# Transcript of Record — Pan American World Airways, Inc. v. United States

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Transcript of Record
- **Published:** January 1, 1963
- **Citation:** 371 U.S. 296

## Text

"TRANSCRIPT OF RECORD

> ”~
ET

AL.

. ‘INDEX
as VOLUME VI,
. Original Print
Record from the United Sta Mtg Court for 7
the Southern District of New York © Continued
Pan American World Alvouys: Ine? Exhibits—
- Contitined 4 Bate tok
57—Amendment: No. 1 ft Genera! Traffic and,
Sales Ageney Agreement between Pan 7
* American World Airways, Inc. and.
Aerovias Nacionales de Cae, S.A.
dated June 1s, 1957 ¢ 2300 23838
1962

ReEcorp PREss Prax ten Rete York, Me Ea OCA,

ii « @-- 4, INDEX . .

Record from the oN States District Court for -
the Southern District of New York—Continued.

Pan American World Airways, Inc. Exhibits—
Continued

58—Amendment No. 2 to General: Traffic and
Sales Ageney Agreement between Pan
American World Airways, Ine. and
Averovias Nacionales de Colombia, ‘S.A.

dated January: 30, 1958 on
59—Amendment No. 3 to General Traffic and

Sales Agency Agreement between Pan |

American World Airways, Ine. and
‘Aerovias Nacionales de Colombia, S.A.
dated March 31, 1958

- 60—Amendment No. 4 to General Traffic and

Sales ng Agreement between Pan,

American Id Airways; Ine. and
Aerovias oy ales de Colombia, S.A.
dyted October 30, 1958

61—Agreement for ground services and use of

ground facilities by scheduled operators
briween Pan American Airways, Ine.
and Braniff Airways, Ine. dated April
27, 1944
62-—-Amendment No. I ,to Ground Fac ilities
*- +» and Services” Agtecment between Pan
> American Airways, Ine. and Pr: fit? Air-
w- ways, Ine. dated Septembér 27, 1948
63-——Amendment 11 to Ground Facilities ‘and

Services Agreement between Pan Amer-

ican Airways, Inc. and Braniif Airways,
Ine. dated October 31, 1949
64—Amendment. No. III to. Ground Facilities
and: Services Agreement. between Pan
American Airways, Ine. and Braniff
Airways, Inc. dated December 7, 1949
65—Amendment IV to Ground Facilities and
Services Agreement between Pan Amer-

iean World Airways, Inc. and Braniff_

' Airways, Inc. dated July 20, 1950

wa
Bi
gs”

Original

2302

2304

2306

2308

2318

Print

2385

2397

2389 °

2391

2399

- 2404

2407

2410

2

INDEX * an
Original Print
Record from the United sstates Distriet Court) for
the Southern District oi New York Continued —
Pan Atneriean World Airways, tic. Exhibits
Continued , + 4
6O—Assiznment agreement between Pan Amer-
ican World Airways.. Ine. and Aero-
puertos Unidos, Sud. dated April 30,

152° 232¢ 0 2413

67 —Letter agreement between Pan American. °
World Airways, Tne. and Braniif Air-

. Ways, Ine. dated November Ts. 1954 ~ 2328 2413

6s—Amendment No. Vo to Ground Facilities
amd Services Agreemen’ between Pan
American World Airways, Ine. and
Brant? Airways, Ine. dated June 20,

1957 | . | » 2331 2a
69—Amendinent Vio to Ground Facilities and ;
Services Agreetient between Pan Amer- .

iegn. World Airways, Inc. and Branitf
Airways, Incorporated ‘dated October
21,1957 ; 2332 417
7TO--Letter agreement between Pan American
© Airways, Ine. anc Panair Do Brasil, S.A.
aceepted November 16, 143 + - 2334 9 2420
Tl—gAgreenient between -Pan’ Amerjean

—— y

INDEX

Record trom the United States District Court: for
‘the Southern District of New York-—Continued
Pan American World Airways, Ine. Exhibits
_ Continued, ©
117—Memorandum foe Mr. Hoyt from Ro oH.
Patehen (sie) dated November 27, T82s
»115—Letter from Peruvian Airways. Corpora.
tion by H.R. Tarris to Pernvian Air-
ways Corporation, New York, dated
December 5, 1928
119—Meinorandum,re operating history of Pau
| American Airways, Ine. by 4. T. T.
dated December 22,° 102s
120—Letter to Henry Breckinridge from J..1
‘To dated, December 24, 1925 0°
121—Letter to TH. Case Willeox from J.T.
Trippe dated January 5, 1929
122—Memorandum to Valverde from Patehin
dated January 12, 1929 -*
123—Letter.to the representative of Huff Da-
land “Dusters, Inc. from Postal and
Telegraph Administration of Peru, A.
Ss. Salazar, Secretary General. dated
January 19, 1929
124—Memorandum re tentative estimate of
* proposed airway service between Colon,

.

CA. and Santiago, Chile, by Waiter —

» Jacob dated January 23. 1929
15-—-Pan Amerivan Airways, Tne. memoran
duin te J. TO Trippe from Walter
Phelps Jacobs, dated January 24, 1929
126--Letter to Pan American Airways, Ine
from SCADTA dated January we 124
‘27 —Adeertiséments for foreign airmail ser
vice Post Office Departinent from Cris
tobal Canal Zone to Santiago, Chile

dated January $b. 192%

12s—Pan American Airways. due memorat
e dum te ROH) Patehin from Walter P

dacet dated February 1 129

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Original

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244

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2508

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at

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. 609

2610

vill INDEX

Retord from the United*States District Court for .

the Southern District of New York-—Continued
Pan Americar World Airways. Ine. Exhibits
‘Continued

129—Department of State press release re

aircraft facilities in United States,
Panama Canal Zone, afid Colombia
( Ketiogg-Olaya Agreement dated Feb-
ruary 23, 1929
_1380-—Airmail proposal, bond and oaths by Pan

American-Grave Airways, Ine. dated
February 26, 1929

131—Letter to the Postmaster General from
Pan
162—Letter te President of Pan. American
‘from Washington Represeitative oNa-

yi gle dated June 17,1931
168—Letter te Walter FL Brow from Thomas
B. Doe dated ely 2. 1031
lé4— Letier to Thomas 16. Doe from Walter F.
Brown dated July. 7.- 151.
169—-Carble to J.T. Trippe from Tiet yen dated
, July 10, 1931 . ee
166—Telegram te Tietjen from Trippe dated
‘July 1 193t ease
167—-Letter to’ President: from J.T. Trippe
datedeSeptember 4. 131
lés—-Agreement between Uraba. Medellin &
Central “Airways. Ine. and Gonzalo
- Mejia dated Septetuber 10, 1921
169—Clip ying from the New York Times dated
*Pecember 12, 1931
170- Transkation of Coed of assignment of the
ws Mejia Concession to Uraba. Mécellin &
Central Airways. ine. dated January
; 11, 1932 mares ’
° ©. 171— Letter to Harold Ro Harris trom Gee ;
Tohl dated Decentber oa. 13}
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Record from: the Visited States Depsreyer mart for ‘i , re es
Lio--s Letter tc. Chief a Lotito ae Now
York Prem Pin, Ate pean Oderitions
* Manaeer, Caribbean. Maan i. ddated
Tune I 1a, ; . or8s, “Dees
Tt Davsttess ti oD (Oe Mitel redror teen il -
z Harris dated & vember 2s Lage es of: Se§x
ve Confidential men rota nign es aitmiai! ser :
vies EUSA. ‘to Brien Ares ‘at! Wiest
8 > edast ot eSouth Neen bs’ Carne at
tar fred tocbettor from Harris te Mae
Gregor dated November Ve TOG ; i ee)
oS Metoramdum. ore extension of FAM:9 e
oN through Bolivia te the Ane: Nome at :
” stuen eh to deeter Proms” Miereis tee Mage ; ¢
Girecor dy ted November as pea” STM ONG] |
2 1a Letier t. J 1) Marti reg ro from FT R é
“ Harris dasteck Pheer deer a. 1k . Oa: pd | Pe
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‘ / a 2388
fol. tM } a ; °
"Pax Americas -Worp AIRWAYS, Ix... xan AF

.

AMEND ENT NG |

THIS AMENDATORY * AGREEMENT, made ‘as of
chume TSth. PEST) hetwe. nPAN AMERDOAN WORLD ATR

® WAYSSING. a corporation organized and existing under
the laws of the’ State of New York. hereimifter referred te
as "Pan Ameren aml AEROVEAS NACTONALES DE
COLOMBIA SAL aseorporation ersunized amd. existing
Under thee laws Colon dia,
“Company” .

‘
‘

heresmagter referred to as the

TT NESSETHYTIAT:
WHER 7 ‘an Ann riewn and the Company have on
wrod! Mtoe a Gemeral Prafiie nud: Sales Avene Agreement
data Deeonibet OT whereby the Company aets as
ceneral trathe ard sales azent for Pan American and its
aflifated enrriers in the eountry of Colonibia. snd whereby

~ Pan Atvertean and its affiliated enrriers get on reneral,’

: .
thathe tuned sules aiuent outs): the countries of Columbia
~and - f° under: : ind ‘

WHEREAS: Pra Atmertean ane the Con MANN desire to
atnemd the Gefleral ‘Prathe and Sales Aes meen Norresergpegyt
TO eNC Te the saronyhaalss tacit Prom the territers an whieh
Pan Amerenun and ath affiliated cearriers diet ius teeneral
tfithe and Stties agent for th. Company ea " e

NOW, THEREFORE. in consideration of the Mutusal
eovenunts fom aireements leone eonturmed the parties
_ terete Ae ey tis follows: : :

.
‘ e .

The 'Conera! Trafic amd Sales Ngenes Agreement is.
hy drended as Tollows, OMeetive as of dame Ustho Vane:

The first se Mtehes in paragraph das hereby revised to

ae as, Poilow “©,

‘ole 2801 "The Company hereby appoints Pan
yee riean andsts affiliated garricns, and Pan American
werees to onet amd make arrancements with its caffili-

ated 1 eurriers under whiel thes will aet. as General’

tg . ;
’ : * .

*S

2384 ake me *

Trafic and Safes) Agent for the Company o outside
Colombia, Keu and Peru, except in thuse countries,
regions and cities specifically excluded by Annex No. 1"
2. Paragraph 1 (a) of Annex No. Lis hereby revised to
read as follows: ee

“(a) Pan American, on one side, agrees to act as Gen-
eral Traffic and Sales Agent on-behalf of the Com-
t pany outside the countries -of Colombia, Heuador:
and Peru; and”. fae ;

*

I]. Except as herein specifically amended, al
terms and conditions of the General Traftie an
Agency Agreement shall remain in full foree and ef

IN WITNESS WHEREOF, Pan American and th Com-

eg pany have caused this Amendatory Agreement to be exe-
cuted in their, corporate nanles ‘by their respective officers
» thereunto di ly authorized as of the day and year first above

written.
acts
as General Traffic and Sales Agent hereunder, which
report shall set forth the total amount of the applicable
fares and charges as referred to above. with respeet
to each such sale”.

3. Paragraph 1 of Annex No. 1 is hereby revised to
read as follows: @ ae

“(a) Pan American, on one side, agrees te act as Gen-
eral Traffic and Sales Agent on behalf of the Company
outside the countries of Canada, Colombia, Ecuador,
Peru, Chile and the continental United States, and”.

4. Paragraph 1 (b) of Annex No. 1 is hereby pees
4 to read as follows : . ¢

“(b) The Gunny, on the other aie. agrees to act as_
General Traffic and Sales Agent pn behalf of Pan
‘American in the country of Colombia except in the
_ cities of Bogota. and Barranquilla”.
il. ‘Bxcent as herein specifically amended, ‘all of the,
ierms and conditions of the General Traffic and Sales.
Agency Agreement shall remain in full force and effect.

IN WITNESS WHEREOF, Pan American and the Com-
pany have caused this Amendatory Agreement to be ex-
ecuted in their corporate names by their respective officers —

2387

thereunto duly authorized as. of the day and year first
above written.
. . . . c . e \
_ _ Pan AMERICAN Wort» Airways, Inc. |
— S/ Winuts G. Lipscome
Willis G. Lipscomb
| Vice President ‘Tratlic. & Sales
WITNESS: a3 .
: a.

~

“Lfol. 2304 J 2

Pan American Worp AIRWAYS, Inc. Exuipir 59

AMENDMENT NO. 3000
THIS AMENDATORY AGREEM ENT, inade as of
March 31,1958, between PAN AM ERICAN WORLD AIR-
WAYS, INC., a corporation organized and existing under
the laws of the State of New York, hereinafter referred to
as “Pan American”, and ARPROVIAS NACIONALES DE
“COLOMBIA, S. A. a corporation organized) and existing
under the laws of Colombia, hereinafter referred to as the
“Company’, nang :
WITNESSETH THAT:
WHEREAS, Pan American and the Company have en-
tered into a General Traflie and Sales, Agency Agreement’
— dated December 3, 1954, as amended by Amendment No. |
* dated June 18, 1957 anc Amendment No. 2 dated January
30, 1958, whereby the Company acts as general traffic and
‘sales agent for, Pan. American and its affiliated carriers ID

er ment ;

vA

a ae

“the country of Colombia, except in the cities of Bogota and
» Barranquilla, and whereby Pan American and its affiliated
\ carriers act as general trafti¢ and sales agents outside the
-entiigies of. Canada, Chile, Colombia, Ecuador, Pery and
the continental United States }.and : - e

Ww HEREAS, Pan American antl thé ¢ Compagiy desi sire to
further amend the General Traffic and Sales ices ney Agret-

NOW, THERE FORE; in consideration of the niutual
covenants and agreements herein contained the parties here-
by agree as follows: = * ©

I. The General ‘Ttaffie and Sales, Agency Agreenient’
is hereby amended as follows, effective as of August 1, 1958:

The first sentence in Ati ahine 4 is hereby revised
to pate as follows: en :

“The Company hereby appoints Pan American and its
| foi. 2305] athliated carfiers, and Pan American agrees
to act and make arrangements witlr its affiliated car-

. riers under which ‘they will actas General Traffic and
.. Sales Agent for the Company, outside Bolivia, Canada,
: Chile, Colombia, Ecuador, Peru, and the continental
United States, except in those countries, regions and

- cities specifically excluded by Annex No. 1”.

_ 2. Paragraph 1 of Annex No.1 is hereby revised to read
as follows: .”

“(a) Pan American, on one side, agrees to act as Gen-
eral Traffie and Sales Agent on behalf of the Company
outside the countries of Bolivia, Canada, Chile, Colom-
bia, Feuador, Peru, and the continental United States,
one. , ite ° A il

gol og /
—_ eae |
- Except as herein’ specificaliy’ amended, all of the ° ®
wae and conditions of the General, Traffic and Sales -
Agency Agfeement- shall remain in full force and effect. |

IN WITNESS WHEREOF. Pan Americarrand the Com.
pany have caused ‘this,, Amendatory Agreement to be ex-

eo
i:

- | as a P ; . ° Sis .

