Posted on: Monday, October 8, 2001

Editorial
Airlines must give back following their bail-out

We hope the airlines don't suppose that President Bush and Congress presented them with a $15 billion bail-out just to keep their stockholders happy.

What was intended was to maintain without interruption a vital part of the nation's transportation infrastructure. One would have thought that would mean keeping as many planes in the air as possible.

Instead, air travelers have experienced deep cutbacks in flights, massive layoffs of airline personnel.

One apparent abuse of the bailout involves United Airlines, according to the New York Times. At the same time United was telling Congress it might go bankrupt without a bailout, its parent, UAL Corp., was paying $11.25 million to a French airplane manufacturer as a down payment on an order for 30 executive jets at a cost of $20 million apiece.

Critics are angry that United was investing millions in this new charter business even as it claimed to be fighting for its life.

Even as United was seeking an immediate cash infusion from the taxpayers, it was spending millions for foreign-built airplanes that will allow elite fliers to bypass security hassles and congestion at its hubs.

UAL stresses that the new venture is entirely separate from the airline. But the move has alienated its remaining employees, and disappointed the destinations that were hoping that the subsidies would result in greater effort by the airlines to get the public flying again.