What does the American law say now about the maximum ownership share that a foreigner can have?
Byerly: The maximum ownership share in voting shares of a U.S. carrier is twenty-five percent. Our law also specifically provides that the head of the airline and a certain number, two-thirds or so, or seventy-five percent, of the Board of Directors or officers have to be American citizens. And furthermore, our law provides that actual control of a U.S. carrier must rest with American citizens. Question: Has this always been a national security issue? Or what’s the reasoning for this? Byerly: The law dates back many, many years, I think into the 1930s or so. I don’t want to — I think I would overstep if I suggested what the Congress at that time had in mind. There’s also a matter of interpretation over the years by the Civil Aeronautics Board when it existed. National security plays a significant role. Control of specific aspects of an airline’s operations is important. Realize that when modern aviation began to arise in the form we know it after World War II, countries had their own
