Pan American World Airways, Inc.

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Pan American Airbus A310-222.

John Allan

Pan American World Airways, Inc., former American airline that was founded in 1927 and, up until the final two decades of the 20th century, had service to cities in many countries in North and South America, the Caribbean Islands, Europe, Asia, Africa, and the Middle East. From 1984 it was governed by the holding company Pan Am Corporation. From 1986, in financial distress, its routes and services came to be drastically reduced. The company ceased operations on Dec. 4, 1991.

The company was incorporated in 1927 by a former World War I naval aviator, Juan Terry Trippe, who secured a contract to fly mail between Key West, Fla., U.S., and Havana, Cuba. The airline’s first passenger service—between these cities—began the next year. (One of the employee pilots and a surveyor of new routes was Charles A. Lindbergh.) By the end of 1929 Pan American had a 12,000-mile (19,000-kilometre) route linking the United States, Cuba, Haiti, the Dominican Republic, Puerto Rico, Mexico, British Honduras (Belize), Panama, and Colombia. Pan American inaugurated the first transpacific flights (from San Francisco to Manila) in 1936, with the famous China Clipper; the first transatlantic flights (from New York City to Lisbon) in 1939, with the Yankee Clipper, and the first round-the-world flights (from New York to New York eastbound) in 1947. In the immediate post-World War II era, Pan American was perhaps the leading international air carrier. In the mid-1950s it acquired the Boeing Company’s very first jetliner, a B-707, thus leading the way in jet travel.

In the 1960s and ’70s the company suffered financial reverses but sought regrowth by the purchase, in 1980, of National Airlines, thereby securing an extensive network of routes along the eastern U.S. seaboard and points west. National had been formed in 1929, when founder George Theodore Baker (1900–63) began the National Airlines Air Taxi System in Chicago. He moved the company to Florida in 1934, reincorporated it as National Airlines, Inc., in 1937, and made it a major airline in 1944 with the award of the lucrative tourist route between New York and Florida.

Pan American’s system also included Pan Am Express, Inc., with connecting flights in Canada, the United States, and Europe, and the once lucrative Pan Am Shuttle, Inc., with service between Boston, New York City, and Washington, D.C.

The National Airlines purchase in 1980 notwithstanding, Pan American continued in financial distress. In 1986 it had to sell its fast-growing and lucrative Asian and South Pacific routes to United Airlines. In November 1991, still in trouble, it completed the sale of its transatlantic, continental European, Middle Eastern, and Asian routes to Delta Air Lines. The attempts at survival failed. In bankruptcy from January 1991, Pan American went out of business in December 1991.