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rld s largest airline employing more than 4 000 pilots and 60 000 other service personnel and operating around 3 000 aircraft of which 75 were considered obsolete by its own standards during the soviet era aeroflot was synonymous with russian civil aviation as it was the only air carrier it became the first airline in the world to operate sustained regular jet services on 15 september 1956 with the tupolev tu 104 49 deregulation edit deregulation of the european union airspace in the early 1990s has had substantial effect on the structure of the industry there the shift towards budget airlines on shorter routes has been significant airlines such as easyjet and ryanair have often grown at the expense of the traditional national airlines citation needed there has also been a trend for these national airlines themselves to be privatized such as has occurred for aer lingus and british airways other national airlines including italy s alitalia suffered particularly with the rapid increase of oil prices in early 2008 50 united states edit main article air transportation in the united states early development edit twa douglas dc 3 in 1940 the dc 3 often regarded as one of the most influential aircraft in the history of commercial aviation revolutionized air travel tony jannus conducted the united states first scheduled commercial airline flight on january 1 1914 for the st petersburg tampa airboat line 51 the 23 minute flight traveled between st petersburg florida and tampa florida passing some 50 feet 15 m above tampa bay in jannus benoist xiv wood and muslin biplane flying boat his passenger was a former mayor of st petersburg who paid 400 for the privilege of sitting on a wooden bench in the open cockpit the airboat line operated for about four months carrying more than 1 200 passengers who paid 5 each 52 chalk s international airlines claimed to have begun a service between miami and bimini in the bahamas in february 1919 based in ft lauderdale chalk s claimed to be the oldest continuously operating airline in the united states until its closure in 2008 53 54 55 following world war i the united states found itself swamped with aviators many decided to take their war surplus aircraft on barnstorming campaigns performing aerobatic maneuvers to woo crowds in 1918 the united states post office department won the financial backing of congress to begin experimenting with air mail service initially using curtiss jenny 56 aircraft that had been procured by the united states army air service private operators were the first to fly the mail but due to numerous accidents the us army was tasked with mail delivery during the army s involvement they proved to be too unreliable and lost their air mail duties 57 by the mid 1920s the post office had developed its own air mail network based on a transcontinental backbone between new york city and san francisco 58 to supplement this service they offered twelve contracts for spur routes to independent bidders some of the carriers that won these routes would through time and mergers evolve into pan am delta air lines braniff airways american airlines united airlines originally a division of boeing trans world airlines northwest airlines and eastern air lines service during the early 1920s was sporadic most airlines at the time were focused on carrying bags of mail in 1925 however the ford motor company bought out the stout aircraft company and began construction of the all metal ford trimotor which became the first successful american airliner with a 12 passenger capacity the trimotor made passenger service potentially profitable 59 air service was seen as a supplement to rail service in the american transportation network at the same time juan trippe began a crusade to create an air network that would link america to the world and he achieved this goal through his airline pan am with a fleet of flying boats that linked los angeles to shanghai and boston to london pan am and northwest airways which began flights to canada in the 1920s were the only u s airlines to go international before the 1940s with the introduction of the boeing 247 and douglas dc 3 in the 1930s the u s airline industry was generally profitable even during the great depression this trend continued until the beginning of world war ii 60 since 1945 edit further information post war aviation boeing 377 of american export airlines the first airline to offer landplane flights across the north atlantic in october 1945 61 world war ii like world war i brought new life to the airline industry many airlines in the allied countries were flush from lease contracts to the military and foresaw a future explosive demand for civil air transport for both passengers and cargo they were eager to invest in the newly emerging flagships of air travel such as the boeing stratocruiser lockheed constellation and douglas dc 6 most of these new aircraft were based on american bombers such as the b 29 which had spearheaded research into new technologies such as pressurization most offered increased efficiency from both added speed and greater payload 62 63 in the 1950s the de havilland comet boeing 707 douglas dc 8 and sud aviation caravelle became the first flagships of the jet age in the west while the eastern bloc had tupolev tu 104 and tupolev tu 124 in the fleets of state owned carriers such as czechoslovak čsa soviet aeroflot and east german interflug the vickers viscount and lockheed l 188 electra inaugurated turboprop transport on 4 october 1958 british overseas airways corporation started transatlantic flights between london heathrow and new york idlewild with a comet 4 and pan am followed on 26 october with a boeing 707 service between new york and paris 64 the next big boost for the airlines would come in the 1970s when the boeing 747 mcdonnell douglas dc 10 and lockheed l 1011 inaugurated widebody jumbo jet service which is still the standard in international travel 65 the tupolev tu 144 and its western counterpart concorde made supersonic travel a reality 66 concorde first flew in 1969 and operated through 2003 in 1972 airbus began producing europe s most commercially successful line of airliners to date the added efficiencies for these aircraft were often not in speed but in passenger capacity payload and range airbus also features modern electronic cockpits that were common across their aircraft to enable pilots to fly multiple models with minimal cross training 67 deregulation edit pan am boeing 747 clipper neptune s car in 1985 the deregulation of the american airline industry increased the financial troubles of the airline which ultimately filed for bankruptcy in december 1991 68 the 1978 u s airline industry deregulation lowered federally controlled barriers for new airlines just as a downturn in the nation s economy occurred new start ups entered during the downturn during which time they found aircraft and funding contracted hangar and maintenance services trained new employees and recruited laid off staff from other airlines major airlines dominated their routes through aggressive pricing and additional capacity offerings often swamping new start ups in the place of high barriers to entry imposed by regulation the major airlines implemented an equally high barrier called loss leader pricing 69 in this strategy an already established and dominant airline stomps out its competition by lowering airfares on specific routes below the cost of operating on it