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Encyclopedia of american business history part 5

Eastern Airlines The company, originally Pitcairn Aviation, began in the early 1920s when civil aviation consisted mainly of barnstorming and stunt flying. Founded by Harold Pitcairn, who shocked his wealthy family by announcing his intention of making a business out of airplanes | E Eastern Airlines The company originally Pitcairn Aviation began in the early 1920s when civil aviation consisted mainly of barnstorming and stunt flying. Founded by Harold Pitcairn who shocked his wealthy family by announcing his intention of making a business out of airplanes the young company entered the marketplace as a contract mail carrier. In a surprise move Pitcairn sold the airline in 1930 to Clement Keys who moved the airline s headquarters to Brooklyn New York and changed its name to Eastern Air Transport. As a promotional gimmick 22 women were selected as cabin attendants among them Mildred Aldrin whose nephew Buzz found fame as an astronaut. The company remained relatively healthy throughout the depression years until Keys took an extended trip to Europe. In his absence his business associates diverted funds into the stillplunging stock market leaving Keys to face financial ruin. Keys saved the airline through negotiation in exchange for his resignation. On January 1 1935 a new general manager was named to then called Eastern Air Lines whose name would forever be associated with the company His name was Edward Vernon Rickenbacker. Rickenbacker a World War I flying ace ruled the company with an iron fist for a quarter of a century and left a glittering record of 26 consecutive years of profit to his successors. When Rickenbacker turned over the leadership of Eastern to Malcolm MacIntyre in 1959 the airline served 128 cities in 27 states encompassing almost three-fourths of the American population. MacIntyre was an accomplished lawyer but had virtually no experience in the rough-and-tumble game of running a major airline. When he left office in 1963 Eastern was headed for financial oblivion. MacIntyre will be remembered for two bright spots in the company s history the introduction of the Boeing 727 and the development of the Shuttle. The former became a workhorse of the industry and the latter involved a brilliant customer relations strategy. Shuttle .