Qantas rolled out its first 737 in OFlivery on May 6, ushering in a new era and officially signalling the end of Australian Airlines. A colour spread will appear in our next issue. (Jim Thorn)

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Trans Pacific Air War Goes Critical:

The long simmering trans Pacific air war over Northwest Airlines’ rights to uplift Japanese traffic between Australia and Japan has gone critical with Qantas being threatened with withdrawal of rights for three of its 10 weekly Australia/ LA nonstops.

The move follows US Dept of Transport Secretary Frederico Pena’s response to Australia’s decision to reduce one of North-west’s three weekly frequencies via Osaka due to the inability of that carrier to meet the terms of the air rights agreement originally agreed between Northwest and the Australian government.

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