; 2389 —
‘ ; ” ‘ .
eeuted-in their corporate, names by their respective officers
thereunto duly authorized as of the day and*¥ear first above
~ written. erate ee ei evokes bade :

‘ Pans AMertess Wortp Aimwaysy [vc
1 Say) G. Lirscoss > =:
| Willis G. Lipscomb '

e Vice President-Traflig & Sales
WITNESS :|

5 ¢
.

(Signature [Negible): )

t Agrovias NactonaLes Dr CoLomBIA, S.A. @

. | /s/ Jvasx Guitcerro Rostrovo J.
WITNESS: —. @\.
(Signature Ilegible) — | &
- {fol. 2306 |

0 Pax Awertcan Wortp Armways, Isc. Exutipit 60

AMENDMENT NO. 4

THIS AMENDATORY AGRBEMENT; made as of
October 30,1958, between Pan AMERICAN WORLD AIR-
WAYS, INC. a corporation organized and existing” under
the laws of the State of New York, hereinafter referred to
as “Pan American”, and ARROVLAS NACIONALES DE. °°
COLOMBIA, 3S. .A.. a corpogation organized. and existing
under the laws of Colombia, hereinafter referred to as the
“Company”, . |
. WITNESSETH THAT:.

WHEREAS, Pan American and the Company have en-
tered into a General Tradtic and Sales Agency Agreement
dated December 3, 1954, as amended, by Amendment No. 1
dated June 18, 1957, Amendment No. 2 dated January 30,

‘ 1958, and Amendment No. 3 dated March 31, 1958, whereby

{ - h

2390 ;

the Company acts as general traffic and sales agent for Pan
~ American and its affiliated carriers in the country of Colom-
bia, except in the cities of Bogota ahd Barranquilla, and
whereby Pan American and its affiliated carriers act as
general traftie and sales agents outside the countries of
Bolivia, Canada, Chile, bap yg Eeuador,- Peru, and the
gontinental United States 1

WHEREAS, Pan Apicrican-and the Company desire to |
- further amend the General Traffic and Sales Agency Agree-
ment;

NOW, THERE FORE, in consigeration ‘of the mutual
- covenants and agreements herein’ contained the parties
hereby agree as follows:

I. The General Traffic and Sales Agency" Agreement
is hereby amended as - follows, effective: as of December
1, 1958:

» The “rst sentence in parngtene 4 is hereby rev vised .
to pat as follows:

fol. : 2307 ] “The Company hereby appoints Pan Ameri-
can and its affiliated carriers, and Pan American agrees
‘to act and make arrangements with its affiliated car-'
riers under which they will act, as General Traflie and
Sales Agent for the Company, outside Bolivia, (anada,
Chile, Colombia, Ecuador, Panama (including the Re-

™ publie of Panama and the Canal Zone), Reru, and the
continental United States, except in those countries,
regions and cities specifically excluded by Annex No.
;”.

2. J raragraph 1 of Annex No. 1 is hereby revised to read
as follows: -:- . : jes)

¢
“(a) Pan hati, on one side, agrées to act as
General Traffic and Sales Agent on behalf of the Com-
-pany outside the countries of Bolivia, Canada, Chile,
Colombia, Ecuador, Panama (including the Republic
of Panama and the Canal Zone), Peru, and the con-
tinental United States, and”, fy

- 9391 ©

f Except as herein specifically amended, all of the
terms and conditions of the General Traffic and Sales
Ageney Agreement shall remain in full foree and effect.

LIN WITNESS WHEREOF, Pan American and the Com-
pany have caused this Amendatery Agreement to be ex-
ceuted in their cofporate names by their respective officers
thereuniy duly authorized as of the day and year first above
written,

Pas Americas Wortp. Airways, Inc.

4 Willis G. Lipscomb
, Vice ‘President-Traflie &. Sales
WITNESS: °

(Signature Wegible) ;

: _ Arrovias Nactoxaces De CoLompia, S.A.

Po : * (Signature Iegible)

; (Title Nlegable)
WITNESS: “>
(Signature Illegible)

—_——-—~—”

[ fol. 2308)

Pax American Wortp Airways, Inc. Exutort 61

_

STANDARD FORM OF AGREEM ENT FOR GROUND
SERVICES AND USE OF GROUND FACILITIES®
‘ BY SCHEDULED OPERATORS
THIS AGREEMENT, made this “7th day of April,
1948, between PAN AM ERICAN AIRWAYS, INC., a cor-
_ poration organized and existing under the laws of the
* State of New York (Hereinafter called “Pan American”),
and BRANIFF AIRWAYS, INC., a corporation organized
and existing under the laws of the State of Oklahoma (here-
inafter called “Braniff”).

?

WITNESSETH THAT: aor

WHEREAS, Pan American operates an extensive SYs-
tem of international air transportation’ services and in

x

‘

2392 ,

- connection therewith maintains a ground organization and
_ground facilities at various’ locations, including certain
such organization and facilities at each of the locations

at which services are to be rendered pursuant to this”

Agreement ; and

WHEREAS, Braniff, proposes to operate air trans-
portation services between Houston-Havana-Panama, and
in connection therewith requires ground services and facili-
ties at certain locations as hereinafter more fully set'forth;
and |

4

» WHEREAS. ’Braniff desires to have Pan American fur-
nish certain of such ground facilities and services to it, and
Pan American is willing to furnish such facilities and ser-
Vices, upon the terms and conditions hereinafter set forth;

NOW. THEREFORE, in consideration of the mutual
covenants and agreeme ate herein set forth, the parties
hereby agree as follows

1. Attached: ‘hereto and made‘a part hereof, is a-schedule
relating to each location at which services are to be per-
formed or facilities made available pursuant to this Agrée-
ment, setting forth the. services so to be performed and
‘the facilities so to be made available at suchelocation said

. schedule being designated SCHEDULE I, (Havana). Pan.

American hereby agree, to the extent that Pan American
has such facilities and services available, having regard
to the requireny nts of its own operations, to permit Braniff
to utilize those ground facilities and to furnish to Braniff
those services at the location shown in the SCHEDULE
which.are listed in said schedule relating to such location.

Pan Ameriean agrees to use its best efforts to fol-

low reasonable instructions from Braniff regarding .the
standards, practices and procedures to be followed in: fur-
nishing services pursuant to the Agreement. In the absence
of such, instructions, services will be furnished in aceord-
ance with the standards, ‘practices and procedures followed

>

[fol. 2309}. by Pan American in connection with its own

operations. Braniff agrees to be bound by such reasonable

rules anid regulations as Pan American shall establish in
connection with use of suchs facilities and receipt of such

: 2393-
services, The facilities and services listed in Part A of the
SCHEDULE will be made available withont further request
for all-scheduled tights made by Btanitt between the points
referred to in the Second Recital to this Agreement, in ac-
cordance with schedules furnished by Pan American, Such
services and facitties will also be made uvailable upon fe-
quest for other flights of Braniff between said points,’ pro-
vided the request is reedived by Pan Ameriean’a reasonable
time prior to the intended use of the facilities and services.
The facilities and services listed in Part B of the SCHED-
ULE will be made available only upon reduest by the pilot
commanding the flight or hy other authorized representa-
tive of Braniff, who will sign an appropriate receipt there-
for. It is understood and agreed that any officer of Braniff,
‘or any ‘employeesagent or representative of Braniff acting
in a supervisory eapacity at, oy im respect of, the location
coneerned, orAiny person otherwise, authorized by Braniff,
shall be authorized te give instructions on/behalf of Braniff
regarding the services to be rendered and to request ser-
_ vices on behalf of Braniff hereunder. - ees

3. Braniff will pa? Pan Américan for the services and:
facilities listed in Part ‘A of the SCHEDULE at the rate
of $124.00 per landing for each s¢heduled landing and for
each extra section of non-scheduled landing made by Braniff
at Rancho Boyeros Airport. This rate was dé@ermined, on,
the basis of a minimum of two DC-6 round trips schedules
and one’ DC-4 round trip sfhedule weekly transiting Havana.
The charges becomegeffective: on the date of the first sur-
vey flight and monthly charges thereafter to Braniff will
not be less than the minimum cechedules used in determining
the rate as indicated above. Braniff will pay Pan Ameri- |
can for the services and facilities listed’ in Part B of. the*
SCHEDULE at the rates shown with respect thereto in
the SCHEDULE. The foregoing charges have been ar-
rived at on the basis of current costs and the utilization
of Tan American facilities and services at the locations
covered by this Agreement now being made or comitted
for. The parties will review these charges at. six months’
intervals from the date of this Agreement and at such other
times as either party shall request. In the event that it
‘

economic operation and if a reduction is possible at any
tinie, it will be passed on to all scheduled carriers as in
the past. After exeeution all copies of the amendment
should -be returned to the undersigned and appropriate»
copies will be forwarded to you for your files.

‘ i Very truly yours, — |
- Original Signed by —
~ W.L. Morrison/R

\ W.-L. Morrison, Vice President
Latin American Division
bee: Viee President Dean
Vice President Balluder
Asst. ¢reneral Counsel .-
Genera] Manager—Cubana

Enclosures 5 _

‘fol. 2315!
AMENDMENT NO. 1

* This Amendatory Agreement, ‘made this 7th dav of

‘September 1948. between PAN AMERICAN AIRWAYS,

INC., a ¢orporation organized and existing under the laws .__
of the State of New York: (hereinafter called “Pan Ameri-
can”) and BRANIFF: AIRWAYS, INCORPORATED. a
corporaticn. organized and existing. under the laws of the —
State of Oklahoma (hereinafter galled “Braniff”),

“WITNESSETHTHAT:* '\ 7)

e

WHEREAS, Pan. American and Braniff are - parties to

an agreement dated the 27th day of April, 1948, 4 herein-
after called the “Principal Agreement”), _providing for
certain ground facilities and services to be furnished to
Braniff by Pan American; and .

WHEREAS, the: parties disse. to iia the Principal
Agreémcat so as to include the costs of handling inter-

national air express at Rancho Boveros —— Havana,
Cuba ;

2401

NOW, THEREFORE, in consideration of the mutual
covenants and: agreements herein set forth, the parties
hereto agree that the Principal Agreement is eee
amended, effectiv © Bs of October 1, 14s, as follows

1. By, changing the first sentence, of Paragraph: 3 to
read as follows: Braniff will pay Pan American. for the.
services and facilities listed in Part A of the SCHEDUL Ke
at the rate of $139.00 per landing for each scheduled landing
and for each extra section. or non-scheduled landinyy made
by Braniff at Rancho Boyeros Atrport.

2. By adding Paragraph 11 to read -as follows: Any. °
taxes payable by ¢itlier party, other than U.S. income taxes
.payable by ‘Pan American by reason of this agreement or
the use of the services and facilities by Braniff, pursuant
hereto shall be borne by Braniff.

3. "By ame nding SCHEDU LE 1 in the form attached.
hereto and mage a part hereof. | are

exe ept: as herein modified, all terms and conditions of,
the Principal Agreement shall continue in full force and
_ effect. . ,

{fol. 2316] - IN W ITN -ESS: WHERE OF, the parties have
caused this Amendatory Agreement to be executed in theit
names and on their behalf by theirorespective oftivers there-
unto duly authorized.

Pax American Airways, INc.

ATTEST:
S/ SaRAH T. Lansrorp
Branire Amways, INCORPORATED -

Bs Pg ee
“ATTEST

Secretary -

e

2402 eae

fol. 2317] ety) se

SCHEDULEI —° ‘
LOCATION HAVANA

PART. A |
mF Operations Services and Facilities eee

1. Use of Airport %

(a) Non- exclusive use to land and take- off runways;
taxi strips.

(Db) Airport lighting system

to
°

Ramp Services
(a) Use of passenger and cargo loading ladders. and

steps Q
(b) Loading and unloading’ of aircraft
(c) Towi ing to and from ramp; >

(d) Placing and rémoving atreraf t safetylocks
(e) Use of battery eart, CO, ‘cart and émergency
«fire equipment in’ connection with starting en- .
gines a.
(f) Physical dispateh from ramp incladisig personnel
. Necessary to’ issue appropriate instructions for
istarting engines and: taxi away from ramp “

(gz) Personnel for refueling ee ; |
- -(h) Routine aircraft inspection of carburetors, pro-
pellers,-landing gear, wheels and tires, and con-
trol surfaces
~~" (i) Cheelede-icer fluid
(j) @heck fluid in hydraulic tanks
’ (ky Clean cockpit windows

(1) Clean cabin windows and aircraft exterior as
‘time permits

(m) Clean cabin interior as tine permits
(n) Clean lavatories :
: Lo) Check water in cabin

’

3. Use of Terminal
(a) Non- eselosiv re use of lobby and rest | rooms

.

. 2 te ta | : 2403

(b) Non-exclusive use of customs, health and im-
e migration areas

(c) Porter and janitor services
4. Aircraft Operations Dispatch — °
- (a) Preparation of flight plan,

(hb) Welght and balance manifests ‘

ere of flight time analysis
-(d) Briefing crew

(e) ssn ri of load Ao "le
(f) Contact with air traffic/control eo
(zg) Terminal weather report | —
“International . dirport Express om

(a) Unwrapping and rewrapping pac ‘ages for cus-
toms inspection .

