PAGE TWO
THE PIEDMONITOR
JANUARY, 1971
piEomonim
Piedmont Aviation, Inc.
Smith Reynolds Airport
Winston-Salem, N. C.
Betsy Allen, Editor
The Statistics of Hard Times
Hard times are forcing the airlines to
break precedent.
Two of the cost-cutting remedies now
being taken by the U. S. scheduled airline
industry haven’t been tried in more than a
decade, Stuart G. Tipton points out.
Mr. Tipton, president of the Air Transport
Association of America, said that extreme
remedies were necessary because the industry
is facing its largest deficit in history as 1970
results are tabulated. He detailed the two
unusual remedies:
For the first time since the introduction
of jet service, said Mr. Tipton, carriers are
actually cutting back flight schedules to many
cities. A recent ATA survey shows that car
riers had 658 fewer domestic flights scheduled
in December 1970 than they did in December
1969.
Also for the first time in more than ten
years, the airlines are furloughing and dis
missing employees, he said.
Mr. Tipton reported that the airline in
dustry lost $66.2 million in the 12 months
that ended September 30, 1970. He cited a
slow rate of traffic growth and rapidly rising
costs as the major causes of the poor financial
results. Passenger traffic increased by 4.8
percent for the industry in 1970, compared
with a 10.1 percent increase in 1969 over
1968.
Mr. Tipton said that “The carriers can
only do so much cutting back on flights and
employees. They cannot significantly improve
their financial position without an immediate
increase in the level of passenger fares. These
fares, despite some recent selective increases,
are still lower than they were ten years ago.
With inflation increasing airline costs at a
rate of 8.6 per cent annually, far above the
national average, the airlines cannot continue
to operate at 1960 fare levels.”
The rate of return on total investment
for the 12 months ended September 30 was
2.3 percent, down from 3.6 percent in the
same period of 1969. Mr. Tipton noted that
this is well below the 10.5 percent that the
Civil Aeronautics Board has set as a fair and
reasonable rate of return for the industry.
IT5 TUC LATENT COHPU-T?:RiZ ED
3APETY DEVICE, AUTOMATlCALLV
ACTIVATED IFA TRIP IS
OVER SOLD.
