Show lin T amdy d 1 ys 5 s tl might 1 T Is boom to clyl alyin ng intrepid pilot made financial backing available for aviation washington the development of aeronautics in america as a big business proposition dates from may 21 1927 1027 when col charles A lindburgh Lind borgh completed his transatlantic flight to paris technically the flight of lendbergh proved relatively little to the engineers to them as at first to the world it was primarily a demonstration of the courage and skill of one great oyer flyer the engineers already knew how to make airplanes like the spirit of st louis they knew how to make air at r cooled engines and knew that this type of motive power wits was at the point of marking a great development in flying tor for long distances they did not know until it happened that lind bergala feat would solve a problem which was more serious to the industry than any technical situation it was destined to solve the problem of finances and to make money and big money available for aviation development magazine has boom all kinds ot of things began to happen after the lone eagle spanned the atlantic A well known aviation magazine ably edited highly regarded by flyers and manufacturers had struggled for years to acquire a circulation of about copies a month in three months it had subscribers without having put forth any special effort whatever in may 1927 the capital stock of the company which made the engine of plane clotild be bought at less than 20 a share the farsighted far sighted investors who went out that day and bought this stock have realized ten fifteen or twenty times their investment according to how they handled bandied the stock thereafter the air mall which was getting a little business bu sines at 10 cents a letter by dint of jy publicity and constant urge from the post office to use it began to get tons of mall and soon te aget was abi able to cut the price to 5 cents a letter and get moretons more tons small evl aviation companies with air mall contracts which had been wavering on the edge of bankruptcy became suddenly pros prosperous berous some which had been begging for passenger traffic in connection with the mall had to stop hauling passengers entirely to make room for the pouches makes united states air minded lindbergh made america air mind ed and since that air mindedness has taken the form of widespread investments in the stock of aviation corn com panics it is natural that many people want to put their money in land berghs company it Is quite clear to anyone who thinks about it that lendbergh could at any time since that flight have launched tiny any sort 0 of aviation enterprise he cared to and have sold worth of stock in it he has not chosen to do anything odthe of the sort nor has he allowed any stock to be directly sold on oil his name or reputation this 1 li not because colonel lin land d bergh does not believe in aeronautical investments but because he realizes how easily the power of his reputation co id ha bc abused and knows that he cannot in his own person guarantee the financial succors success of any enterprise even it if he cave gave hid hia whole time to its direction there remain uncertainties in the business of aeronautics in so for far as profits are concerned colonel lindbergh has been too wise to set himself up as a floan cler simply because he Is a master technician of the air various commercial aviation industries have to some extent profited indirectly by LIndberg bs connection with them in advisory work or by his use ot of their products but this has been a strictly legitimate and de elderly indirect connection the flying colonel Is adviser in technical matters for transcontinental air transport which Is about to launch a combined rail and air service from coast to const coast but he has had bad nothing to do with its financing and this company with the backing of two great railroad systems und ind a leading new york banker among others had no great occasion caslon oc to sell stock to the public although its stock Is listed on some of the exchanges first mall mail flight colonel lindbergh made the farat air mall sight flight to panama Iann nia initiating the service of pan american airways a company which has since been bought by a subsidiary of the financial group which Is the keenest rival to the syndicate that owns a block of transcontinental air transport ills his technical advice has therefore been shared quite recently by two leading investment groups in the aeronautical field with doubtless some advantage to each neither however Is in any sense a lindbergh proposition or pretends to be aviation financing since the land bergh boom in came to its aid has gone ahead so fast that there have developed in addition to manufacturing and operating companies a number of holding companies and a number of so called aviation investment trusts the holding companies are designed to keep under one general control a variety of enterprises which connect with one another in operation thus the eastern group of which CL M keys a new york banker Is the guiding genius holds stock through holding companies in airplane factories air mall contract routes airport operating linns aviation schools airplane selling organizations and air passenger lines A western group of which W 11 E boeing the seattle airplane manu tac Is the central figure but which has much new rork fork money back of it controls a sli similar nilar group of aeronautical enterprises financing complicated just how complicated airplane n dancing has bus become through tile the various holding companies Is eviden evidenced ceI ny dy tile the recent purchase of 0 pan airways bythe by the hoeing boeing group As reported in wall street the actual transaction wasi was the purchase by united aircraft and transport corporation the boeing group of shares of stock in aviation corporation of the americas Amerl cas the latter owns the stock of pun ilan american airways united then also transferred to aviation company of the americas Amerl Atner leas cas an option on Compan la Tran transported Transport ca latino lafine americano Amerl cano which Is a Alex mexican ican airmail ai air rma mall operator the amateur investor in airplane stocks needs to know his companies and his holding companies the so called aviation investment trusts which as a rule are corporations and not literally trust companies are organized to buy aeronautical stocks in such a diversified manner as to give the small investor the benefit of diversified holdings they do not aim to buy controlling shares of any company as the holding companies do but only to diversify the investment of their shareholders in a wide variety of aviation industries a plan considered as making for safety of investment A number of these tn jest yest ment corporations have been organized in the last just two years and have found quite a lively market for their stares it if such a company makes gewn ki own the list ot of its holdings the amateur investor can gather some idea of how hla his money Is being placed in varied aeronautical industries if the list of investments Is not published tile the investor more or less goes in alindon blind blin don on his faith in the organizers of the investment corporation investment growing americas billion dollar investment in aviation stocks Is steadily growing as aa more and more people look forward to the day when flying commercially will return handsome profits meanwhile the manufacturing side of the industry Is already profitable in many cases and the values of aviation factory stocks have gone up steadily in concerns under successful management ma nage there are about seventy five companies in the field today manufacturing fac turing airplanes besides many which make parts tile the majority are making planes to sell under the class so many new types are being designed and turned out that the department of commerce Is hardly able to keep up with the work of inspecting spec ting and testing new models for which licenses are asked prospective investors in this side of aeronautics have at least one test to apply to manufacturing companies by inquiring whether their models are licensed until licensed they cannot be sold or operated commercially colonel lindbergh has made a thorough success of his bis task of making america air minded in the stock market ne ile continues his quiet but effective career to make us air minded in the air |