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1974 - February DOT Ord. & Dec. [1] (February, 1974)

handle is hein.usfed/dotod0689 and id is 1 raw text is: Order 74-2-1 UNITED STATES OF AMERICA CIVIL AERONAUTICS BOARD WASHINGTON, D. C. PAV Adopted by the Civil Aeronautics Board at its office in Washington, D.C. 3a on the 1st day of February, 1974 Petition of EASTERN AIR LINES, INC. : Docket 26331 to engage in discussions concerning passenger amenities and services ORDER DENYING PETITION On January 18, 1974, Eastern Air Lines, Inc. (Eastern) filed a petition requesting authority for all trunk and local service carriers to engage in discussions to consider means of limiting passenger amenities and services ancillary to, severable from, and not an essential part of providing air transportation on domestic and overseas flights, particularly short-haul flights. I/ In support of the petition, Eastern allege- inter alia,that the authority to hold discussions is urgently required by the industry to hold down the magnitude of a needed fare increase, and is clearly in the interest of both the carriers and the fare-paying public; that largely as a result of the enormous increase in fuel costs anticipated in 1974, the unprecedented efforts on the part of individual carriers to lay off personnel, cutback schedules, ground aircraft, and temporarily close stations may not go far enough to preserve the economic viability of the industry. It is also alleged that the discussions sought are another avenue that should be explored in order to assure that relief from the fuel shortage and its by-products does not entirely take the form of increased fares; and that limiting some of the amenities by which carriers compete is a reasonable alternative, but one which goes beyond the ability of individual airline management to control effectively except on a very limited scale, or at the expense of losingpatr6nage to a competitor. Therefore, industry-wide multilateral measures, as in the case of frequency reductions, are required to achieve any appreciable benefit. I1 American Airlines, Inc. has filed an answer stating that it believes that such discussions may be useful, and that it is willing to join them.

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