Airlines: How to Make Ten from Three

"One and one and one don't make three in this case—they may well add up to ten." So says G. Robert Henry, 51, president of Pacific Air Lines. Henry's arithmetic stems from the profits he anticipates from a merger of Pacific and two other regional, or feeder, airlines: Phoenix's Bonanza and Seattle's West Coast. The system, after approval by stockholders and the CAB, will cover eight Western states.

Henry's trio aims to get out of the barely black and into the wider blue. The merged lines promise to pare expenses by cutting out competing ticket offices in some 25 cities...

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