choking out any chance a start up airline may have the industry side effect is an overall drop in revenue and service quality 70 since deregulation in 1978 the average domestic ticket price has dropped by 40 71 so has airline employee pay after incurring massive losses the airlines of the usa relied upon chapter 11 bankruptcy proceedings to continue doing business 72 america west airlines which has since merged with us airways remained a significant survivor from this new entrant era as dozens even hundreds have gone under in many ways the biggest winner in the deregulated environment was the air passenger although not exclusively attributable to deregulation indeed the u s witnessed an explosive growth in demand for air travel many millions who had never or rarely flown before became regular fliers even joining frequent flyer loyalty programs and receiving free flights and other benefits from their flying new services and higher frequencies meant that business fliers could fly to another city do business and return the same day from almost any point in the country air travel s advantages put long distance intercity railroad travel and bus lines under pressure with most of the latter having withered away whilst the former is still protected under nationalization through the continuing existence of amtrak by the 1980s almost half of the total flying in the world took place in the u s and today the domestic industry operates over 10 000 daily departures nationwide toward the end of the century a new style of low cost airline emerged offering a no frills product at a lower price southwest airlines jetblue airtran airways skybus airlines and other low cost carriers began to represent a serious challenge to the so called legacy airlines as did their low cost counterparts in many other countries 73 their commercial viability represented a serious competitive threat to the legacy carriers however of these ata and skybus have since ceased operations us airlines have been reincorporated and spun off by newly created and internally led management companies and becoming operating units and subsidiaries with limited financially decisive control among some of these holding companies and parent companies include the ual corporation along with the amr corporation less recognized are the private equity firms which often seize managerial financial and board of directors control of distressed airline companies by temporarily investing large sums of capital in air carriers to rescheme an airlines assets into a profitable organization or liquidating an air carrier of their profitable and worthwhile routes and business operations citation needed thus the last 50 years of the airline industry have varied from reasonably profitable to devastatingly depressed as the first major market to deregulate the industry in 1978 u s airlines have experienced more turbulence than almost any other country or region in fact no u s legacy carrier survived bankruptcy free among the outspoken critics of deregulation former ceo of american airlines robert crandall has publicly stated chapter 11 bankruptcy protection filing shows airline industry deregulation was a mistake 74 bailout edit congress passed the air transportation safety and system stabilization act p l 107 42 in response to a severe liquidity crisis facing the already troubled airline industry in the aftermath of the september 11 attacks through the atsb congress sought to provide cash infusions to carriers for both the cost of the four day federal shutdown of the airlines and the incremental losses incurred through december 31 2001 as a result of the terrorist attacks this resulted in the first government bailout of the 21st century 75 between 2000 and 2005 us airlines lost 30 billion with wage cuts of over 15 billion and 100 000 employees laid off 76 in recognition of the essential national economic role of a healthy aviation system congress authorized partial compensation of up to 5 billion in cash subject to review by the u s department of transportation and up to 10 billion in loan guarantees subject to review by a newly created air transportation stabilization board atsb the applications to dot for reimbursements were subjected to rigorous multi year reviews not only by dot program personnel but also by the government accountability office 77 and the dot inspector general 78 79 ultimately the federal government provided 4 6 billion in one time subject to income tax cash payments to 427 u s air carriers with no provision for repayment essentially a gift from the taxpayers passenger carriers operating scheduled service received approximately 4 billion subject to tax 80 in addition the atsb approved loan guarantees to six airlines totaling approximately 1 6 billion data from the u s treasury department show that the government recouped the 1 6 billion and a profit of 339 million from the fees interest and purchase of discounted airline stock associated with loan guarantees 81 as of may 2018 update the four largest major carriers controlled 70 of the u s passenger market 82 asia edit 1935 timetable of tata airlines founded in 1932 although philippine airlines pal was officially founded on february 26 1941 its license to operate as an airliner was derived from merged philippine aerial taxi company patco established by mining magnate emmanuel n bachrach on 3 december 1930 making it asia s oldest scheduled carrier still in operation 83 commercial air service commenced three weeks later from manila to baguio making it asia s first airline route bachrach s death in 1937 paved the way for its eventual merger with philippine airlines in march 1941 and made it asia s oldest airline it is also the oldest airline in asia still operating under its current name 84 bachrach s majority share in patco was bought by beer magnate andres r soriano in 1939 upon the advice of general douglas macarthur and later merged with newly formed philippine airlines with pal as the surviving entity soriano has controlling interest in both airlines before the merger pal restarted service on 15 march 1941 with a single beech model 18 npc 54 aircraft which started its daily services between manila from nielson field and baguio later to expand with larger aircraft such as the dc 3 and vickers viscount nakajima at 2 of japan air transport 1937 in japan japan air transport was established in 1928 as the national flag carrier upon the completion of haneda airport in 1931 it became the airline s hub the airline initially operated domestic routes such as tokyo osaka and osaka fukuoka in september 1929 it opened its first overseas route which connected fukuoka to dalian in the kwantung leased territory via seoul and pyongyang in japanese korea after japan established the puppet state of manchukuo the airline opened routes to major cities within this territory the company was reorganized as japan airways in 1938 during the second world war it operated routes to various japanese occupied territories and thailand the company was dissolved immediately after the war as civil aviation was prohibited by the allied occupation forces civil aviation in japan did not resume until the founding of japan airlines in 1951 85 cathay pacific was one of the first airlines to be launched among the other asian countries in 1946 86 the license to operate as an airliner was granted by the federal government body after reviewing the necessity at the national assembly the hanjin occupies the 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