Announcement Concerning the President's Review of the Civil Aeronautics Board's Decision on the Texas International Airlines-Continental Airlines Acquisition Case
October 12, 1981
The President today advised the Civil Aeronautics Board that he has determined not to disapprove the Board's decision in the Texas International Airlines-Continental Airlines acquisition case.
The Board's decision had been submitted to the President for review under section 801(a) of the Federal Aviation Act of 1958, as amended, under which the President has the authority to disapprove Board actions only upon the basis of foreign relations or national defense considerations. The President examined the Board's decision in light of these considerations, which are the only factors he is authorized by the statute to take into account, and determined not to disapprove the Board's decision within the 60 days the statute allows.
The President's letter notifying the Board of this decision also states that no foreign relations or national defense consideration underlies his determination not to disapprove the Board's decision.
The President is aware that the proposed acquisition of Continental Airlines by Texas International Airlines has led many to express concern about future levels of air service to Pacific islands, including those within the Trust Territory of the Pacific Islands. The President reaffirms the commitment of the United States to the economic development of the Trust Territory islands and recognizes the importance of commercial air service to that development.
In this regard, the Board's decision approving the acquisition includes safeguards designed to prevent unilateral reduction of air service to these islands. Consistent with the Board's action and sharing its concern, the President encourages efforts by the interested executive departments to develop, as appropriate, additional safeguards to assure that the islands of the Trust Territory will continue to receive adequate air service.