Jun 16 1976

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Western Union announced that it had signed a 7-yr contract with the Corporation for Public Broadcasting (CPB) for transmission services via the Westar satellite. Duration of the contract was a possible 15 yr. Contingent upon approval by the Federal Communications Commission, Western Union would begin 31 December 1978 to provide CPB with service on 3 full time fully protected transponders for $800 000 per transponder per yr, or $2.4 million annually, permitting CPB to offer national distribution of programs to 165 public-television stations through its manager, the Public Broadcasting Service (PBS). The contract would give CPB an option on a fourth Westar transponder and establish rates for both scheduled and unscheduled service, and anticipated satellite distribution of radio programs to about 170 public radio stations through National Public Radio (NPR). Use of a 3- or 4-channel satellite system would serve many of the Congress's policy goals for public broadcasting, CPB officials said: autonomy of local public stations, increased flexibility in programming, and lower cost of expanding public broadcasting coverage. (Western Union release, 16 June 76)

Dr. John L. McLucas, head of the Federal Aviation Administration, predicted that the U.S. would produce a second-generation supersonic transport, probably in cooperation with the Europeans, as a followup to the Concorde program. Speaking at a luncheon of the Air Force Association and in a subsequent interview with the New York Times, Dr. McLucas said that Congress probably would enact legislation to sharply reduce aircraft noise over the next 6 to 10 yr by modifying and replacing present aircraft. Biggest question would be how much financial help the airlines would get to carry out the plan: McLucas predicted that the airlines would have to settle for loan guarantees rather than outright subsidy. Calling the aviation industry "an endangered species," he said it was threatened by low profits, lack of capital for new equipment, and absence of a national aviation policy; he asked for more cooperation between industry and government, and exploration of joint projects with European partners. "A joint effort to advance ... the design of the next generation SST would be in keeping with this new spirit of international cooperation," he added. Dr. McLucas was secretary of the Air Force until President Ford transferred him to head the FAA. (NYT, 17 June 76,49)

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