$1.24 v. $1.23 v. $0.35

Elementary arithmetic last week engaged the attention of U. S. citizens interested in the question of what commercial aviation company shall be Uncle Sam's mailman on the New York-Chicago leg of the transcontinental air mail route. "Why," asked figurers, "did Postmaster General New award the New York-Chicago contract to the National Air Transport Co.'s bid of $1.24 a pound when the North American Airways Co. bid $1.23 a pound, and when Capt. Earle F. Stewart of Manhattan bid 35-c- a pound?" Computers added also that U. S. Comptroller General McCarl had previously ruled that the Government should accept the lowest bid. To which Postmaster General New answered that the National Air Transport Co. was the "lowest and best responsible bidder" and the only one to whom he could have made the award.

Critics of the Postmaster General, dissatisfied with his reply, argued that one or the other of the two lower bids should have been accepted. Those favoring the $1.23 of the North American Airways Co. claimed that the Airways' bid had been thrown out merely because air mail pilots now in the government air mail service had subscribed $100,000 for Airways stock. They maintained that Col. Paul Henderson, General Manager of the National Air Transport Co. (the successful bidder) had filed protest against the Government's considering a company in which its own pilots were financially interested. They added that Colonel Henderson was once (1922-25) Second Assistant Postmaster General. Yet his company already carries the mail on the Chicago-Dallas line. To all of which Postmaster General New replied that the matter of pilots owning stock was a "minor consideration," that Colonel Henderson had made no protest, that the issue had been settled on other grounds.

Meanwhile advocates of Captain Stewart's 35-c- bid stressed the obvious, that this bid was in a class of its own for lowness. They argued that here was an astonishing bargain for the Government. The low figure was to be made possible by another public service--carrying New York-Chicago passengers. Captain Stewart pointed out that his bid would save the Government $730,000; that, by carrying 700,000 letters daily by air mail he would speedily and effectively educate the public to the advantages of using air mail. Captain Stewart contemplated using trimotored planes that would make but one stop (Cleveland) between New York and Chicago. "This is a good business proposition," he said, "and the American people ought to know what is being turned down."

But Post Office officials, discussing the Stewart offer, said that it was conditional upon his being given a total of 20,000 pounds of mail per day. To send so much mail by airplane would result in discontinuance of all railway service for first-class matter between New York and Chicago. The air mail is looked upon as an auxiliary to railway mail, not as a method of replacing the train with the airplane.

Captain Stewart and the National Airways Co. both formally protested the lost award. Comptroller General McCarl considered holding a public hearing in which air charges might be fully aired. In any event, Mr. McCarl might, if he desired, veto Postmaster General New's award by refusing to sign vouchers issued to pay the National Air Transport Co. for its mail-carrying services.

No matter how the Transport-Airway-Stewart controversy is settled, the U. S. Government will soon be out of the mail-carrying field. At one time the Post Office Department operated 15 air mail lines, all of which have now been contracted for by private companies. The Government charged about $4 a pound.* Most of the pilots now flying for private corporations were onetime Government flyers. To the Post Office Department goes the credit for pioneering the air mail and bringing it to its present position of safety and reliability.*

*The Government figure was far higher than the contractors' figures because the latter go into air mail delivery with the hope of building up profitable express and passenger services. The Government is permitted, by the Kelly Act, to pay private carriers as high as $3 a pound.

*Between July, 1923, and November, 1926, Shirley J. Short, Government pilot, flew 193,520 miles, was in the air 2,169 hours, without injury to himself or anyone else. For this performance he received the Harmon Trophy awarded by the International League of Aviators, for the best record made by a U. S. pilot in 1926. Pilot Short was among the disappointed National Airway stock subscribers.