(b) Assistance in clearance through customs
(c) Storage in international dir express warehouse

(d) Non-excl@sive use » CNS air express |

warchouse ;

: PART B =
LT. Direct Charges a) «
1. Aireraft Fuel . |
Price per gallon—current rate | y
*> Airdratt Maintenance and repair =
SkiNed Labor © $3.50 per man hour re gular time
“ $5.25 per man hour overtime

Materials—current price ,

3. Preparation and traasmission of: eer reports

_. from stations not -
wate “covered if agreement $1:00
| each. ©

ay
°

4. Exclusive Terminal Space
4 ‘ e °
Per square foot floor space $1.50 per-annum

* This charge to be made for ma jor.re po, over and above services *
listed under Section 2,° Part a.

oe

we

-

S 7 ® v
~ °
> .
.
. ‘. . /
‘

' [fol 2318] ¢ ¢
i= Pan AMERIC AN W ORLD AIRWAYS, Lee. E XHIBYT 63

2404

AMENDMENT NO. []

« This Amendatory, Agreément, iii this Sist day of
October, 1949,.Nbetveen PAN . AMERICAN AIRWAYS,
INC., a corporatidg organized and existing under the laws °°
of the State of: New\York, (hereinafter talled “Pan Ameri-
can”), and BRANIFK AIRWAYS, INCORPORATED, a
corporation organized akd existing under the laws of the
State of Oklahoma (ie rethafter called * ‘Braniff”), _ 8

WITNESSETH THAT:

. « WHEREAS, Pan American and Braniff are parties to an
«agreement dated the 27th day of April, 1945, ag amended
“the 27th day of September, 1948, (hereinafter™called the

“Principal Agreement’ ‘), -providing for, certain ground
favilities: and services to be furnished to¢Braniff by Pan
American and

. WHEREAS, the parties desire to amend the Principal

. AZreement so as to reflect the effect of increased frequencies
‘operated by Braniff and transiting Rancho Boyeros Air-
port, Havana Cu®a and to revise Paragraphs 6 (b), 6 (¢
and 6 (d) to read us indicated below; :

NOW, ‘THEREFORE, in consideration of. the mutual

* covenants, and agreeménts herein Set forth, the parties

hereto agree .thet the Principal Agrepment is hereby — ¢@
amended, effective as of October 1, 1949, as féllo ‘s:

1. By changing the first and second sentences of
graph 3 to read as follows:

- Braniff will pay Pan American for the services ant facili-
ties listed in Part A of the SCHEDULE at the \ate of
$131.00 per landing for each scheduled landing akd for
each extra section or non-scheduled landing made by Bryaniff
at Rancho Boyeros Airport. This rate was determindd on
the basis of a minimum of two DC-6 round trip schedule
and two DC-4 round trip schedules weekly , transiting
Havana. '

,

4

2405

.)

~ 2. By changing Paragraph 6 (b) to read as follows:

Braniff agrees to indemnify and hold harmless Pan
American, its officers, agents and employees, and any
other person, firm or*corporation, and the officers, agents
and employees of such person, firm or corporation, which
may, pursuant to agreement with Pan American or other-
Wise, maintain or operate any of the facilities or provide |
any of the services to Je cmade available to Braniff under
this Agreement, (any such other person, firm or: corpora.
(fol. 2319] tion being “hereinafter called “the Operator”),
from and against all liabilities, damages, losses, and judg-
ments, including costs and expenses incident thereto, which
may (i) be suffered by, accrue against, be charged to, or
recoverable from Pan Aanerican, its officers, agents or em-
plovees, or the Operator, its officers, agents or employees,
by reason of or on account of loss of or damage to prop-
erty, or by reason of or on account of snjury to or death
of any person other than the officers, agents and employees
of Pan American and thé Operator, arising out of or in any
way connected with the use by Braniff of the facilitves and
services herein provided for, unless caused by the sole

negligence of Pan American or the Operator or by the

joint negligenoe of Pan American and the Operator or of
Pan Ameriefn or the Operator and any person, firm or cor-
poration other than Braniff. ite officers, agents or em-
ployees, or (ii) be suffered by, accrue against, be charged
to, or recoverable from Pin American or the Operator by
reason of injury to or death of any officer, agent or em-

‘ployee of’ Pan American or the Operator caused by negli-
gence on the part of Braniff, its officers, agents or em-

ployees in connection with any matter deglt wyth in this
Agreement. .

3. By changing Paragraph 6 (¢) to read as follows:

It ix understood and*agreed that the permission hereby
granted Braniff to use the facilities and to receive services

as herein provided does not impose upon Pan American

or the Operator any liability for loss, injury, damage or

delay of any nature whatsoeyer, and Braniff hereby releases

Pan American and the Operator from all liability te it for-
a

1. Ba changing the first sentence of Paragraydi 3) to
read as follows: t . :

ae ae a Se eee
Braniff will pay’ Pan American tor the services and

facilities listed in Part A of ‘the SCHEDULE at the rate:
of $115.00 per landing for each landinz and for tach extra:

section or non-seheduled landing made by Branitf at Rancho
Boveros Airport. | s

» 2. By amending SCHEDULE i im the form attached
hereto and made a part hereof. :

Except as herein modified, all terms and ¢onditions of

the Principal Agreement shall continue in full foree and
effect. - aan?

ee

Qy

2408

+

- [fol. 2322) IN WITNESS WHEREOF, the parties have

caused this-Amendatory Agreement to be executed in their
names on their behalf by their respective officers thereunto
duly authorized.

Pan YMERICAN AlRWays, INc.

By /s> (Signature [legible )
ATTEST: SO

/s/o J. Bo Winttams, me
/s (Signature [legible ) -
| a ; F ~Braxirr AIRWAYS, INCORPORATE),

- By ss’ R. C. Srraper
View President
ATTEST : :
/s/ (Signature [llegible)
‘s (Signature legible)

~ [fol. 2323 | - SCHEDULE |
LOCATION HAVANA, CUBA
a PART A
I. Operations Services and Facilities

.. -
Pan AMERICAS, Wort p AIRWAYs, axe. Exuisit 609

AMENDMENT XO, IV

This Amendatory Agreement, made this 2Qth day of
July, 1950, bet ween PAN: AMERICAN WORLD | AIR-
WAYS, INC., a corporation organized and existing under’
the laws of the State of New York (hereinafter called
“Pan American’), and BRANIFF ATRWAYS, INCOR-
PORATED, a corporation organized and existing under
the laws of the State of Oklahema “(hereinafter called
“Braniff’).

WITNESSETH THAT: |

WHEREAS, Pan American and Braniff. are parties to
an Agreement dated the: 2th. day of April, 1948, as amended
the 27th day of September, 1948, the 31st day of October,
1949, and the Ist day ‘of December, 1949, (hereinafter
called the “Principal, Agreement”), providing for certain |
ground facilities and services to be furnished. to Braniff
by Pan American; and

WHEREAS, the parties desire to amend: the Principal
. Agreement so as to include navigational and ‘acrophare
services at San Blas, Republic of Panama ;

* This charge to be made for major repair over amd above services
listed under Section 2, Part A. .,

~ oa
©.

2411

NOW, THEREFORE, in consideration of the mutual
covenants and agreements herein set, forth, thé parties
hereto agree’ that . the Principal Agreement is hereby |
amended, effective as of July 1, 1990, as follows:

1. By changing the first sentence of Paragraph 1 to read
as follows: cane

Attached hereto and made a part hereof, is.a sehedule
relating to each location at which services are to be per-
‘formed or facilities made available pursuant to this Agree-
ment, setting forth the services so to be performed and
the faeilities:so to be made available at such location, said
schedules being designated SCHEDULE | (Havana) and
SCHEDULE If (San Blas) respectively, and being here-
after sometimes referred to collectively as “the SCHED-
ULES”. oe : ; m. |

2. By changing the first sentence of Paragraph 3 to read’
as follows: ent

~ Braniff will pay Pan Ameri¢ar for the services and facilli- °
ties. listed in Part A of the SCHEDULE I at the rate of
| fol. 2325 | $115,00 per landing tor each landing and for each °
extra section or non-scheduled landing’ made by Braniff
at Ranthe’Boyergs Airport, in addition to a charge of
$4.00 per flight for the use of the San Blas aerophare under
Part Nof SCHEDULE I. f ;

: = : *, F ban eee Oe »
~ Exeept as herein modified, -all terms and: conditions of
the Principal Agreement shall continue in, full, foree and
effect.

/IN WITNESS WHEREOF, thy parties have caused this |
* Amendatory Agreement to de we Sr in their names on
their. behalf by their -respective officers thereunto duly
authorized, | | 7

7 Approved "
as to form

/s/ (Signature Illegible)

Pax Americas Wornb Airways, Ive.
:
/s/ J. ASSMITH
/s/ Teresita SIERRA ~
/s/ Mauary Ri Usatorres

[ fol. 2328}
Pax Ametican Wortp Amways, Ixec.. Exuipir 67

Mr. L. A. Person ;

Traffic Manager ;
Braniff Airways, Inc. \
Love Field — Ate. alte
Dallas 9, Texas «= are, Wea

Dear Lou:

November 18, 1 954

In connection with dur conversations regarding the full
‘party participation of Braniff Airways, Ine., 5 certain Pan
American System tariffs. published by R. Lounsbury,
Agent, I wish to confirm the proposition we as discussed.
We understand that you are interested in participating in
the Passenger Rules Tariff. PR-3, and the North and South
America Passenger Fares Tariff, P- -3, as well as receiv-
ing sets of these and others of our inte ‘national tariffs for
use in your offices. For this full party’ participation and’ -
for thes tariffs for the year October 1, 1954 through Sep-
tember 30, 1955, this is to confirm our ‘concurrence in the,
following fees:

(1) For entry or withdrawal, the full cost of $45. 00 per
page to revise pages, not otherwise changed for full
parties.¢xistent in the tariff, to include or delete Braniff

2414 | | Sacer

Airways, Ine., as the case may be; should other full
parties entering or withdrawing from the tariff re-
‘\ quire chatiges on such pages, the $45.00 per page cost
will be-divided equally between such full parties: si-
multaneously entering or withdrawing.

- (2) A fee of $400 for up to 150 sets of these tariffs, and
_ revisions thereto, to be delivered to Braniff Airways,
Inc. in Dallas, Texas. For each additional .20 sets of
these tariffs, an additional annual fee of $50 will be

charged.

(3) A-fee of $4,000 for the participation, publication of
revisions and other attendant tariff printing costs in-
volved in maintaining Braniff’s on, in these
tariffs.

(4) In the event Braniff Airways, Ine. wishes to withdraw
its participation either in full or in part from any
tariffs covered by this agreement. prior to October 1,
1955, Braniff will give Agent R. C. Lounsbury at least
120 days written notice (or any lesser number of days
written notice mutually —_——— to both parties) of
its intention.

.{fol. 2329]

(5) The amount in Items (1) and (2) above shall be pay-
able within 30 days after the billing date which ‘shall
be as soon as practicable after the publication of the

_ October 1, 1954 issues of these tariffs, and the fee men-
tioned in (3) above shall be divided in quarters. and .
payable within. 30 days after the billing date which
shall be quarterly beginning on or about October 1,
1954, except that in the event of withdrawal- pursuant
‘to Paragraph (4) above the applicable fee shall be
prorated according to the tariffs and the period of

, participation involved.

’. The above fees contemplate that Braniff will not: require
radical changes in| these tariffs during the. year period
indicated and that Braniff will endeavor to permit revi-
sions to he made onee per month in.conformance with the
established publication deadlines of these tariffs. Should

ini 2415
“it become necessar y for Braniff to bia emergency changes
at any time, these’ changes will of course. be made i

Braniff’s behalf at Braniff's direction. However, .it is a
derstood that either party to this agreement may, request

reopening of the agreement for reassessment of fees should
such changes:appear to be extensive.

As I have mentioned to you if our conversations, we here
‘in the tariff’s office and management of Pan’ American will.
be very pleased to have Braniff Airways, Ine. participating
asa full party in our tariffs.

If you are in agreement with the understanding outlined
above, please sign and return the attached copy of this
letter to-me. . . , :

-

Pax AMERICAN Wor_p Airways, INc.,

System i of Tariffs & Reais

For Branirr Airways, Ive.

Ory TrrrrTrrrTrrrrrrrrrrrrirri rere rte

[fol. 2330] ree

Supplement to*Tariff Publication Agreement
_ of November 18,1954

The Tariff Publication Agreement of November 18, 1954,.
between Braniff. International Airways, Inc., and Pan
American World Airways, Inc., is he reby extended for an.
indefinite period, subject to> thee right of either party to
cancel upon written nofice given to the other party at least
120 days (or any lesscr-number of days agreeable to both
parties) prior to the effective-date of such. cz tor ena
The fees payable by Braniff to Pan American shall he i
the same rate as set forth in said agree ment.

Pax -AMERICAN Wort Airways, ANC.

Branirr INTERNATIONAL Airways, Inc.

ee ee eee

(fol. 2331]

. Paw American Worup Airways, In¢. Exuisit 68

-)° « AMENDMENT OLY.

This Masadatecy Agreement, made this 20th day of June,
1957, between PAN AMERICAN WORLD AIRWAYS, .
INC., a corporation organized and existing under the laws
‘of the-State of New York (hereinafter called “Pan Anieri- .
ean”),,and BRANIFF AIRWAYS, INCORPORATED, a
corporation organized and existing under the laws of the
State of Oklahoma (hereinafter called “Braniff”),

WITNESSETH THAT:

WHEREAS, Paw American and Braniff are parties to
an Agreement dated the 27th day of April, 1948, as amended
the. 27thday of September, 1948, the 31st day of October,

th ; ;
: 1949, the Ist day of December, 1949, and the 20th, day of
_ duly, 1950, (hereinafter called the “Principal Agreement”),
providing for certain ground faejlities and services to be .
furnished to Braniff by Pan’ American; and

~ WHEREAS, the parties desire to amend the Principal
Agreement so as to provide for an increase in the aerophare
service rate at San Blas, Republic of Panama;

NOW, THEREFORE, in consideration of the mutual
‘covenants and agreements herein set forth, the parties
hereto agree that the Principal Agreement is hereby
amended, effective as of July 1, 1957, as follows:

1. By changing the last. phrase of Paragraph 2 of
Amendment No. 1V from “in addition to a charge of $4.00
: per flight for the use of the San: Blas aerophare under
Part A of SCHEDULE II”,-to’“in addition to a charge
of $5.00 per flight for the use of the San Blas aerophare
under Part A of SCHEDULE 11”.

a, . “2417

' Except as herein modified. all terms and conditions of
the Principal Agreement shall continue in full force and
effect. — Ge.

IN WITNESS WHEREOFP, the parties have caused this
Amendatory Agreement to be executed in their names on
their behalf by their respective officefs thereunto duly
authorized.

Approved
as to form

at i. a

\. . /s/ (Signature Illegible)— =

\Y ae. |

aes Pan American Worntp Airways, Ic.

By /s/ W. L. Morrison Pas

Executive Vice President r
Latin American Division

ATTEST : . (

/s/ Joun W. QueNTIN

‘/s/ (Signature Ilegible)

Brasirr AIRWAYS, IsconroraTeD

/s/ (Signature Ie gible)
Executive Vice President
ATTEST: A

‘/s/ (Signature Tlegible)
Assistant Secretary
[fol. 2332] . ;
Pax Americas Wortp Airways, Ixc. Exuisit 69

AMENDMENT NO. VI

This Amendatory Agreement, made this 21st day of Oc-
tober, 1957, between’ PAN AMERICAN WORLD AIR-
WAYS, INC., a corporation organized and existing under |
the laws of the State of New*York (hereinafter called “Pan
American”), and BRANIFF: AIRWAYS, INCORPO-
RATED, a corporation organized and existing under the *
laws of the State of Oklahoma (hereinafter called
“Braniff’), 9° ; aes

2418
WITNESSETH THAT:

PAN ASIERICAN AIRWAYS, INC.
Chrysler Building, New York City
.- Se RIO DE JANEIRO
a : em November 1, 1943.
Panair do Brasil, S.A. ; -
Rio de Janeiro
- Brasil.
Dear Sirs: | F ‘

_ Enclosed herewith are two ‘execution copies of a pro-
posed contract covering use of joint facilities: and certain
other matters. This contract has been executed by us and
is intended to supersede the existing arrangements between
us which cover the same general subjeet matter. Tf you find
the contract in order, will you please exyegute it ‘and return
one executed copy for our files.

