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Published at Thursday, March 28th, 2019 - 16:56:45 PM. Type of airline. By Adelinda Simon.

Ultimately conceding to reason and democratic rule President Jimmy Carter signed the Airline Deregulation Act on October 28 1978 in the process eliminating the need for CAB approval of route entrance and exit and reducing most of the current fare restrictions. Even those would eventually be eliminated when the Civil Aeronautics Board in its now famous sunset was disbanded in 1985.

Increasingly since 1978 US airlines have been reincorporated and spun off by newly created and internally led management companies and thus becoming nothing more than operating units and subsidiaries with limited financially decisive control. Among some of these holding companies and parent companies which are relatively well known are the UAL Corporation along with the AMR Corporation among a long list of airline holding companies sometime recognized worldwide. Less recognized are the private equity firms which often seize managerial financial and board of directors control of distressed airline companies by temporarily investing large sums of capital in air carriers to rescheme an airlines assets into a profitable organization or liquidating an air carrier of their profitable and worthwhile routes and business operations.



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