Viewing page 10 of 14
This transcription has been completed. Contact us with corrections.
82 AERONAUTICS [[left maregin]] Cessna Aircraft Bought - Sold - Quoted Inquiries Invited - KOEPPE LANGSTON LOPER & CO. Telephone Randolph 0980 29 South LaSalle Street Chicago [[/left margin]] than bond, issues, and there seems no indication of any dearth in funds for air expansion, either in transport or actual construction. The industry is too young to furnish as complete data regarding fundamentals of nation-wide output as is the case in other industries, yet there appears no nearby check to the generally favorable progress of such companies. Attention has been called especially to the commercial possibilities of the airplane as a common carrier by the opening of the new combination air-rail services between the Atlantic and the Pacific coasts. Universal Aviation, combining with New York Central and Santa Fe, and Transcontinental Air Transport, combining with Pennsylvania Railroad, have both gotten their new services well under way. Demand for such combination air and railroad travel across the Continent is dependent largely on public faith in the safety of such travel, comparatively low rates and public consciousness of the new form of transportation. Public faith in safety is being constantly built up, rates are already fair in comparison with all-rail tariffs, and so far as public recognition is concerned this factor is being rapidly pushed, and success seems but a matter of time. Airplane and motor manufacture still shows a healthy expansion. Aviation exports from this country are running approximately double those of last year, and it is certain that 1929 will again eclipse by a wide margin the production figures of 1928. The dangers of too-rapid expansion, calling for the intermediate depression which has so regularly overtaken our new industries, have not disappeared. But one of the best safe-guards against such condition is the conservative management of most concerns in the field and the fact that such managements are not blind to the dangers from over-expansion. The best advice in regard to aircraft stocks is the advice always given by responsible bankers and other investment authorities: "Buy the best." [[left margin]] WE RECOMMEND Arrow Aircraft & Motors Corp. Common Stock The Company manufactures the well-known Arrow Sport airplane. This machine is designed to provide the utmost in safety, efficiency and performance. Its outstanding feature - its non-spinning characteristic from a stall or with a dead engine - insures its wide popularity. Within ninety days after this model was offered, 233 planes were sold. To date about 200 additional planes have been ordered. Production of planes for 1929 should reach 500. The management possesses wide experience and is well-known in the industry. An attractive aircraft stock, offering good possibilities for profit. Write for full details. Price at the market. Woods, Faulkner & Co. 29 South La Salle Street CHICAGO Telephone Franklin 8611 CLEVELAND KANSAS CITY [[/left margin]] Selecting Aeronautical Securities (Continued from page 17) competition with the B & M and southward from New York in competition with the Pennsylvania. The development of the aeroplane industry will create a serious problem also for those railroads which are contending with mountain routes, bridgeless rivers and lakes and other handicaps. In contrast with the foregoing types of railroads there are other roads to which aeronautics may prove a material blessing. Like the motor coach, the airplane will tend to become an important feeder to certain lines. Moreover, supplemented by motor coaches and motor trucks, airplanes will help to do away with the operation of railroad branches that cannot be run at a profit. There are still other railroads now suffering from inability to approach certain large cities within about 100 miles, and these roads may find in the airplane a key to the present difficulties. Some railroads of about 400 miles in length offer a complete night's run and at the end have to turn their Pullmans over to another road, which carries the passengers to their destination. With the help of airplanes such roads could extend their haul without the need of turning over the Pullmans to competitors. In brief, one effect of progress in aviation will be to enlarge the transportation radius of certain railroads without building more mileage, without transferring their passengers to other roads and without assuming the burden of costly terminal facilities. Investments in Allied Lines As readers of AERONAUTICS will realize, the great web of air routes for mail or passenger business is fast being woven. One of the most interesting links was the Florida to Panama Canal Zone air mail route opened by Colonel Lindbergh. With this development in progress there is coming into sight a large volume of business for airplane manufacturers producing the fleets of new planes now going into service. It is estimated that production this year will be from 10,000 to 12,000 machines. In 1928 production was but 4,000. The figures published by the Aeronautical Chamber of Commerce set the value of aircraft output in 1928 at $75,000,000. This compares with only $5,000,000 in 1921. Figures like this fire the investor's imagination; and he should periodically remind himself that in spite of these evidences of growth, consistent profits can be made only by concerns with adequate management and financial backing. In trying to forecast this survival of the fittest, investors should particularly stress two points: Permanent success will be won only by those who produce sound products. Aeronautics is an industry, the very nature of which puts a premium upon soundness. A second point to watch is the efficiency of a concern's sell-
