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-1- UNITED STATES OF AMERICA CIVIL AERONAUTICS BOARD WASHINGTON, D. C. COLONIAL-EASTERN ACQUISITION CASE DOCKET NO. 6998 Recommended: That the Board find that the acquisition of assets of Colonial Airlines by Eastern Airlines is consistent with the public interest, and that the Board approve such acquisition subject to certain terms and conditions. Appearances: E. Smythe Gambrell, Glen Harlan, and Terry McKenna for Eastern Air Lines, Inc. Edward A. Silliere and L. Orville Cameron for Colonial Airlines, Inc. Alexander G. Hardy, John W. Cross, and Richard A. Fitzgerald for National Airlines, Inc. Edward J. Hickey, Jr., and William G. Mahoney for the International Association of Machinists. Ralph L. Harkenrider for Air Line Pilots Association, International. Edward Knapp and David Hoxie for Vermont Aeronautics Commission. Albert H. Ruppar for Bureau Counsel RECOMMENDED DECISION OF HERBERT K. BRYAN, EXAMINER Before the Board in the proceeding is the joint application of Colonial Airlines, Inc. (Colonial) and Eastern Air Lines, Inc. (Eastern), filed under sections 408 and 412 of the Act, for approval of an agreement for the acquisition of the assets of Colonial by Eastern. In accordance with section 801 of the Act, a copy of the application was forwarded to the President of the United States.