24 JULY 1959, Page 6

ANOTHER or Lord Douglas's assertions—that 'it just is not true'

that use of older, slower aircraft can bring down fares—should also be refuted. I was talking recently to Ronald Orme of Icelandic Airlines—a company set up after the war, which has stood apart from the herd; it is not a mem-

bet of IATA; it flies DC-4s, a far from new design but generally agreed to be one of the soundest planes ever built; takes a longer route to New York, via Reykjavik, and so is able to undercut its nearest competitor on the transatlantic run by no less than £22. Comfort clearly cannot be of Pullman standard, yet passengers (one class) receive four full meals and free drinks during the seventeen-hour flight. This policy has been rewarded by 'a fantastic expansion of route mileage and traffic figures.' Yet Mr. Orme tells me that Icelandic's applications to operate the pressurised DC-6 have been persistently blocked by the Ministry of Transport, who view the idea of low fares and running costs with suspicion.

PHAROS