized by the several airlines and also agrees to enter into a long,term
sublease with that corporation for a portion of the space in the building.
AUDITORS' REPORT
NORTHEAST AIRLINES, INC.,
Boston, Massachusetts.
We have examined the balance sheet of Northeast Airlines, Inc. as at December 31,
1950 and the related statements of profit and loss, of deficit and of capital surplus
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 we considered necessary in the circum,
stances.
In our opinion, the accompanying statements present fairly the :financial position
of Northeast Airlines, Inc. at December 31, 1950, and the results of its operations
for the year then ended, in conformity with generally accepted accounting principles
applied on a basis consistent with that of the preceding year.
Boston, Massachusetts
March 7, 1951
LYBRAND, Ross BRos. & MONTGOMERY
* NORTHEAST AIRLINES, INC. *
__________
S_O_U_R_C_E_O_F_N_EA_O_P_E_R_A_T_IN_G_R_EV_E_N_U_E _________ IMillionsl
1940 1941
CARGO &
OTHER
630%
1940
1942 1943
1950
CARGO &
OTHER
3.58 %
1944 1945 1946 1947
6
5
4
3
PASSENGER REVENUE
2
MAIL REVENUE
CARGO AND OTHER
1948 1949 1950
COMPARATIVE STATISTICS
1942 1943 1944 1945 1946 1947 1948 1949 1950
Revenue Miles Flown .......... 750,278 727,713 1,023,737 2,287,366 4,177,375 3,947,030 3,386,881 4,021,226 4,235,126
Completion of Scheduled
92.58%
Miles ................................ 79.45% 79.10% 83.87% 83.61 % 82.46% 83.81 % 87.86% 93.54%
Passenger Revenue ............ $309,875 $533,963 $742,978 $1,945,444 $4,256,115 $3,468,913 $3,241,912 $3,992,450 $4,440,034
Revenue Passengers Carried 26,446 36,263 53,766 175,608 417,095 325,172 272,292 324,963 372,497
Revenue Passenger Miles .... 5,383,171 9,090,063 12,848,222 38,939,107 83,848,737 62,143,281 52,091,160 61,957,458 70,468,046
System Load Factor ............ 35.94% 59.52 % 59.14% 74.47% 65.76% 51.24% 48.02% 48.36% 51.82%
Passenger Revenue Per
Revenue Mile Flown ....... $.4129 $.7338 $.7420 $.8505 $1.0189 $.8789 $.9572 $.9928 $1.0484
Revenue Per Passenger Mile $.0576 $.0587 $.0578 $.0500 $.0507 $.0558 $.0622 $.0644 $.0630
Fly the Friendly Yankee Fleet
NEW YORKBOSTONNEW ENGLAND
MONTREAL
NORTHEAST AIRLINES
"The Yankee Fleet0
CENERAL OFFICES: LOCAN AIRPORT
BOSTON 28, MASSACHUSETTS
~ 81