‘ ‘The enclosed contract is to become Mncitec dis of January
1, 1944 and the extsting arrangements will continue in effect
until that date, but it is understood that payments in respect.
of return.on investment under said arrangements ill, for
the year 1943, be calculated on the average net book value
of. the properties in question rather than on the original
‘cost and also that, commencing when the enclosed contract
becomes effective, you will be charged with our deprecia-
tion and insurance expense” on the buildings and installa-
tions owned by us at Santos Dumpnt airport. Our: share
of such expense will be determined pursuant to the en-
‘closed contract except that the payments provided for i
‘the last clause of the second paragraph of the letter agree-
ment accompanying the Agency Agreément between us to
become ‘effective on January 1, 1944 will cover rental for
the space in said buildings used exclusively by us.

It is further understood, that you will continue to own
and to ¢arsy for us such, inventories consisting of spare
parts, materials and supplies, including gasoline and oil,
as may be turned over to you by us or acquired by you at
our request for the purpose. In order to enable you to

eo.

an a 2421

-earry such inventories without additional financial burden

on you, it is understood that you will have & eredit of
$300,000 in the open account existing between us, on which
no interest will be charged.” Tj¥e amount of .such credit

- will be reviewed at such times hee wid of us may request,

in order to insure that.it approximates the cost to you of
the inventories carried by you for us. It is further under-

‘stood that, commencing as of January '1, 1944, any remain-

ing balance in the open account between us, either in our

[fol. 2335] favor or in your favor, after taking into con:.

sideration said interest free credit in your favor, ‘shall

‘bear interest at the rate of 4¢¢ per anmum, such interest to

be calculated on the balances shown on your books at the
end of each calendar month. For this purpose any advarices
made to you pursuant to Paragraph 6 of Article T] of the
encloged contract shall not be considered as being in the
open account. :

In order to enable you to carry-out the enclosed contract
an@ to carry on your other business, we agree to use our
best efforts to engage for you such qualified American
technical personnel as you may request. While we will. use
our best efforts to provide personnel who are properly
trained and qualified, it is understood that we shall have
no responsibility for their training or qualifications or for
any action*that they may take or fail to take while in your
Servite. If you so request, such personnel, shall be carried
on our payrolls, and in such event they Nall ¢ontinue to
be our employees for all purposes, except that (i) they
shall be under your control, (ii) you will be charged with
their salary expense and all related items of expense in-
cluding cost of transfer to Brasil and return and (ili) you
shall be solely responsible to third parties for any. action
taken by them. You will also release us from all claims hy
you and indemnify us and hold us,harimless froni all claims
by third parties arising out of*any action taken by such
personnel during the period they are in your service,

It is further understood ‘that vou will use your best
efforts to provide, maintain and operate any special faeili-
ties not covered by the enclosed contract, such as the Natal
Staff House, which Wg May request for our use from: time

?

eo

‘

i

}
4

2422°

or
to time. Unless otherwise mutually agreed, the cost of
providing, maintaining and operating any such facilities
(including any remaining rentals payable under leases con-’

- tracted in connection therewith and any winding up ex-

pense) will be for our aecount and we will indemnify you
and hold you harmless from all claims in connection with
the prov iding, maintaining and operatitig of such facilities.

Quring recent’ vears we have reimbursed you for the-cost
of constructing cami providing certain airporjs, seaplane
bases and facilities in Brasil. whielT aye been constructed
‘ or provided at our.request. Without in any way modifying,
the terms of the enclosed contract, it. is expected that we
will continue to reimburse you for certain capital expenses
of this: clgaract er-until the present program of airport de-
‘velopment is completed. It is further understood that in
the event any airport, seaplane base or facility for the

a cost of which we shall have refbursed vou, shall be taken

over by the Brasilian Government and.as a result thereof
you shall receive any payment pursuarft to Article 4 of
Decree-Law No. 3462, dated July 25, 1941, or otherwise, You
[101.2336] wil] forthwith pay us an amount equal to such
payment,’after deducting any expenses ineurred or dam-
ages suffered ‘by you, in connection with the eaking of such:

‘airport, seaplane base or facility.

. It is further understood that all arrangements between
‘us for operation of air transport services, made in con-
‘nection with the-sale to vou Of five Lockheed’ Lodestar air-
craft during the latter part of 1941, and all. rights. and
liabilities in conne@tion therewith, are te ‘rmninated except
that the aircraft, spare engines and parts sold to vou will
be .retainedt by vou and the purchase price will continue
to be carried inthe open account between us... As we have
previously advised you, we no loner request the operation
of any of the services operated pursuant to those arrange.
ments. except to the extent that they are covered by thé
enclosed contract.

The errangements herein: set forth may be terminated
at any-time by either of us on ‘sixty: days’ written noticv
to the other, except that your obligation to make payments
Bod us. pursyant to the sixth paragraph of this letter cannot

.

be terminated without our consent and provided that any
termination: shall net affect any righfs or obligations there
tofore accrued tereugder. . ;

ff the foregoing Gorrectiy states our understanding con

cerning the matters mentioned above, will you kindly sign
and return to us the enclosed gops of this better, whieh will

thereupon cohstitute the agreement between Us with refer —

ence thereto. .
°

Vers truly yours, +

Pax Amenican Armwars, bse.

Rove) Giro. Le. Baar a .
‘ View President

ACCEPTED: . ;
November 16, 1943,

. ~
PanaAik Do Brasiiy S.A.

By vs PatLo Sampaio
President A

{fol. 2337 | .
Pax Americas Wonit Armways. Psy. Exe 71
‘ - ee) Kebrnary Es. 144
1yAMOS HIATT. hereby certify thas Pane Assistant
Comptroller of Part American Airway. tne: that the
original executed copy ef the Agreement referred te Lrerferns
is in ny custody; that the attached deeunient ia Pull, true
and correct copy of the eriinal of suehi Agreement :

Ageney Agreement, dated muars 1. 144. between

Pan American Airway@ ine® and Panair de Brasil.

This agreement supersedes the agreement between the

two colpanies dated Oetoher 30, 1935; alse letter agree

_, ment, dated November 1, 146, dd accepted by Pana
do Brasil on November T6, 1946.

Assistant Compt roller

-

‘

‘in

fol 2 2338] “THIS AGREEMENT, made as of January 1,
1944, between PAN AMERICAN AIRWAYS, INC../a cor-
poration. organized and existing under the laws of the State
of New York, hereinafter aS ae to as “Pan American”,
and PANAIR DO BRASIL, S.A., a corporation organized
and ex xisting under the laws of Brasil, hereinafter referred
to as “PANATIR", mn) @

WITN ESSETH, that

W HEREAS, Pan American ial Panair have for a num

ber of vears had arrangements, under which PANAIR is

acting as General Traffic Agent.in Brasil for Pan American
and its. affiliated companies, and Pan American and its
affiliated: companies are acting as General Trafic Agent
outside of Brasil for Panair; and:

WHEREAS, Pan American and Panair desire that such
relationship continue but that the existing arrangements
be replive ‘ed by a formal agreement ;

NOW, THEREFORE, in consideration of the mutual
eovenants and agreements ‘herein contained, Pan American
and Panair hereby agree’ us follows:

1. Pan American he reby appoints Pomeic: and Panair
agrees to actyas General Trafie Agent in BrasilS tor Pan
American and its affihated carriers. As such General
Traffic Agent, Panair agrees that it will perform sueh ser
Viees as may be appropelte to promote passenger, mail
and express traffic ever the lines of Pan American and it
- a®iiated carriers and to assist in making arrangements for
travelling or shipping over such lines, including

ca (a) Solicitation of bassenger mail and air eOXpress
ecomenain with Brasil for P un American and its affiliated
carriers

°
| fol. 2339) (b) Cheeking baggage of outgoing. pas
sengers, dejivering baggage to incoming .passéengers,

, voltect: MepNY EXCess baggage charges payable ino re-
spect of such baggage, in “accordance with the tariffs,
rates, tules and regulations of Pan American, collect:
“ing and forwarding by earriers with which Pan Ameri.

6

r 2425
ean. or PANAIR bas forwarding arrangements, any
trunks or other heavy baggage delivered to PANAIR
for the, purpose by, Pan American or by passengers
travelling, or proposing to travel, over such lines, and
collecting-any charges pavable therefor, in accordance
with the tariffs, rat®&, rules and regulations of Pan
American; '

t¢) Collecting outgome and delivering incoming ex-
press ‘carried or ta igharriea over such Tinesgcolfect-
ing and forwarding by carriers with whielr Pan Amer.
ean ot PANAIR- has forwarding arrangements, any
express delivered to PANATR tor the purpose by Pan

Ameriean, and collecting any gharges payable: there.’

for, in accordance with the tariffs, rates, rules and
regulations of Pan American; ae

; bias
(d) Making arrangements on behalf of such pas-
sengers for transportation to and from airport termi
nals and for hotel accomodations at points of eall of
* Pan-American and at other cities, in aceordanee with

the tariffs. rates, rules and regulations of Pan Ameri-

ean,

(e;° Furnishing such catering services and other pas-
senger service as Pan Amefiean may request im ae
cordance with its air transpert services in Brasil;

({) Making réservations for transportation by Pan:

American Its. aftiated carriers and eonnecting car-
riers: =i

(¢)- Furnishing such advice and information as Pan

American may from tive to time request with respect
to Clearances, customs and dimmigration procedure at
: . . @ ° : .

points in Brasil:

(hy) Making arrangements tor suel advertising and
publicity as Pan Amerean may from time to time re-
quest :

(i) Maintaining a centrally located traffic and sales

office in Rie de Janeiro in addition to sueh other offiges

as PANAIR may from time to time. maintain, which

' &

(2426

traffic and sales office in Rio de Janeiro shall be, un-
less Pan American shall otherwise agree, at least as
large and of the same general appearance as the oftice
now being maintained by PANAIR at Graca Aranha
and —_—— Barroso Avenues in Rio de Janeiro.

PANAIR | agrees to designate a as its agents for the pur-
~ pose of this agreement all of its authorized traffic agents in
| fo]. 2340] Brasil and to appoint such additional agents as
Pan American may from time to time request, “all in ae-
cordance with, and. upon such terms and conditions as shall
be set forth in, the instructions (including published agency
rules, regulations, policies and. _ practices) given by Pan
American.

4

2. Pan hewttie and its affiliated carriers hereby an-
fhorize PANAIR to issue (a) tickets, or exchang: orders |
exchangeable.tor tickets, for transportation.of passengers
and (b) airwaybills or other appropriate form: of con-
tract for transportation of express, over the lines of Pan
American and of its affiliated carriers and to execute and
issue all other documents necessary or appropriate for
such transportation, all in the form, and: subject to and
in accordance with the tariffs, rates, rules and regulations,
prescribed froni time to time by Pan American or its af-
filiated carriers,'as the case may be, and -furnished to
-PANAIR, it being understood that no such ticket, exchange
order, airwaybill or contract will be issued unléss PANAIR
shall have received payment of the total charges therefor
siecified in such tariffs, rates, rules. and regulations, or
shall have made arrangements satisfactory to Pan Ameri-
can for the collection of such charges, and that PANAIR
will not grant, or permit any agent or broker to grant, any
- rebate or discount on any such charges exegpt in accordance
with such tariffs, rates, rules and regulations. Pan Ameri-.
can agrees to, accept or to cause the appropriate affiliated
carriers to accept each ‘ticket, exchange order, airwaybill.

or contract so issued by PANAIR. In issuing tickets, ex
change orders, airway hills and contracts for transportation
over the lines of Pan American or its affiliated carriers,
PANAIR shall ‘be deemed. to act only as agent: of Pan

a
.

se. - Mo a5 2497
. .

American, or its. affiliated carrier, ‘as the case may be.
(fol. 2341] PANALR shall not be liable, and Pan American
agrees to indemnity PANAIR and hold it harinless trom
and against ali claims, for any loss, damage, injury or
delay of any nature whatsoever which shali oecur in con-
nection with the carrying out or failure to earry out any
obligation to third parties arising by reason of action
_ taken by PANAIR pursuant to this Agreement unless such
loss, damage, injury or delay shall be caused by the negli-
gence or wilful misconduct of P ANAIR.

. ~3. Pan American héreby agfees to pay or reimburse te
~. PANAIR the following amounts: « - ‘

(a) A commission equal to 10 per cent of the -total
amount of the fares for passenger transportation éver
the tines of Pan American and of its affliated carriers,
including charges for excess baggage, collected | by
PANAIR either directly or through agents, on behalf
of Pan American er any of its affiliated CATTICTS |

(b) A commission equal te 10 per eent of the total
amount of the charges (nag including valuation
charges) for air express transportationsover the dines
of Pan Aimerican and of its affiliated carriers, collected
by PANAITR, cither’directly or throygh- agents, on he:
half of Pan American of any of its affijited carriers.;

(¢) An amount for each month which shall bear the
sane ratio to PANATR'S expenses for such month at
_ each airport where catering service er other passenger. °
service is rendered to Pan American during such
‘month, recorded. in| Aecount 663, as the number ef
scheduled landings during such month at such airport
by passenger aireraft of Pan’ Mwerican multiplied by
the standards gross weight thereef bears to the num-
ber of scheduled landings during such month at such
airport by all aircraft receiving such services from
PANAIR¢ multiplied, by the standard gross weight
thereof: plus an emount,; which shall bear the same
ratio to PANAIR'S nano’ for such month recorded
in Accounts 651, 661, 664, 665, 666, 667, G68, G70, 671,
632, 673, 685 and 66 as the portion; of PANAIR’S

6

2428
% . : ‘
‘expenses for such month recorded in Account 663 pay-
able by Pan American hereunder bears to PAN AIR'S
expenses for such month recorded in Accounts 651, 660,
661, and 663; plus an ainount equal_to all of PANAIR’S
expenses recorded in accounts 682,,687, 688, 690, 691
and 692 which are ificurred solely and directly in con-
- nection with services or supplies furnished to Pan

Ps American:

[ fol. 2342] (d) An amount equal to.25° of PAN AIR’S
expenses recorded in Accounts 751 and°752 plus an
amount equal to 25° of PAN AIR'S ‘expenses recorded
- in Accounts 773, 785 and 786 Which are related to
PANAIR'S expenses recorded in .Accounts (751 and
152; : 3
(e) “One half of the cost, exclusive of salaries, but -in-
eluding rental, maintenance and all general running

expenses, of maintaining the traffic and sales offices.

maintained by PANAIR in Rio de Janeiro in accord-
| ance with paragraph 1 (1) hereof;

(f) Any out-of-pocket expenses specifically ‘requested

and approved by Pan Amerigan and incurred by PAN-

AIR in carrying out special services (including making

by Pan American under this agreement.

arrangements: for der tid or publicity) requested -

4. PANAIR agrees to cooperate with Pan American in
the operation of Pan American’s international mail,. pas-

senger and express air service and that, so. long as this’

agreement shall remain in force and effect, it will use its
best efforts generally to aid and assist Pan American in
the establishment and operation of such international ser-
vice thfrough Brasil, and will not, without Pan American's
consent, itself or through any affiliated company or through
agents retained or employed on other than the customary
flat commission basis, act as agent -for, or solicit or sell

transportation services of, any transport company or or- . |

ganization cperating an air transport line in competition
with the lines-from time to time operated by Pan American.
PANAIR further agrees that it will use its best efforts to

cause all persons coming te its line or lines and desiring

2429

transportation by air toa point reached by Pan Ameriean's. |:
international services to he routed over the route or routes
operated by Pan American.

