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Published at Saturday, March 23rd, 2019 - 10:00:14 AM. Type of airline. By Adalgar Zimmermann.

Ultimately the federal government provided $4.6 billion in one-time subject-to-income-tax cash payments to 427 U.S. air carriers with no provision for repayment essentially a gift from the taxpayers. (Passenger carriers operating scheduled service received approximately $4 billion subject to tax.) 48 In addition the ATSB approved loan guarantees to six airlines totaling approximately $1.6 billion. Data from the U.S. Treasury Department show that the government recouped the $1.6 billion and a profit of $339 million from the fees interest and purchase of discounted airline stock associated with loan guarantees.

Undaunted Delta ultimately resorted to acquiring the regional carrier and subsequently received approval for the merger on April 24 1972. But these extremes would shortly no longer be needed.



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