IP: Airline security and bailouts

[David Farber <dave () farber net>]

> Date: Thu, 20 Sep 2001 10:56:56 -0600 (MDT)
> From: Deb Olson <deb () laramietravel com>
> To: farber () linc cis upenn edu
> Subject: Airline security and bailouts
>
> Mr. Farber:
>
> A few things we should consider before we conclude that the
> airlines need a government bailout at taxpayer expense.
>
> 1. According to an NPR report this morning, the airlines have
> fought the FAA tooth and nail, resisting the implementation of more
> stringent security measures after the 1988 Pan Am bombing. Why?
> Because those measures were "too expensive."
>
> 2. Check out the web site
>
> http://www.aflcio.org/cgi-bin/aflcio.pl?tkr=&pg=2#UV?tkr=&pg=2
>
> and visit the sites of a couple of airlines. The compensation levels of
> the CEOs of AMR (American) and Delta for the year 2000 are shockingly
> high. Consider how many of their employees they could keep on the
> payroll if only they weren't so greedy.
>
> 3. If we do give taxpayer money to the airlines to reward them for
> their negligence, how will the money be spent? Will it be used to keep
> the skies safe? If airport security is federalized, as government
> officials are now proposing, it won't be. It will merely replace the lost
> revenues and portfolio losses of the largest airlines' executives and
> directors.
>
> 4. If a bailout does occur, which companies will receive it? Will small
> airlines and regional carriers receive their fare share of relief money,
> so that we are not left with two giant gorillas: American and United?
> (Southwest was able to operate 95% of their flights last Sunday with a 97%
> on time factor, while United was still struggling with only half of their
> scheduled departures in the air on Monday.) And why bail out just the
> airlines? What about hotels, car rental agencies, tour operators, travel
> agents and other related businesses, all of whom are impacted financially
> by the tragic events last week?
>
> I make a living selling airline tickets and travel.  There is no doubt 
> that the
> economy of our country is threatened by a collapse of our air carriers.  I am
> not advocating that we deny all relief for a beleaguered industry, only 
> that it
> be designed to benefit the public at large, not the token few sitting at the
> top.
>
> I think it is appropriate that each of us send a quick letter to his or her
> representatives in Congress asking them not to line the pockets of only the
> largest corporations and campaign contributors. If there is a government
> bailout,
> it should aid all travel-related industries in recovering from last week's
> tragic events.
>
> Thanks,
> DEB OLSON
> Laramie Travel Center
> 210 So. 2nd
> Laramie, Wyoming 82070
> 307 745-7321/fax 307 745-9216 or 800 845-1683
> deb.no-spam-please () laramietravel com
> www.laramietravel.com



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