5. PANAIR hereby appoints Pan American, and Pan
American agrees to. act, as General Traffic Agent outside
Brasil for PANAIR. PANATR—hereby authorizes Pan
American and its subsidiaries and affiliated carriers to js-
sue (a) tickets, or exchange order exchangeablé for tickets,
for transportation of passengers, and (ly) airwaybills or
other ajipropriate forms of contract for transportation of
[fol. 2343] express, over the lines of PANAIR and to ex-
ecute and-issue all other documents necessary or appropri-
ate for such transportation, all in the form, and subject to
and in accordance with the thriffs, rates, rules and regula-
tions, prescribed from time to time by PANATR, it being
understood that no such ticket, exchange order, airwaybill,
or contract will be issued ‘unless Pan American or one of
its subsidiaries or “affiliated carriers and shall have’ re-
ceived payment of tle total charges therefor or shall have.
made arrangements satisfactory.to PANAIR for the col-
lection: of such cliarges. PANAIR agrees to accept each
ticket, exchange order, airwaybill or contract so issued by’
Pan American or one of its subsidiaries or affiliated car-
riers in issuing tickets, exchange orders, airwavbills or
‘contracts for transportation over the lines of PANATR,
‘Pan American and its subsidiaries and affiliated carriers
* shall be deemed to act only as-agent for PANATR. Neither
Pan American nor any of its subsidiaries or affiliated ear-'
riers shall be liable, and PANAJR agrees to indemnify and
hold harmless Pan Aimé rican, its subsidiarjes and affiliated .
carriers from and against all Claims, for any Joss, damage.
injury or delay of any nature whatsoever whicl 1 shall occur
in connection with the earrving out or failure to carry out
any obligation to third parties, arising by reason of action
taken by Pan American or any of its subsidiaries or af-
filiated carriers pursuant to this agreement, unless such
loss, damage, injury or delay shall be caused by the nee’
gence or wilful misconduct of Pan Amerivan or ove of its
subsidiaries or. affiliated carriers.

6. PANAIR} hereby agrees to pay Pan Ainerican the fol-
lowing amounts:

LE

/
/

_ 2430 , mc

(a) A‘commission equal to. 10 percent of the total
amount of the fares for. passenger transportation ov br

- the lines of PANAIR, including. charges for excess
baggage, collected, either directly: ‘or through agents,
by Pan American or one of its subsidiaries or affiliated:
carriers on behalf of PANAIR..

(b) A egmmission equal to 10, per coi of the total
amount of the chafges (not including valuation
charges) for air éxpress transportation over the lines
of PANAIR, collected, either directly .or through
agents, by Pan American or one of its subsidiaries or
affliated carriers on behalf of Panair, *

~
‘
~.

7. Nothing herein contained shall be deemed to requide.
PAN AIR, Pan American or any of its affiliated carriers to
initiaté or maintain service between any particular points.

8. All amounts payable he reunder, includirig all amount
(fol. 2344] collected on behalf of either party for trans-

-portation sold, shall be paid by crediting PANAIR or Pan

American, as the case may be, in open account, the amounts ,
payable in respect of each month to be sa credited as soon.
after the end of such month as is practicable.

9. As used in this agreement, the term “affiliated car-
riers” shall include (a), all companies engaged in the trans-
portation of passengers, mail ur cargo, by air, for hire, the

_ «majority of the outstanding capital stock of which shall be
owned by Pan American or by any company which owns the -
majority of the outstanding eapital stock of Pan American .

or of which Pan Ainerican owns a majority of the outstand-
ing capital stock, and (b) any other company engaged in
such transportation which Pan American may designate by
notice in writing to PANAIR.

10. This agreement shall become effective on January 1,

1944. It shall continue in effect ufgil December 31, 1948,

- and thereafter until terminated | by either party at any time
‘after December 31, 1948 upon notice in writing given by

either party to the other not,less than 60 days in advance of :

the date of such termination. In the event that there shall

be any change in the ownership of capital stock of PANAIR

2431

as ‘such ownership exists at the date hereof, Pan American
may at any time thereafter,at its election, terminate this
agreement by notice in writing given to Panair at least 30
_ days in advance of the date of such termination.

IN WITNESS WHEREOF, Pan American and PAN AIR
have caused this agreement to be executed in their corporate
[ fol. 2345] names by their respective officers thereunto duly

authorized.

Pan American Airways, Inc.

oo By /s/ Geo. L. Rinn
View President

‘

WITNESSES
‘ /s/ Joun C. Pirie

/s/ Conrav M.- KENNEDY

‘Paxam Do Brasiv, S.A.
“* "By /s/ Patio Sampato
President
: WITNESSES
/s/ (signature illegible)
/s/ Martue po Ponto

[ fol. 2346]

Pax American Wortp Airways, Ixc. Exiisir 72

BEFORE THE
CIVIL AERONAUTICS BOARD

LETTER AGREEMENT, DATED JUNE 22, 1944, BE-
_ TWEEN PAN, AMERICAN AIRWAYS, INC. AND PAN-
’ AIR DO BRASIL PROVIDING FOR CERTAIN ADDI-
TIONAL SERVICES TO BELRENDERED BY PAN
AMERICAN TO PANAIR od sores IN PARAGUAY.
“THIS AGREEMENT SUPPLEMENTS’ THE AGENCY

2432 | on,

AGREEMENT OF JANUARY 1, 1944 BETWEEN PAN
AMERICAN AIRWAYS, INC. AND PANAIR- DO
BRASIL. FILED HEREWITH UNDER SECTION 412 °
OF THE CIVIL AERONAUTICS ACT OF 1938, AS

AMENDED.

Communications with respeet to this subject
should be sent to:

JOHN C. COOPER,
Vice-President and Assistant to the Preside wy
Pan American Aitways, Inc.
. . 1385 East 42nd Street,
New York 7, X. ¥.

| fol. 2347) I, AMOS HIATT, her eby certify that 7 am As:
sistant Comptroller of Pan American Airways, Ine; that
the original executed copy of the letter agreement re ferred
to below is in my custody; that the attached document is
a full, true and correct copy of the original.

Letter Agreenient, dated June 22, 1944, between Pan
American Airways, Inc. and Panair do Brasil, S.A.
providing for certain additional services to be ren-
dered by Pan American to Panair‘do Brasil in Para-
guay. Accepted by Vanair do Brasil, June 28, 1944.

. /s/ Amos Hiatt
Assistant Comptroller

November 6, 1944 ° :

wy

2433 |

[ fol, 2348) ; June 22nd, 1944

Panair do Brasil, S.A. °

Edificio City Bank, IL. ~ 13) hee
Avenida Rio Branco, 85 _ - oO
Rio de Janeiro .

Dear Sirs:

The Ageney Agreement between Pan American Airways,
Inc., and Panair Do Brasil, S.A. dated January 1, 144,
together with our letter understanding of November 8, 143,
provides that Panair do Brasil shall be the General ‘Trafic
Agent for Pan American in Brasil and also:that Panair
shall clear our aireraft and represent Pan American in
negotiations with the Government of Brasil as and when
requested. The Ageney Agreement also appoints Pan
» American Airways to be the General Trafic Agent of Pan
air Do Brasil, outside of Brasil, and provides as compensa-
tion thesefor commissions on passenger fares, exeess bag
gage, and express charges collected by PaneAmerican for.
transportation over the lines of*Panair. TheS? understand.
ings did not reduce to writing the understanding which has
been in effect for the past several sears between the two
. Companies, in respect of additional: services whieh Van
American Airways, Ine. has been rendering to Panair de
Brasil, in connection with Panair’s serviees to and from
Asuncion, Paraguay. It ix thé purpose of this letter te con.
firm the existing understanding, which we consider to be as
follows:

I In addition to acting as General Traffie Agent for Pandte
do Brasil, in Paraguay under the terms of the Aginey
Agreement dated January 1, 1944, Pan American Airways.
Inc. will continue to render the following services, (now
being performed) for Panair, at Asuncion, Paraguay :

A. As and when requested by Panair, Van Amerwan will
cause its Paraguayan agent or agents to represent
Panair in negotiations and transactions with the Gov-
ernment of Paraguay.

B. Pan American will perform such acts and execute
such documents ax may be required for the clearance

.
-

* 2434
bd

at Asuncion, Paragugy. of aircraft of Panair,.and the
passengers, crews, and cargo carried thereon, such
clearance to include the providing of the personnel re-
quired to effect such ckearance and the making of ar-
rangements for the presénce of such government
officials as may bé required in connection therewith.

The radio.and weather facilities and personnel of Pan
American at Asuncion shall be available, to serve
Panair do Brasil’s needs as it may require in con-
nection with its operations in Paraguay.

To the extent of the availability of its facilities, sup-
plies, and personnel, Pan American shall perform:
such. maintenance, mechanical, refueling, inspecting
and other services. as nay be requested by Panair do
Brasil, for the aircraft at Asuncion.

Pan American shall receive, and provide transporta-
tion for, passengers, baggage, express, mail, and other
[ fol. 2349] cargo of Panair to and from the airport.
and Pan American’s airport facilities shall be fully
available to Panair passengers and crews.

II Panair shall compensate Pan American for. performing?
the above items of service as follows:

©

Panair shall pay Pan American each month an
amount which shall bear the same ratio to Pan Ameri-
can’s total expense’ in operating and maintaining
Asuncion airport and the equipment, strictures, and
facilities there, or used in connection therewith, as the

‘number of scheduled landings by aircraft of Panair

during such month multiplied by the standard gross

‘weight thereof, shall bear to- the total number of

scheduled landings of aireraft of Pan American and
Panair at the airport multiplied by the standard gross
weight thereof.

1—It is recognized that due to the activities of the
Airport Development Program of. Pan American at

the Asufcion Airport there arp and will be’ extra- -

ordinary airport maintenance expense on the runways, -

o
ay

grounds and other facilities. Accordingly Panair shall
share only he ordinary or normal, maintenance ex-
pense borne by Pan American, a formula for the
establishment of. which will be reached by mutual
agreement between Panatr arte Pan American, when
experience and development of pleas for the miainte-
nance enable such determination. i

B. Panair shall pay tg Pan American the full cost of all
—dabor, material, and supplies expended by Pan Amert-
can in naintaining and servicing aireralt af Panair

at Aguncion plus the applicable burder expense,

C. Panair shall pay Pan American its out of pocket ex-,

penses incurred on behalf of Panair do Brasil in the
clearance of Panair aircraft and the passengers, creays
and cargo thereon, in the transportation of crews, pas-
- osengers and cargo’ from the airport, ino representing
Panair in any negotiations with the Government, in
the defense or settlement of any claims of litigation
affecting Panair, and in performing any other special

service for Panair in connection with its operations.

arid business in Paraguay.

-—D. Panair shall pay Pan American a commission of 5%

~ on all air mail revenue received by Panair (or by Pan
American for Panair’s account) from the Paraguayan
Post Office. (This extraordinary commission is that
which is and has been paid to Pan American's Agent
in Awuncion, on Paragtiavan-airamail reyenue of both
Pan American and -Panair, respectively.)

Il] It is understood and agreed that Pan American's duty

Pan American's ability to do So undér all laws, rules and
regulations, of any governinental authority. In performing
any such obligations, Pan American harmless, from any
and all loss, claim® or liability, arising out of the per-
formance or non-performance of its duties to Panair. here-
under’ except as the same may arise due to the failure af
a official of Pan American to exercise due care in the selee-

gave rise to such loss, ¢laim,or liability.

tion of the employees or agents whose acts or omissions

©to perform any of the foregoing obligations is subject to

2436?

IV This understanding may be terminated by either party
by giving to the other party 60 days writteh notice,

(fol. 2350) If the foregoing correctly states our understand

ing please evidence your approval by signing the enclosed’

' copy of this, letter and returning it to us,

«Yours faithfully

Pax American. ArRways, IN.

F e . F
/® Geo. Lo Riu.

: i i signed Geo. L. Rihl.
Geo: L. Rihl —s

at aA
December 12, 1946

* Panair do Brasil, S.A. . : ;

Rio de Janeiro, brasil

Dear Sirs:

‘Referring to the recent: correspondenc e and dise ‘Ussions
between representatives of our two companies concerning
revision of the amcdunt paid to you by us for providing
personnel and office accommodations for us in Brasil, pur-
suant to’ the letter agreement whieh accompanied the Gen-
eral Ageney Agregment: between us dated as of January 1,
1944, this letter, Seen accepted by vou, will constitute the
agreement between us that the figure “$800.00" appearing

2437
sin clause (¢) of the second full paragraph of said letter
agreement is ¢ pramarert te to “*t ‘PEGU_OOO™, « ‘Meetive as of August

1, 1946.

Very truly vours,

a:
—
Pas* AMERICAN Atnwars, [se
> . . F
By (ss; Howann Bo Dias ee
. y | | View President — e
Accerten: December 30, 1946, ey |

Paxaik Do Brasit, S.A.

