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Two years ago when the Civil Aeronautics Board certificated New York Airways it recognized this important function among other broad objectives to be gained by our service. It asserted in its opinion at that time, among other things, ". . . Substantial contributions to the national defense, both civil and military, as well as benefits to the commercial and postal service, should be experienced well before the time larger and more efficient aircraft become available. . . ."

We have referred from time to time to the dependence of present-day helicopter operators on government support in the form of subsidy. It is apparent that such support is essential at this time to this fledgling industry. For fiscal 1954 the Civil Aeronautics Board has projected some $2,600,000 as the aggregate mail pay for New York Airways, Los Angeles Airways and Helicopter Air Service. Of this amount about $2.3 million is labelled as outright subsidy and the remainder is payable to the carriers for the transportation of United States mail at the arbitrary rate of $2.58 a ton-mile. Total mail pay for New York Airways alone is estimated at $1,250,000. This figure will doubtless be adjusted as our operation stabilizes and more facts governing the level of expenses and possible commercial revenue become known. 

An interesting parallel is found in the basis of the formation of the Air Transport Command and its substantial contribution to the military effort during World War II. It was

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