Congrats
20 YEARS
Carl E. Mullins—Controller/Coordinator, INT
Paul Wayne Kelley—Agent, CRW
Aaron William Rowe—Captain, ATL
F. L. Sfreddo—Supervisor, Non-Destructive Testing,
INT
15 YEARS
Howard R. Kirkwood—Chief Agent, ROA
Roy Wayne Tucker—Station Manager, MEM
Ransom G. Ingram—Radio Technician, INT-FB
William E. Smith—Sr. Radio Technician, INT
Francis Wilson Hastings—Sr. Specialist, INT
Clarence Darrell Gordon—Captain, ORF
C. S. Melvin, Jr.—Lead Agent, FAY
Lawrence Elgin Hartman—Inspector, INT
Wendell Keith Varner—Mechanic Specialist, INT
10 YEARS
Larkin Lewis Hubbard—Instructor, INT
John W. Helms—Agent, ROA
Clifton H. Linvingood—Mechanic Specialist, INT
5 YEARS
N. T. Yarbrough-Jr. Programmer, INT
Fred Dilworth Jackson—Sr. Specialist, INT
Richard James Hurley, Jr.—Agent, INT-CRO
Joe Link Howard—Mechanic, INT
Clarence B. Ayscue, Jr.-Jr. Mechanic, ORF
Lowell Richard Moore—Lead Agent, SHD
Charles Jerry Hart—Sr. Radio Technician, INT
Robert E. Reynolds—Building Maintenance, INT
Around The System
TRANSFERS
H. T. Young-ORF to DCA
B. G. Watts-INT to DCA
S. J. Watson-ATL to ILM
L. I. C. Walton—CLT to INT-CRO
D. J. Triplett-CLT to INT-CRO
J. T. Sprouce—ROA to ORF
V. L. Dishmon—CLT to INT-CRO
D. C. Cruz-INT-F to INT-CRO
D. C. Crawford—INT to ILM
D. M. Carter—ATL to ILM
M. N. Blundon—INT to ROA
G. S. Angel-INT to CLT
J. E. Holland—ATL to INT
G. W. Manuel—CLT to ROA
J. F. Lowry—ROA to DCA
E. G. Riggs—INT to DCA
B. A. Rainey—ORF to ROA
B. H. Sharpe—ORF to ILM
C. L. Oliver—INT to DCA
H. W. Padgett, Jr.—MEM to ATL
F. Roscana—INT to ATL
C. E. Stewart, Jr.-INT-A to PF
PROMOTIONS
D. Brown—to Asst. Avionics Foreman, INT
B. A. Wolff—to Avionics Engineering Clerk, INT
J. F. Russell—to Avionics Engineering Coordinator, INT
E. L. Headen—to Avionics Inspector, INT
H. D. Bolen—to Lead Agent, ATL
M. M. Calloway—to Chief Agent, FAY
T. R. Farmer—to Lead Agent, RIC
J. R. Gilchrist—to Lead Agent, DCA
T, L. Hicks—to Lead Agent, CRW
R. N. Johnston—to Chief Agent, ATL
H. W. Meese—to Lead Agent, AVL
T. A. Meredith—to Lead Agent, ROA
L. H. Roberts—to Lead Agent, ATI.
T. K. Slappe—to Lead Agent, FAY
J. M. Tingler—to Lead Agent, ROA
G. D. Cameron—to Radio Technician, ORF
HOW GOES IT?
Mechanically speaking the
December, 1970
statistics revealed the following
Mechanical Dispatch Reliability
Actual Forecast
FH-227
98.5%
99.4%
YS-llA
99.1%
99.0%
B-737
97.8%
99.0%
On-Time Performance of flights
operated not more than 15
minutes late
53.3%
Actual Load Factor
Quota
Forecast
44.70%
44.60%
Paychecks Will Reflect
Income Tax Law Changes
A number of changes in the income tax laws will
affect Piedmont employee’s paychecks beginning this
month. Some of the changes will increase employees’
take-home pay, but others will reduce it.
Deductions for Social Security were increased
January 1 from a rate of 4.8 per cent to a rate of 5.2
per cent on the first $7,800 of annual earnings. And at
the present time. Congress in contemplating additional
changes to the Social Security law.
This increase will mean that the maximum annual
Social Security tax deduction will be $405.60 this year
compared with $374.40 in 1970.
Surcharge Gone
The Vietnam war surcharge — 10 per cent annually
at its 1969 peak — expired in 1970 and will not be
reflected in paychecks this year.
The amount of federal income taxes a company is
required to withhold in 1971 will be less than last year
for many individuals. The Tax Reform Act of 1969
lowers federal taxes for single persons and heads of
households and allows for larger personal exemptions
and standard deductions. The new standard deduction
for 1971 is 13 per cent of an employee’s taxable income
with a maximum of $1,500. The previous rate was 10
per cent with a maximum of $1,000.
“KENTUCKY COLONELS”
(Continued from Page One)
Employment Supervisor. He became Director
of Personnel in 1964.
Bradley is a member of the Winston-Salem
Chamber of Commerce, the V^'inston-Salem
Personnel Association and the Personnel Re
lations Conference of the Air Transport Asso
ciation.
Mrs. Bradley is the former Joyce Stephens
of Grayson, Kentucky. They have one son
and live in Walnut Cove, North Carolina.
Before joining Piedmont in 1948, also as
a station agent at Lexington, Folger served
with the U. S. Navy Air Force. In 1951 Folger
was named Station Manager for Lexington.
Five years later he transferred to Washington,
D. C., as the Company’s City Sales Manager
there. He was subsequently promoted to
District Sales Manager for that area. In 1961
he moved to Winston-Salem to be Assistant
General Sales Manager. He was promoted to
General Sales Manager in 1966.
Folger is married to the former Shirley
Anderson of Lewiston, Montana. They have
two daughters and live on Grandview Club
Road in Pfafftown, North Carolina. He is a
member of the National Aviation Club in
Washington, D. C., and the Grandview Golf
Association.
PI Employee Stock
Purchase Progress
To help you keep up with the amount you pay
for Piedmont stock every month if you’re buying
it through payroll deduction the Piedmonitor
publishes this periodic report of the number of
shares purchased, average price per share and
total investment in the previous month.
FOR DECEMBER, 1970
Amount Invested $5,411.55
Number of Full Shares Purchased 1,021
Average Price Paid Per Share $ 5.29