“By /sy PAcLoSampato
President

“ . y . .
[Stamp Panair de Brasil SX Reeebode Ti Deg I46
Presidente Rio de Janeiro : :

> « (fol, 2352
Pas AMERICAN Wonnn Auew ys. Exe, Exatiner 74

OXFORMED COPy

+

: a 7 January. 1, 147
Panair de Brasil, S.A. =
Rio de Janeiro, Brasil Pe “: '
é , . .
_ Dear Sirs:

This letter, when aneenpatordd by sone, will comstitiites ed
agreement between us dine: nding the Cietne til Neene? Ne

ment between uf dated as of January 1. V0$4,
-by passenger aireratt of Pan American multiplied by
the standard gross werht thereof bears to the number
of scheduled landings during such month at sueh air
‘port by: all aireraft receiving such services from Pan
air, multiplied by the standard gross weight thereof;
plus an amount which shall bear the same ratio te
pega s expenses for steh month recorded in Accounts
6321, 63225 6 329, 6835 Cother than expenses wn osaid Ac
count referred to in the preeeding elause), 6336, 6337,
6338, 6545 (freight. express and parcel post, only).
G24, 6350, 6353 (supplies for motored vehicles, only )
and 6367, as the portion ef Panair’s expenses for such
-month recorded in Account 6335 payable by Pan Ameri
gan pursuant to fhe first clause ofthis subparagraph,
(c) bears to Panair’s expenses for such month recorded
in Accounts 6321, 6522, 6524, 6528, 6429 and 63595 plus
un-amount equal to allot Panair’s expenses Tecarded
in Accounts 63428 (motor vehifle expense, only), 69351, °
6352, 6363. and 6367 whieh are meurred solely and di-
rectly in, connection with services and supplies fur
nished to Pan American >
¢

‘| fol. 28 353 | “cd) An amount equal te 25° of Panair’s
opep &* .

expenses recorded in Accounts 652} and 6522.

It the foregoing corer thy stathd our understanding, will
you kindly sign and return to us the enclosed copy ef this %°
letter. — . ;
Sus truly vours,
ad : ‘

Pax American Airways, [Nc.

>

o 4 “8 . .

By /s) eR. Bauirper

a .
Accertep: October 22, 1947 > ’ .
7 fe . : '
Panaik Do Brasit, S.A. 4 ery ‘
By /s) PavLo | SamPato :
_ President * 2

bec :. Comptroller
: Vice President-LAD, Miami
Ass’t. General Counsel,
Div. Accountant-LAD. Miami
Treasurer-Panair do Brasil, Rie

0

are

2439

| fol. 2354)
PAN Amenic AN Wort Leo Amways, Ine. Exit 75

(Emblem) ; ; : ,
PANAITIR DO BRASIL. S.A. ”
Epiricto Citry—W. Rie Branco So— Rie pe aN tkiro

Samet,

°
(ABINITE DE - ee : oO
PiksIDENTE | e
January 6, 1947. ,
> /
AMENDMENT No. 2 \
, aa. )
ap oanemiean Airways, Ine. * 7 ens
NEW YORK—L S.A. \
“a ‘
Dear Sirs: : foe

Referring to ‘the recent correspondences anal digi-ussions
between representatives of our two companies concerning
revision of the amount paid te Ms by you for providing
personnel and offer accommodations for votranm Drasil, pur
suant to the letter agreement whieh accompanied: the ben
eral Ageney Agreeinent betyween us dated as of January

"1, 1944. thissletter, when accepted by you, will constitute |

the agreement between us that.the figure Crs60.000,00,.ap-
pearme mnelause (ej of second tall paragraph of said letter
agreement as cinended ba letter agreement dated Decefiiher
12, 146, o> changed to CrROS.O0OQ00, effective ap of Deeen
ber 1. 146. :
ys Vers truly vorrs, 4

= m
Od

Panam Do Brasm. SoA.

By os) Patio Sampate

President
‘Accepted: Jan 13 1947 }
Pan ‘Ax: miCAN AIRWAYS, Ixe,
By s Howarp B. Deas F .
> View President) © oe nd
. ? —

2440
[ fol. 2355]
‘PAN AMERICAN Wins’ Airways, Inc. Exuisit 76

1, Joseph J. Cantwell, hereby certify that 1 am Assistant
Secretary of Pan American“World Airways, Inec.; that the
attached document (s) is fare) a true and complete copy (s)

', of the document (s) evidencing the following agreement:

Letter Agreement, dated February 19, 1952. and ac-
cepted on May 14, 1952, between Pan American’ World
Ajrways, Inc. and Panair do Brasil,;S. A., amending
the General Ageney Agreement between the parties
. dated May 1, 1947 so as to provide for a change in the
commission rates (CAB No.. (illegible) ).

/s/ Josepu J. CANTWELL
Assistant Secretary

Dated: June 18, 1952

[ fol: 2356) ,
| CON SFORMED copy

(Letterhead of)
‘PAN AMERICAN WORL D AIRWAYS SYSTEM

oe ie dae February.19, 1952 .
Panair do Brasil, S. A. *
Avenida Rio Branco, 85-10

Rio de Janeiro, Brazil

Gentlemen: ; -

. P
This letter, when accepted by vou, will constitute our
agreement to amend the Rao Agency Agreement, dated
as of May 1, 1947, between us, so as:to change the ain
and figure “10 per cent”, appearing in clause (1) of .Para-
‘graph 4(b) and in clause (i) of Paragraph &(b) theryof, to
“Thy per-centy, as of XXXXXXXXXNNXX, June Ists 1962

» a. ie ey ‘ . 2441
If the foregoing correctly states our understanding, will
vou kindly: sign and return te us the enclosed copy of this
letter. _
Very truly vours,

Pax American Worip Amways, Nc.

/ /
~*~ /s/ Wintis G. Lipscomn.

Willis G. Lipscomb

eAccePTED: May. 14th, 1952
Panam Do Brasiz, S. A. °

By: /s/ PauLo Sampaio
President

[fol. 2357 |

Pan AmeEricaN Worip Armways, Ixc. Exutser 77,

GENERAL’ TRAFFIC. AND SALES -
AGENCY AGREEMENT |

This AGREEMENT, mad as of January 1, 1955. Be-
tween PAN AMERICAN WORLD AIRWAYS, INC. a
corporation organized and existing under the laws of the
State of New York, hereinafter referred to as “Van Ameri-.
ean”and PANAIR DO BRASIL, S.A.. ad corporation or”
ganized and existing under the laws of Brazil, hereinafter
‘referred to as the “Company”,

WITNESSETH THAT:

WHEREAS, Pan American operates an extensive sys-
tem of international air transportation services, which sér-
vices extend to and through Brazil and Latin America, th
and througik Europe, Africa and the Middle East, and te
and from the United States of America: and

WHEREAS, the Company operates ain transportation
services in Brazil, and between Brazil and Argentina, Peru,
Chile, Europe, Africa and the Middle Kast: and

WHEREAS, Pan American and the Company are parties ,
to an agreement dated as of May b, 1947 under which. the

-_/«

2442

i)

~ Company acts as General Traffic and Sales Agent in Brazii

for Pan American and its affiliated carriers, and Van
American and its affiliated carriers act as General. Traffic
and Sales Agent outside Brazil for the Company; and

WHEREAS, the parties desire to terminate said Agree-
ment, and to enter into a new agreement upon the terms

_and conditions set forth hereim;

NOW, THEREFORE, in consideration of “the mutual
covenants and agreements herein contained, the parties
hereby agree as follows:

1. Pan American.and the Company ‘agree to accept as
general basis for their reciprocal relations for the sale

and/or handling of passengér, express ands cargo trans-—

portation over their respective lines, the conditions and

stipulations: contained in the INTE RNATIONAL AIR
‘TRANSPORT ASSOCIATION: (PATA) INTERLINE -

TRAFFIC, ‘BAGGAGE AND (CARGO HANDLING
[ fel. 2358} AGREEMENT (hereinafter-sometimes referred

te as the “IATA Agreements”), except as otherwise spe-,”

cifically and mutually agreed upon herein. Pan’ American

aid the Compariy have heretofore. become parties to the—

IATA Agreements by making written application’ to, and
depositing executed counterparts of said [ATA Agreements
with, the Secretary of the Traffic €'ommittee of LATA, but
neither party has coneurred in the particabadion: with the

_ other as‘a party to said [ATA Agreements. Prior to April |
15, 1955, the Company shall submit to the Traftic Direc tor’

of IATA in writing, its concurrence in the participation

with Pan American and its affiliated carriers as a- party”

to the LATA Agreements, and. shall promptly ‘thereafter
notify Pan American and its affiliatéd carriers in, writyng
of the submission of sueh concurrence. Promptly after/the
receipt by Pan American of the notice referred to in the
preceding sentence, Pan American shall submit, and: ar-
range for its affiliated carriers to submit, to. the Traffic
Director of LATA, in writing, their concurrence in the
participation with the Company as a party to the LATA

Agreements. Notwithstanding the provisions of the TATA

Agreements relating to the time at which said IATA Agrec-

oo.

24455

‘ / . .
ments shall become binding between any. of the parties
thereto, said LATA Agreements shall be deemed effective
as between the parties, hereto, including affliated carrier;
of Pan American, as of the effective date of this Agreement, :

2. Pan American and its affiliated: carriers, on the one
hand, and the Company, on the other, agree, in aecordance
with the general and basic conditions established here-
under . to tender ‘tor each other such additional services
as way be listed in the ANNENES to this Agreement,
ax t same may be amendéd from time te tine, which
serv kes are not Cov ered by the LATA Agreement.

[ fol. 2359) 32° Pan “Aimerican hereby appoints the fom:
pany, and the Company agrees te act as General Traffic and
Sales gent in Brazil (except in the states, territories,
regions and cities specifically excluded by Annex no. 1)
and in aracuay, for Pan American and its, affiliated ear
riers. As such General Traffic and Sales Agent, the Com-
pany agrees that it will perform such services as may be
appropriate to promote passenger, mail, express and cargo
trafic over the lines of Pan American. end its affiliated
carriers and, in cooperation with Pain American) to arrange
for trans portation of passengers, baggage, awl, express,
and vargo over such lines. In the event Pan American shal!

desire to establish its own sales offices in cities or regions

in’ Brazil (other than those established prior to the effee-
tive date of this Agreement), Pan Ninerican shalf be per

initfed to do so upon giving the Company not les agrees fo pay to Pan
American for ales made in the territery in: which Pan
American and its affiliated carriers act as General Traflie
and Sales Agent for the Company, in addition te any com.

missions payable under the LATA: Agreements:

(i) A commission’ equal te three (3°) percent of ghe
‘total amemnt of the applicable fpres for passenger tran
portation over the lines of the Company, excluding gxees>
baggage weight. charges and valuation and insurance
charges on baggage, seld in such territery, including trans
portation seld by other carriers,

{fou 2364) Ci) A commission equal to-two and one-half
(21.40) pereent of the total ameunt of the appheable
charges (not including insurance and C.0.D. charges) for
air express and cargo transportation ever the lines of the
Company, sold in such territory, meluding transporgition
‘sold by other carrier: but excluding charges collected for.
shipments for whieh the air waybill is net isstead in such
territory. «

(¢) In addition to any other remedies wich either party
may have, ne commission shall be payeble with respect
to any sales which are not made in accordance with the
instructions, rules, regulations, rates and tariffs of sand
parts as provided in paragraph 6 hereof,

1d) No conmnission will be payab’+ with respect fe any
fares or charges which shall be refunded except as other
wise provided by the party over whose lines the transpor-
‘tation is or is to be carried out.

2448 . ;

(e) Each party hereby agrees to pay or reimburse te
the other party any out-of-pocket expenses specifically re-
quested and’ approved by such party and ‘incurred by thé
other, not chargeable to passengers or shippers (other than
the cost of routine notices, distribution of time tables and
sales promotion material, solicitation and salaries of per-
sonnel, office rental, telephone service and other expenses
incurred in performing such’ services as are customarily
performed by a General Fraffic and Sales Agent) in carry-
ing out special sérvices (including such expenses for adver-
tising and publicity and catering) requested under this
seein

2365) y. (a) Each party agrees to indemnify: the
a ‘and hold it harmless. from and against all claims,
for any loss, damage, injury or délay of any nature what-
soever, including costs and expenses, which shall occur in

connection with the transportation ‘services of said party

or in counection with the carrying out or failure to carry
out any obligation to third parties arising by reason of
action taken on behalf of said party by said, other party
as General Traffic and Sales Agent pursuant to this’ Agree-
-ment unless such:loss, damage, injury or delay shall be
caused by the ‘negligence or wilful misconduct of said other

party. Pan American agrees to obtain a similar commit-’

ment from each of its affiliated carriers with respect to its
transportation services and obligations to third’ parties
arising by ‘reason of action taken on its behaif.

(b) Each party hereby releases the other from all lia- .

bility to it for loss, damage, injury or delay, arising by
reason Of any action. taken or omitted to. be taken on be-
_ half of said party by said other party as General Traffic
ant Sales Agent pursuant to this Agreement unless such
loss, damage, injury. or delay shall be caused by the negli-
guiice or wilful misconduct of said other party.

° (c) It is expressly understood, without limiting the yen-
erality of the foregoing provisions of this parazraph 9, that
expenses to either party arising from any fines, penalties
‘or detention expenses imposed by any government. or
governmental agency (or.whieh any government or govern-

4
:

7

ar ae | : 2449

mental agency attempts to impose), as the resilt of neg-
ligence on tiheapat of the other in performing the function's
provided for.in paragraph 5 (f) of this Agree ment, shall
be for the account of said other party.

[ él. 2366] (d) The. provisions of this puiragraph 9 shall
relate to matters dealt with in this Agreement other than
matters dealt with in the LATA Agreements, and shall not
be deemed to modify anvei! the provisionsgoef said agree-
ments. The provisions of this paragraph 9 o& hal be appli-

cable to any functions provided to be performed by either
party for the other b¥ the terms of this Agreement, in the >
territory in-which. such party acts as General Traffic and
Sales Agent for the other, which functions may also be
provided for by the terms.of any ground handling agree.
ment, ground servicing agreement or other: agreement. be-
tween the parties, notwithstanding any provision: to. thie

contrary, or inconsistent therewith, in said ground handling

agreement, groaind servicing agreement or other agreement,

10. Each party agrecs to cooperate with the other in the
operation of passenger, mail, express and cargo air ser-
vices of the other and that,.so long as this Agreement shall
remain in force and effect, each Party will use its best
efforts generally to aid and assist the other in the estab-
lishnient and operation.of such services. : }

‘
11. All expenses for telegiams, cables, radiograurs or
other comniunications sent in connection with or pursuant
to this Agreement, ineludings: communications relating to”
reservations and canceilations of reservations, shall be
borne by the sender. - °

12. Except as otherwise agreed upon. bet ween the parties
in writing, settlement of all amounts payable hereunder,
including all amounts collected on behalf of either party
for transportation sold under the provisions of.the LATA
Agreements, shall. be made in accordance with the appli-

cable rales and regulations of the LATA Clearing House.

