THE piEomonim Interesting Interlining See Page Four VOL. X, NO. 5 194B. — CELEBRATING OUR TWENTIETH ANNIVERSARY — 1968 MAY, 1968 First YS-11 Is Delivered and Put Into Service II The Cherry Blossom Pacemaker arrives at last. SHOULD EVERY FLIGHT be met with roses for the captain? Certainly, if it is a "first" tight! Captain Lloyd Lyons, (left) Miss Junko Tatsuno and H. M. Cartwright seem to think its a good idea. i p Sheri C Folger Is Promoted To General Sales Manager Sheri C. Folger has been named General Sales Manager for the Company’s commercial airline di vision and its ten-state system. In announcing the advancement, to be effective immediately, W. G. McGee, vice president-sales, added that Folger will continue to handle the overall development of the air line’s various sales programs, as well as assume responsibility for the guidance of in-flight services. A twenty-year veteran with Pied mont, Folger joined the airline di vision as an agent in Lexington, Ky., and became station manager in 1950. He transferred to Washing ton, D. C., in 1955 as city sales manager and was elevated to dis trict sales manager three years later. In 1961, he was promoted to assistant general sales manager and assigned to the firm’s home office in Winston-Salem. Presently, Folger is chairman of the interline committee for region al carriers. He is a native of Lexington, Ky., and attended the University of Kentucky. Folger resides with his wife, the former Shirley Anderson of Lewis- town, Montana, and their two daughters on Grandview Club Rd., Rural Rt. 1, Pfafftown, N. C. SHERL FOLGER General Sales Manager Davis Reports To Stockholders On First Quarter Total revenues for the three months ended March 31, 1968 amounted to $12,474,207, compared with $11,967,264 last year, an in crease of 4%. Despite this increase in revenues, we suffered a loss of $370,502 com pared with a profit of $141,802 in the first quarter of 1967. This condition of increasing busi ness but decreasing profits is al most universal in the airline in dustry today. In Piedmont’s case, there were several major causes of this un satisfactory result. For example, employment costs increased $763,- 419 or 17%. Airport landing fees and rents were up $85,720 or 40%. Prices of fuel and almost all other materials and supplies have in creased. Depreciation expense in creased 91% to $799,008. Interest expense is up 153% to $377,385. Even though commercial revenues of the Airline Division were up 19%, we would have had an even greater increase had it not been for unusually adverse weather in January and February. The Company’s first YS-11 went into service on Sunday morning May 19th, following delivery three days earlier. The Cherry Blossom Pacemaker arrived at Smith Reynolds Airport from Ft. Worth where it had under gone installation of a Category II instrument landing system and cer tain electronic modifications. This is the first of ten of the sixty passenger YS-ll’s which Piedmont has ordered. In Command Piloting the plane home from Ft. Worth was Captain Lloyd Lyons and Co-pilot Gerald Lee. Vice President Maintenance and Engi neering H. M. Cartwright and Sen ior Mechanic Harold Sage also re turned home on the delivery flight. A crowd of about fifty people was on hand to welcome the new plane. Miss Junko Tatsuno of Osaka, Japan presented long stemmed red roses to Captain Lyons and Mr. Cartwright on behalf of Nihon. During the days following de livery, prior to being put into ser vice the plane was involved with FAA proving runs, training flights for crews and the evacuation tests which were completed in record time. Pre-Arrival Party In observance of the delivery of the first YS-11 prop-jet airliner. President Davis was host to Nihon Executive Vice President A. Miya moto at a pre-arrival dinner the week before. Dignitaries present at the dinner included S. Yoshihawa, Councillor, Embassy of Japan, N. Y., T. Hiraboyashi, First Secretary, Embassy of Japan, Washington, D. C., Robert T. Murphy, Vice Chairman, Civil Aeronautics Board, Washington, D. C. and Arthur B. Simpson, Vice President-Engineer- ing, Rolls Royce, Ltd., Montreal, as well as other Nihon associates. Rolls Royce representatives and Piedmont company officers. Noting the forthcoming delivery. President Davis remarked: “The aircraft’s arrival will be a momentous occasion for Pied mont and a very significant day for a large portion of the United States. This first YS-11 Pacemaker and the others that are scheduled to follow, will assure the finest possible jet service to many of the cities and communities served by Piedmont. Offering the ultimate in comfort for our passengers and continued profitable returns to our shareholders, the YS-11 is the modern jet-powered aircraft we sorely needed to replace our piston- engined Martin 404’s. It has been our policy over the years to pro vide service to all of our cities — the largest to the smallest, whether on the coast or in the mountains — with the most modern, comfortable and efficient aircraft available. It has also been Piedmont’s policy to do this without making it necessary for the cities we serve to raise large amounts of money to expand their airports, for Piedmont serves more cities with relatively small airports, especially in mountainous terrain, than any other regional airline.” Comfort and Availability “The YS-11 is the only modern aircraft available today that offers spacious passenger comfort, in addition to being able to operate out of many of our small mountain ous airports under a full load and still cruise at relatively high speed. We anxiously await the delivery of nine additional YS-ll’s to offer this modern Pacemaker service to the majority of cities in Piedmont- land,” he said. Cities receiving the first YS-11 prop jet service include Danville, Lynchburg, Charlottesville, Staun ton and Roanoke, Tri Cities, Knox ville, Winston-Salem, and Washing ton. Two additional YS-11 Pacemak ers will be delivered early in June and placed into passenger service the same month. The remaining seven are anticipated to be de livered throughout the summer with all ten scheduled into service by October. a GREETING THE FIRST GUEST tor the pre-arrival party. President Davis is shown here with Civil Aeronautics Board Vice Chairman Robert T. Murphy who came down for the festivities.