Future Prospects

The Company has been authorized by the Civil Aeronautics Board to
provide scheduled helicopter transportation in the greatest metropolitan area
in the world. Our services are responsive to the needs not only of the
15,000,000 residents of this area, but also of the very large volume of traffic
originating elsewhere in the United States and abroad and flowing to or
through New York.

It is anticipated that during 1955 our operations will be extended to
Manhattan Island, thus for the first time providing direct access by certificated
air transportation to the heart of this congested center. In addition, scheduled
passenger operations to northern New Jersey are expected to be inaugurated
within the next several weeks.

Joint fare arrangements are under discusion with the fixed-wing air¬
lines serving New York and Newark. The first such arrangement is now
in effect with Northwest Orient Airlines, under which passengers traveling
between U. S. and foreign points on Northwest's routes, and points on the
Company's routes, are provided with through service for a single fare; thus
marking an important advance in the integration of our services with the
domestic and international air transport network.

To be sure, the immense potential of helicopter service in the New
York metropolitan area will not be realized over night. However, the progress
made to date and, particularly, the high degree of public acceptance and
support which your Company has enjoyed, indicate that while many technical
and economic problems remain for solution, solutions can and will be found.

Finally, I would like to take this opportunity to express my appreciation
of the devoted services performed by our personnel, to whom a large share of
the credit for the Company's accomplishments is justly due.
 

By Order of The Board of Directors
 

President    \^^
 

April  5,  1955