[ fol. 2367] 13. In the event that Pan American shall have:
arrangements “(hereinafter referred to as ,an “Interline
Agreement”) with any other carrier other thay pursuant

o

2450

to an IATA Interline Traffic 7 so to whieh
Pan American and its affiliated carriers are authorized
to sell transportation over the lines of such other carrier
and such other carrier is authorized: to-sell transportation |
‘over the lines of Pan American and its affiliated carriers, ° * 2
it. is understood that the Company jean aMiliated carrier * |
of Pan American for ghe purposes of the Interline Agree-
ment and the Company is uereby authorized to sell trans.
portation, and agrees to honor transportation sold, yur
- suant to the Interlige Agreement, subject to all the ‘ternf:
and conditions thereof. The basis of compensation and the
other principal features of all: interline Agreements in
effect ‘at the time wil! be set forth in the traffie-rules. and
regulations currently furnished to the Coffpany by Pan .
American and copies of such agreements will be furnished =~ $
to the Company upon request. Hb further understood that, .
with respect to any transportation sold in accordance | with
the Interline Agreement: ;

ce

(a) Settlement will. be effected between, Pan Anierican
and the Company in. the same manner as settlement. is ’
effected pursuant to this’. Agreement, or in such manner as ;
shall be mutually agreed upon ;:

(b) The Company’ shall have all of the rights and obli--
gations, and only the rights and obligations. provided under
the Interline Agreement w ath respect to affliated carriers
of Pan American;

¢(¢) No commission or -other compensation or payment
(including reimbursement of commissions or paytnent to
sub-agents or others) will be paid by or tothe Compan?
except to such extent'as may be provided in the Interline
“Agreement: and

[fol.. 2368] (ad) The Company agrees to haihsienity- and

hold harmless Pan American from and against all claims, }

including costs and expenses, and to reimburse Pan Ameri-. ;
ecan for all amounts paid by Pan American pursuant to the

Interline Agreement or otherwise by reason of any actio

taken by the Company pursuant to this paragraph’ 13.

2

14. In case Pan American shall.take action of any kin
in conhection with the sale by the Company of transpor-

tation over the dines of an affiliated carrier of Pan Ameri-
can, or the sale by an affiliated carrier of Pan Ame ‘rican of
transportation over the lines of the-Company, or ih connee-
tion with the sale by the Company of transportation over
the lines of a carrer with which’Pan American has -an
Interline Agreement, or the sale by any such carner of
transportation ‘over the lines of the Company, Pan Ameri-
ean. shall Be deemed to be acting only as sagent for the
carrier aver Whose lines such transportation is to be carried
out and shail be undér no ‘liability to qhe, Company in
connection therewith, including, but withouy limitation, Ija-
bility for payinent of commissions seothersayiments unless
collected by Pan American on b@yalt ofthe Company, ex-
cept for its awn negliggnee or wilful nusconduet.

15. It is agreed that the name as an American 4, vanair’,
“Pan Awerican Airwas gvstem’. “Pan Ameridan World
Airways", “Pan Amerwan World’ Airways System™, and
a and the Pan. American insignia and any other
special or distinctive phrase, inark, name or slogan Fe-
ating yp Pan American and used on-advertising mate rial
or othétwise by the Company, including all accompanying
sroodwill, are and are to remain the property of Pan -Ameri-
can, and that the name “Panair do Brasil” anf the Com.
pany’s insignia and any other special or.distihetive phrase,
(fol. 2369] airk, name of stogan relating to the Company
nnd cused of advertising material or otherwise by Pan
American, including all accompanying goodwill, are and
are to remain the property of the Company, and) Pan
American and the Company agree to cooperate fully with .
each other in the protection of such names, Insignia, plirases,
slogans and. marks. It ts voustionag Bae Heh that the Com
panty will be permitted to register in Brazil only the name

“Panair™ as their cable auldress ne Braail

‘16. Any controversy or elaine arising out of or in any
manner relating to-this Agreement shall be referred to and
finally settled by arbitration in accordance: with the ‘pro:
cedures set forth below, and if necessary. judgment on the
award rendered anayv be ente rest inany court, having juris:
diction thereof, .

2452

>
te

(i) If the. parties agree to the appointment of a single

(ii) If they’ do not so agree the one tribunal shall
consist of three arbitrators. Each party shall ap-

arbitrator, the arbitral tribunal shall consist of him:

alone.

point one: of fhe three arbitrators, and the arbi-
trators so appointed shall appoint the third, who

- shall act-as chairman. Should the arbitrators ap-

pointed by the parties fail to agree on the appoint-
ment of the third, or should either fail to appoint
his arbitrator, any supplementary appointment re-
quired shall be made by the Director General of. the
Internation@l. Air Transport Association (IATA).

(iii) The Director General mays at the request of either

party, fix any time limit he finds apprépriate within

‘which the other party, or the two arbitrators ap-

[fol. 2370] pointed by the parties, shall constitute
the arbitral tribtnal. Upon ‘the expiration of this
time limitéthe Director General shall take the action
prescribed in the preceding paragraph to constitute

the tribunal e r.

(iv) W hen the: arbitral tribunal cimsiate of three arbi-

.trators, its decision shall be given by majority vote.

(y) The arbitral tribual shall settle its own procedures

‘and if necessary shall decide the law to be applied.
“The award shall include a direction concerning allo-

cations of costs and expenses of and incidental to the
arbitration (including arbitrator fees).

(vi) The award shall be final aad conclusively —

oe
F ot

‘2

-./ upon the parties. |

\ ; °
As vient 1 in this Agreement, ‘the term “affiliated car-

riers” shall inciude all companies other than the Company

éngaged in‘the transportation of passengers, mai, express .
or cargo, by air, for hire, capital ‘stock of which®shall’ be.

owned by Pan American, which Pan American may desig-

‘nate by notice in writing to the Company.

4

2453

,
“*

18. (a) Unless otherwise provided for in the Annexes
to this Agreement, this Agreement shall become effective
on. January 1, 1955, and shall continue in éffect until De-
cember 31, 1955 and thereafter until terminated by either
party at any time after December 31, 1955 upon natice in

_ writing given'to the other not less than nisefy (00) days in

advance of the date of such termination. ‘T@rmination 4
this Agrepment shall not relieve either party from any obhi-
gation or liability on its part arising fronyor connected with
‘fol. 2371] tickets, exchange orders, airwaybill or ‘other

contracts for transportation issued or executed prior to,

such termination nor shall it relieve either party from any
liability on its part basgd upon any state of facts existing
prior to Such termination. — .- » - °*

(bh) The general traffie and. sales ageney agreement be-

tween Pan American and the Company dated May 1, 1947 °

is hereby terminated as of the effective date of this Agrée-
ment..- .- .° . ;

The provisions of this Agreement shall be subjeet to
ul applicable rules and resolutions, including but not

limited to those relating to commissions, of the Interna-

tional ‘Air Transport Association (IATA), or any branch,

-comnittee, or conference the ‘reof, which is binding upon

either party to this Agreement or to any applicable agree-
ment made by either party to this) Agreement and approved
by the IATA, ‘and said provisions shall be decried to be
amended by any such rule, resolution or agreement to the

extent that said provisions are in conflict with such rule,
resolution or agreement. Notwithstanding the provisions )

of paragraph 9 hereof, expenses to either party arising

. from any fines or penalties imposed pursuant to any suc’.

rule or resolution of the IATA, as the result.of any action
taken or omitted to be taken hy the other as General {l'raffie
and Sales Agent hereunder, shall be for the account of said
other party, provided that said other _ party shall net be
required to take anv action he reunde. in Violation of any
such rules or resolutions. , . .

20. Any notice require or permitted to be given pur
suant to this Agreement shall be duly given if sent by mail

?

ee

2454 aos iw ee

addressed, in the case of notice to Pan Ameri@an, to Vice,
President—Traffic and Sales, Pan “American ooo Air-
ways, Inc., 135 East 42nd Street, New York, 17, N.Y., U.S.A.,

or to such. other address as Pan Amprican may from time
[fol. 2372]to time designate for the purpose, and in the
case of notice to the Company, to the president. Panair do’

Brasil, S.A., Rio de Janeiro, Brazil, -or to such other ad-
dress as the Company may fronttime to time designate

for the purpose.

21. This Agreement consists ' paragraphs 1 through 21,
together wth Annexes Nos. 1, 2 and 3 as the same may

'_ hereafte r be amended by mutual agreement in w riting be-
tween the parties. :

IN WITNESS WHEREOF, bes American waa the Com-
paliy have caused this agreement to\be executed in the cor-
porate names by their respective officers thereunto duly
authorized.

_Pan American Worutp Arrways, Inc.

Ce i
. i By /s/ (Signature Illegible)
. Vice. President-Traffic & Sales

WITNESS: °

_/s/ (Signature Tllegible)

Panarr po Brash, S.A.

By /s/ (Signature Illegible) -
WITNESS: .

/s/ (Signature Ilegible) |

Q

/s/ (Signature MMlegible)

5 . ' 2455)

[fol. 2373]

GENERAL TRAFFIC AND |
SALES AGENCY AGREEMENT

ANNEX No. 1

1. In accordance wth the provisions of paragraph 2 of the
GENERAL TRAFFIC) AND SALES AGENCY
AGREEMENT to which ‘Pan om ‘rican &nd the Com-
pany are parties:

(a)

- (bd)

Pan American on one side, agrees to act as General
Traffic and Sales Agent on behalf of the Company
outside the countries of Brazil and Paraguay ex-
cept in Argentina, Austria, the Azores, Bahrein,
Belgium, Cyprus, Denmark, — E: gvypt. Jengland,
France, French Moroceo, French West Africa, Fin-
land, Germany, Greece, Holland,” leeland, “bran.
Iraq, Ireland, Israél, Italy, Jordan, Jugoslavia,

‘Kuwait, Lebanon, Luxembourg, Norway, Portugal,

Saudi Arabia, Scotland, Spain, Sweden, Switze v. .
land, | Syria and Turkey: and

The Company, on the other side, agrees to act as

General T.affic and Sales Agent on ‘behalf of Pan

American in the country of Brazil (except in the
territory of the Federal District and the State of
Rio, and the State of Sio Paulo, or any other cities
or regions in Brazil which may be except | ater as
provided for in paragraph 5) and in the ountry of
Paraguay.

“.

Pan American agrees to assist the Company in negotia-
tions with governme nt, agencies in the countries in which
Pan American acts as Ge néral Traffic and Sales Agent for
the Company, except Chile and Peru, ‘to, such an extent as
shall be requested by the Company,-and. any out-ofepocket
expenses incurred in| furnishing such assistance will -be
reimbursed by the C ompany. The C empany agrees ta assist

~. Pan, American in negotiations with the government agencies
in Brazil, to such an extent as shall be requested by Pan

Ame ‘rican, and any out- Of-pocket expenses incurred ‘in, fur-

2456 |

(fol. 2 374] nishing such suiiatunee will be sciudilanail by:
Pan ke rican. ; .

»

The conditions establishe cin this Annex No. l,shall be-
come effective - as of. January 1, 195 39,

Visions of paragfaph ‘1 (b) above with respect to the

Pan Anierican shalLhave, the right to ta the pro- *

exeeption of the territory of the Federal District and
the State of Rig’and the State of Sao Paulo, upon notice

*. in writing given to the Company not less than sixty (60)

‘RL

Co

_——.

days in advance of the date. of such termination, in
which, event there ‘shall be appropriate modification of

the provisions ‘of “Annex\ No. 2 (Federal District and °

State of Rio—Brazil) and/or Annex -No. 3 (State of Sao

Paulo):

Jj oe ret

GENERAL TRAFFIC AND
SALES AGENCY AGREEMENT
: - 6

. ANNEX No. 2

- (Federal District and State of Rio—Brazil)

In accordance with the provisions of paragraph 2 of
the GENERAL TRAFFIC AND SALES AGENCY

AGREEMENT to which Pan’ American and the Com- .

pany are pariies, Pan American and the Company have

mutually accepted the additional provisions, héreinafter -

deseribed, and solely applicable to the: territory of the
Federal District and to the State of Rio.in the country of
Brazil, and which provisions are not contained in the
IATA Agreements:

-_ 1, The Company agrees to act, on behalf of Pan Ameri-
can, as General Traffic and Sa'es Agent exclusively
for the air expregg, air cargo, and mai! business and

. perform this function, in accordarice with the con-
ditions set: forth in the Géneral Traffic and Sales

Agency Agreement referred to above, and to the
“extent that, such conditions: are applicable .to the eer

air express, air cargo, and mail business.

a”

S

ke In consideration of the international air UXPTEss, air
cargo,-and mail traffic volume of Pan Aimeriean in
Rio, Pan American agrees to participate in the ex-
penses “to cover the ope ration and maintenance of
-the Company's air cargo offices to the extent of the
monthly fixed amount of Cr$50,000. If computing
this participation, among others, the follogring fac-_
rs have been taken into account:

a) Average volume of sthe international air ex-
press and cargo discharged by Pan American in
Rio as compared to the same volume of inter-
national air express and air -carge discharged

» * by the Company; and ; '

| foMMe376] b) Average volume of “collect ship-
ments” of Pan American and the related fune-.
tions of the manipulations of shipping and clear-
ance documents, the physicals collections of the
. charges, and the preparation of the correspond-
' ing reports for accounting purposes.

1.3 “The Company agrees to make available to Pan
American one of. the show windows of the Com-
pany'sqnain Sales Office (Castelo), for the exhibition
of Pan American's advertising and display ma-
terial; provided; however, that the materials and
labor required for the installation and/or decora-
tion of these show windows will be for the account of

* Pan American.

2. It is understood that either party may at any time re...

quest a total or a partial revision of the computation of
the amounts established 1 in, the foregoing. provisions.

3. The conditions vitahliche if} this Annex No, 2 shall
hecome effective as of January 1, 1955. :

258. | . : ) |

[fol. 2377}. :
| GENERAL TRAFFIC AND
SALES AGENCY AGREEMENT

. ANNEX No.3
. (State of Sao hare

1. In accordance with the provisions of paragraph 2 of the
.GENERAL TRAFFIC AND SALES AGENCY
AGREEMENT, to which Pan American and the Com-
pany are parties, Pan American ahd the Company have
mutually accepted the additional provisions, hereinafter

described, and solely applicable | to the territory of the
State of Sio Paulo in the"country of-Brazil, and which
provisions are not contained in the IATA Agreements:

1.1 The Company agrees to act, on behalf of Pan Ameri- .
can, as General Traffic and Sales Agént exclusively -
for the air express, air cargo, and iail business and
perform this function, in accordance with the condi-
tions set forth in the General Traffic and Sales
Agency Agreement referred to above, and to the
exteat that such conditions are applicable to the

; _ air express, air cargo, and mail business.

‘ ~ . ’
1.2. In consideration of the international air express, aj
* edrgo, and mail traffic volume of Pan America

_ Sao Paulo, Pan American agrees to scidiagie i in

‘ the expenses to cover the operation and maintenance

~of the Company's air cargo offices to the extent

of the monthly fixed amount of Cr$s80,000. In com-

puting this participation, among others, the fol-
lowipg faetors have been taken ingo account:

a’ Average volume of the international air express
and cargo discharged by Pan American in Sao
Paulo as compared to the same volume of inter-
national air express and air cargo discharged by
th: Company; and . ‘

F 8) Average volume of “collect shipments” of Pan
Arrrican. and the related iunctions of the |.

