Pan Am an Industry Leader and Their Downfall

 

Pan Am served as an international leader in aviation transportation. Pan Am was a pioneer in aviation equipment, air routes, commercial passenger service, navigation techniques and communication systems.
Charles Lindbergh served at the technical advisor for 45 years and played a huge role in determining Transatlantic routes.
 

The Jet Age

In 1955 Pan Am ordered 45 jet airliners, 20 Boeing 707s and 25 Douglas dc8s for $269 million. Pan Am only received 18 of those DC8s and ordered 130 more from Boeing.

Until realistic flight simulators were introduced in the late 60s Pan Am pilots took all their training in actual planes, many times in dangerous flying conditions.

October 26, 1958 entered the jet age with a B707-121 named Clipper America. It flew from NY to Paris with 111 passengers and 11 crewmembers for 8 ½ hours including a fuel stop at Gander. This flight allowed the introduction of jets and economy fares.

In jet engines unlike piston engines, all parts spun in the same direction. Eliminating vibration and decreased frequency of engine failure.

A once profitable airline, 1961’s annual report boasted $460 million in revenues. In 1970 Pan Am carried 11 million passengers approximately twenty billion miles, and employed 19,000 people in 62 countries.  

The Fall of Pan Am

The Lockerbie crash hurt an airline already in trouble. Passengers were scarce, Pan Am was flying empty planes. Pan Am found itself unable to pay its employees. The only option was sell what it still had. 

Pacific routes were sold to United Airlines, Atlantic routes were sold to Delta and American Airlines. 

Finally the whole airline was sold to Delta. Pan Am's Worldport at JFK airport in New York was created into the Delta Flight Center after the sale of Pan American World Airways to Delta.

Pan Am created a plan for a ‘Restructered Pan Am” with routes in the Caribbean and South American but after funds were depleted the plan ceased.

January 1980 Pan Am merged with National Airlines. Due to the high price of acquiring National, the purchase was considered Chairman 'Seawell's Folly".

 

 

 

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