—_———— - ts—e

2459 -

manipulations. of shipping*and clearance docu- .

| fol. 2378] ments, the physical collections of the

charges, and the preparation of the correspond-
* ing reports for accounting purpo: es.

2. It is understood that either party may at any time
"request a total or-a partial revision of the computa-
tion of the amounts established in the foregoing pro-

_ Visions.

3. The conditions established in this Annex no.3 shall be-
come effective as of January 1, 1955.

[ fol. 2379)
Paw American Wortp Airways, Isc. Exuupit 78
PAN-AMERICAN WORLD AIRWAYS SYSTEM
General Offices, Chrysler Building,
ss 135 East 42nd Street, New York 17, N. Y.

, December 13, 1955 —
Vanair do Brasil, S.A. ‘
Rio de Janviro, Brasil

Gentlemen:

Reference is made to the General Traffic and Sales Agency
Agreement betwegn our respective companies dated Janu-
ary 1, 1955. In accordance with the pro@isions of Para-
graph 17 of said Agreement. Pan American hereby desi¢-
nates the following carriers as affiliated carriers of _Pan
American forthe purposes thereof: ,

Aerovias Nacionales de. Colombia, S.A.
Compania Mexicana de Avionps, S.A.
Lineas Aereas Costdesicenses, S.A.

Pan. American Grace Airways, Ine.

Pan American also hereby designates Acronaves de Mexico,
S.A. pursuant to Paragraph IV of said Agreement, as an
affiliated carrier of Pan American, solely with respect to
matters relating to participation in the [ATA Interline
Traflic, Baggage and Cargo. Handling Ageregate, and Pan-

2460
“air do Brasil, S.A., ‘wane: ax General Traffic. and Sales .
Agent unde r the Agreeme nt.

Will you ple ‘ase indicate your acknowledgment of the re-
ceipt of this letter on the enclosed copy, and return the
saine to us.

7 ery truly yours,

Pan American WorLp Airways, INc.

/s/ Wits G.° Lipscoms — sai bg
Willis G., Lipscomb :
; Vice President, Traffic & Sales

. ACKNOWLEDGMENT:
PANAIR DO BRASIL, S.A.
By /s/ illegible

[ fol. 2380]

Pan American Wor.p Airways, INc. a 79

AMENDMENT NO. 1

THIS AMENDATORY AGREEMENT, made.as of
July 1, 1957, between PAN AMERICAN WORLD AIR-
WAYS, INC., a corporation organized and existing under
the laws of the State of New York, hereinafter referred —
to as “Pan American”, and PANAIR DO BRASIL, S.A.,

a corporation organized and existing under the laws of
Brazil, hereinafter referred P as’ the “Company”, a

WITN ESSETH THAT:

WHEREAS, Pan American and the Company have en-
tered into,a General Traffic and Sales Agency Agreement
dated January 1, 1955, whereby the Company acts as gen-
eral traffic and sales agent for Pan American and its af-
filiated carriers in the eountry of Brazil (except in the ter- :
ritory of the'Federal District and the State of Rio. and
the State of Sao Paulo) and in the country of Paraguay, and
whereby Pan American ‘and its affiliated carriers act as.
general traffic and sales agent outside the countries of
Brazil and Paraguay (except in certain countries, regions

—s ae)

ant cities designated: in paragraph 1 (a) of pen No. 1
thereto) ; and

WHEREAS, Pan American and the Company desire to \

amend the General Trattie and Sales Agency Agreement to
exclude the country of Uruguay fromthe territory in which
Pan American and its affiliated carriers act as general traftic
and sales agerit for the Company ;

‘NOW, PHEREFORE, in consideration of the mutual

covenants and agreements herein contained the parties
hereby agree as: follows: ;

a hiragcaph 1 (a) of Annex No. 1 to the General Trattic
and Sales Ageney Agreement is hereby amended, effective

| fol. 2381] as of J uly 20, 1957, by the insertion of the name,

“Cruguay” after the name “T urkey’ * appearmg therein.

2. Except as herein specifically amended, all of the terms
and conditions ef the General Traflic.and Sales Ageney
Agreement shall remain in full. force and. effect.

IN WITNESS WHEREOF, Pan American and the Com-

pany have caused this Amendatdry Agreement to be exe-
cuted % their corporate names by their respective, officers

thereunto duly authorized as of the day and year first above

_ written.

Pan’ Americas Worip Airways, Inc.
/s/ Witiis G. Lipsecoms

Willis G. Lipscomb :

Vice Presf{dent-T raftice & Sales

od

“WITNESS:

/s/ (legible), * | nar

Panxair Do Brasiz, S.A. ¢

/s/ Cesar Pires DE MELLO
Cesar Pires de Mello.
Director Superintendent
WITNESS: ;
/s/ Presto
Commercial Manager

.

2462 :
[fol. 2382}

PaX AMERICAN Worep Aswave, tac. Exmuncr 80
AMENDMENT NO. 2

THIS AMENDATORY AGREEMENT. poaes as of Dec.
11, 1957, between PAN AMERICAN WORLD AIRWAYS,

___INC., a corporation organized and existing under the laws”
_ of the State of New York, hereinafter referred to as “Pan —

American”, and PANAIR DO BRASIL,'S.A., a corpora-—
_tion organized and existing under the laws of Brazil, herein-
‘after referred. to as the * ‘Conipany”,

WITNESSETH THAT:

-WHEREAS, Pan American and the Company have en-
tered into a-General Traffic and Sales Agency Agreement
dated January 1, 1955, as amended by Amendment No. 1
thereto dated July 1, 1957, whereby the Company acts as
general traffic and sales agent for Pan American and its |
affiliated carriers in the country of Brazil (except in the
territory of the Federal District and the State of Rio and
the Sta of Sao Paulo) and in the country of Paraguay,
and whereby Pan Ameriean and its affiliated carriers act as
general traftic and sales agent outside the countries of Brazil
and Paraguay (exeept in certain countries,, regions and
cities Gomppnnaed 4 in paragraph 1 (a) of Annex No. 1 there-
to); and

WHEREAS, Pan American and the Company desire to
amend the General Traffic and Sales Agency Agreement
to delete the provisions set forth in Annex No. 2 thereto .
relating to the Federal District and State of Rio—Brazil;

NOW, THEREFORE, in consideration of the mutual
covenants und agreements herein contained the parties

- hereby ygagree as follows:

1. The provisions set forth in Annex No. 2 to the General
Traffic and Sales Agency Agreement are hereby deleted in
(fol. 2383] their entirety, effective as of Dec. 11, 1957.

2. Except as herein specifically amended, all of the terms

and conditions of the General Traffie,and Sales Ageney

»

>

- /s/ Prestox *

C.J. Bilwiller Esq.,

2463

€

Agreement, as heretofore ame pended, ioe, remain in full

-force and effect.

"IN WITNESS WHEREOF, Pan Ainerican and the Com-
pany have caused this Amendatory Agreement to be -exe-
cuted in their corporate names by their respective officers

thereunto duly—authorized as of the day and year first
‘above written.

Pax American Worip Atrways, Ixc.

© /s/ Wituts G. Lirescoms
_ Willis G. Lipscomb
Vice President-Traftie & Sales

"WITNESS:
}s/ (Megible)

Panatr Do-Brasii, S.A.
/s/ crea Pires pe Metto—-
‘esar Pires de Mello
_ Director Superintendent

WITNESS: -

H. P. Preston
Commercial Manager

‘Lfol. 2384]
Pax American W ORLD Airways, Ixc. Exnirit S1

New Yark, August 30th, 1927

Nitrate Agencies Ltd.,
Iquique, Chile.
“

~ Dear Billwiller :— : . ‘

Thank you ‘very wtih indeed for your info rmal and
interesting, letter of August 5th.

Our expert has reported on ‘a project for passenger
service all the way down the Coast, also on a service from

“—_,

2464 —
Panama up to Callao.and return and also on a service for

mail only all the way down the Coast. :

The Post Office Department. has no- appropriation: -avail-
able for carriage of the mail at a greater rate'than 80¢
a pound which is too low to make even a mail service Rrofit-
able.

The general. idea is winning some converts here and
when it has taken a little more definite form, | will. write
‘you more: fully.

>

. Very truly yours, |
RHP.C i}

; [fol. 3385)
Paw American Wortp Airways, Inc. Exwupir $2
MEMORANDUM | .
Date. August 31st, 1927. |
To Mr.CARTER “ Dept.
From Mr.PATCHIN. — Dept.

SUBJECT: AVIATION

Herewith estimate of capital. and operating cost for
weekly air mail service from Colon to Valparaiso which
I hope you will find time to look over. ~s,

~~

Nou estimate of revenue is included as it will all depend

on what arrangements we can make with the Post Office 7

Department. Some revenue can be derived, from’ passen-
gers as the plane specified would hav e accommodations for:
three or four passengers. as well as two pilots. It is not
advisable on air navigation over waters such as the West
Coast to use a smaller plane.

ab

’ My personal opinion is that we ought to use flving boats )

. instead of amphibians, but no fiving boats have yet been
built in this country. : on
. ‘R. H. Parcuiy .

“{fol. 2386)

Mr. Harold R. Harris.

-

2465

Pan AMERICAN W ontp Airways, ENc. Es XHiBIT 83
ee 23, 1927

Huff, Daland Dusters, Ine.
O uachita National Bank oe s 7
Monrow, La.- fa eens an

_ °

Dear Harris:

In accordance with my night letter, under date. of De-
cember 21st, 1 am forwarding you atfached herewith sug-
gested draft of proposed concession to be secured by Huff,
Daland Dusters, Inc.,.‘or a new Peruvian National Com-
pany, to be created for that purpose, if local conditions
make ‘such a step desirable.

You. will note that. the accompanying draft of cédnces-
sion is designed to provide the Company with the neces» ,
sary legal authority to conduct its business, in ‘all its

; branches, both operating on sehedule and auxiliary service

of every kind, of a strictly commercial nature.

It will be noted that one paragraph reserves the an

to. enter into additional speeial contracts with the Govern-

_ iment for future mail and other service. This provision is

inserted so that in the event of. a lump sum grant, by. the
Government, for development purposes is not acceptable
to the Government, or is not sufficient:in amount to provide
the Company the necessary guarantee: of earning power,
additional supplementary contracts may be made.

é

You® will note that: the’ ‘amounts of these proposed pay-.
ments and periodic dates same are to be deposited to the
credit of the Company, have been left blank, to be filled

-inbyy ourself.and Mr. W ollman at a later date.

In genefal, I believe it would be’ unwise to contract for

‘scheduled service operating less than two hours a day in

air load factor, for the company’s aircraft, including all

the ships in the fleet, at a rate under $1.50 per ship mile—

single engine ships of 700 to 900 pounds payload, in addi- -
tion to pilot and fuel for five hours.

a”
-
o-

2466

From our experience to date in Latin-America, 1 can- .
not too strongly stress the desirability of securing the ser-
vices of a high-grade Peruvian Attorney. The man selected
should be thoroughly grounded in his profession and, in
addition, should have good standing with the Government °
Departments, and all those who may be concerned. I have _
heard very good reports. iam Dr. Ronero, Attorney
for_ All’ American. Gagles, whose name I suggest for your
consideration. It would be wise, too, I believe, to arrange
with the Attorney vou finally select, for a flat fee, contingent.
upon securing an acceptable concession and in addition, pay °
only out-of-pocket expenses incurred. .

You will further note that the concession has been drafted

so that all dealings and contracts are made with the Depart-

ments “Fomento” or Public Works, rather than with the
Post Office Department. Transportation in general in Peru
comes under the Department of “Fomento”. In view of the
strong foreign influence now. surrounding the Post Office
Department (The British Marconi Company) it is believed
that arrangements made with the Department of ““Fomento”
ean be negotiated on a basis more favorable. to the Com-
pany.

[fol. 2387] You will further note that no details as-to ~~

_queney of service, intermediate stops, operating schedule,

or weight of mails are provided.for in the paragraph cover-
ing the service between Mollendo and Paita. These details
are subject to the financial arrangements made between the
Government. and, in fact, on the final terms of the conces-
sion itself as approved by the Peruvian Legislature.

I would suggest that you have forwarded for comment, after
local negotiations have commenced, at the earliest oppor-
tunity, proposed frequency, load guarantee, number of ©

cities to be served, etc., ete.
i

Some specified in the concession are to be given the Com-

_ pany by the Government for development, research and |

Pioneer work, in general. The Company assumes no direct
obligation of any kind because of the payment of such sums.
The concession does not constitute an iron-clad: monopoly

2467

_and the sums adicanigatl do not constitute a steals, and
therefore, the Government should be sold on the fact that it
is not entitled to any ownership in the Company's prop-
erty, or share in future revenue. The only obligatici. to be
assumed by the Company are those distinctly stated in oe
concession...”

"os

The concession will not t be valid and no money can tie paid
by the Government under this agreement, until it has been’
ratified by the Peruvian Congress. I would suggest it might
“be helpful to verify this fact locally and forward, at the
earliest opportunity, the date when the session of Congress,
vatw hich the concession will come up for approval, will con-

vene, in order that we may secure the maximum assistance
from our State Department.

If the Peruvian Attorney thinks it unnecessary to include
a special cause in the concession in order to make it trans-
ferable, paragraph 23 should be stricken out.

The local bank specified for a depository, you will note, is
the National City Bank a: Lima, Peru. Any responsible
local American institution, however , would suffice, should
this bank, for one reason or another, prove undesirable. |

Much diffieulty usually obtains in Latin-American countries
in collecting sums dye from local Governments. For this
reason, particular eaté has been taken to provide that lump
payments shall be made in advance - through a depository
as trustee.

The proposed concession would also permit the Company -
to sell its own stamps direct. This procedure need not neces-
sarily be followed, and should the Government finances
become absolutely stabilized, the Company would have the
right to carry mail bearing Government mail stamps, the
Company receiving payment ‘for carrying same from the
- Government. On general principles, however, the method
is ‘unsatisfactory. The most desirable arrangements would
be the ratification by the Perusjan Congress of the pro-—
posed concession, carrying with it lump payments in ad-
vance over one or two years, to cover. the greater part
of the capital investment required,

.

+

2468 :
A supplementary entiivedt, whereby the Government would |
guarantee a minimum load of airmail bearing the Com-:
pany’s stamps on mail 4t, 50¢:per

[Text truncated at 120,000 characters. The full text is on the page linked above.]

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40386410_0138%3A06. Public record. Not legal advice.
