View source for Pacific Southwest Airlines

{{Short description|US intrastate airline based in San Diego (1949–1988)}}
{{About|the airline that operated from 1949 to 1988|the current American Airlines regional subsidiary|PSA Airlines|the present day airline based in Dallas, Texas|Southwest Airlines|the now-defunct airline that also used the IATA Code PS|Ukraine International Airlines}}
{{Infobox airline
| airline = Pacific Southwest Airlines
| logo = PSA Airlines Logo.svg
| logo_size = 220
| image = Boeing 727-214, Pacific Southwest Airlines (PSA) JP5964380.jpg
| caption = A [[Boeing 727-200]] of PSA
| alt = 
| IATA = PS
| ICAO = PSA
| callsign = PSA
| founded = {{start date|1949|05|06}} in [[San Diego, California]]
| commenced = {{start date|1949|05|06}}<ref name="magic">{{Cite web|url=https://archive.org/details/scan_robert.adams_2022-01-20-12-32-45|title=Low Fare Magic : The Twenty-year Success Story of Pacific Southwest Airlines|date=August 25, 1969|via=Internet Archive}}</ref>
| ceased = {{end date|1988|04|09}}<br />{{small|(merged into [[US Airways|USAir]])}}
| aoc = 
| bases = 
| hubs = {{ubl|class=nowrap
  | [[Los Angeles International Airport|Los Angeles]]
  | [[San Diego International Airport|San Diego]]
  | [[San Francisco International Airport|San Francisco]]}}
| secondary_hubs = 
| focus_cities = 
| frequent_flyer = 
| alliance = 
| subsidiaries = 
| fleet_size = 
| destinations = 
| parent = {{ubl|class=nowrap
  | PSA, Inc. {{small|(1973–1986)}}
  | PS Group, Inc. {{small|(1986–1987)}}
  | [[US Airways Group]] {{small|(1987–1988)}}}}
| headquarters = [[San Diego, California|San Diego]], [[California]], [[United States]]
| key_people = [[Kenny Friedkin]]<br />J. Floyd Andrews
| website = 
}}

'''Pacific Southwest Airlines''' ('''PSA''') was a [[low-cost airline]] in the [[United States]] headquartered in [[San Diego, California]], that operated from 1949 to 1988. It was the first substantial scheduled [[low-cost carrier|discount airline]]. PSA called itself "The World's Friendliest Airline" and painted a smile on the nose of its airplanes, the ''PSA Grinningbirds''.<ref name=spodv>{{cite news |url=https://news.google.com/newspapers?id=XdURAAAAIBAJ&pg=5228%2C52144 |work=Spokesman-Review |location=Spokane, Washington |agency=(advertisement) |title=PSA |date=June 1, 1983 |page=A9}}</ref> The ''[[Los Angeles Times]]'' called PSA  "practically the unofficial [[flag carrier]] airline of California for almost forty years."<ref>"[http://opinion.latimes.com/opinionla/2009/03/southwest-airli.html Southwest Airlines has a flashback – emphasis flash]." ''[[Los Angeles Times]]''. March 3, 2009. Retrieved on February 18, 2010.</ref>

For three quarters of its existence, PSA operated as a California [[intrastate airline]]. PSA's early success as an intrastate airline served as a model for [[Southwest Airlines]], which did in Texas what PSA had done in California.<ref>[https://www.youtube.com/watch?v=7b9BBa_X5aI&t=1m42s Voices of San Antonio: Herb Kelleher] (Dec 2017 interview, published to YouTube on Mar 29, 2018)</ref> After the [[Airline Deregulation Act]] of 1978, PSA expanded to cities in other US western states and Mexico. However, PSA's performance in the new deregulated era was disappointing relative to that of Southwest and PSA's former fellow California intrastate carrier [[AirCal]].

In 1986, [[US Airways|USAir]] agreed to purchase PSA, the transaction closed in 1987 and PSA was integrated into USAir in 1988. The PSA acquisition gave USAir a network on the West Coast, but by 1991 USAir had largely withdrawn from California in the face of fierce fare wars driven, in significant part, by the spread of Southwest. Today's [[American Airlines Group]] continues to protect the PSA trademark by using it as a name for a regional airline subsidiary, [[PSA Airlines]]. PSA did not survive for long after deregulation, but its influence lives on through the continued success of Southwest.

==History==
[[File:PSA1953.jpg|right|thumb|PSA 1953 logo]]
===Startup, early competition===
PSA started as an offshoot of San Diego–based Friedkin Aeronautics, the flight school Kenny Friedkin started to train returning [[G.I.|GI]]s. When GI business dried up, on May 6, 1949, Friedkin started flying  once a week from San Diego to [[Oakland, California|Oakland]] via [[Burbank, California|Burbank]] with a $1,000-a-month leased [[Douglas DC-3]]. Friedkin obtained information from a travel agent upon starting the airline due to lessons learned from a failed precursor airline ([[Friedkin Airlines]]).<ref>;Trinkle, Kevin, [http://www.psa-history.org/articles/hist.html PSA History] {{webarchive|url=https://web.archive.org/web/20081219150521/http://www.psa-history.org/articles/hist.html |date=2008-12-19 }}. Retrieved June 2, 2011</ref> Reservations were initially taken at a World War II surplus latrine refitted as a ticket office. The original fare from Burbank to Oakland was $9.99. In July 1951 PSA added a flight to [[San Francisco]]. Oakland was dropped in 1954, but restored to the system in 1965. DC-3s went in and out of the fleet, but the total number was never more than four.<ref name="magic"/>

PSA was one of eight California intrastate carriers that started flying in the 13 month period from January 1949 through January 1950 - but only [[California Central Airlines]] (CCA) and PSA lasted longer than a year.<ref name="Hearing">{{cite report|url=https://books.google.com/books?id=SZcqAAAAMAAJ|title=Aviation Regulatory Reform: (Part I) Hearings before the Subcommittee on Aviation of the Committee on Public Works and Transportation, House of Representatives, Ninety-Fifth Congress, First Session on H.R. 8813 (Introduced August 13, 1977)|publisher=U.S. Government Printing Office|location=Washington, DC|year=1977|page=671|ref={{sfnref|Hearings|1977}}}}</ref> CCA started in January 1949 and through its demise in February 1955 was larger, and flew better equipment ([[Martin 2-0-2]]s) than PSA. But CCA was not as focused as PSA (which stuck just to the San Diego to Bay Area route) and ultimately went bankrupt. PSA bid on CCA in the bankruptcy auction, but lost to a group composed of [[Allegheny Airlines]] and [[Southwest Airways]] (no relation to today's [[Southwest Airlines]]) which shut CCA immediately, leaving PSA as the only intrastate competitor.<ref>{{Cite news|url=https://www.newspapers.com/image/386291099|title=Finn Twins Try to Buy Airlines at Auction Sale | date=February 2, 1955 |  page=2 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref><ref>{{Cite news|url=https://www.newspapers.com/image/458509105|title=Airlines Sell for $800,000 | date=February 15, 1955 | page=27 | newspaper=The San Francisco Examiner | via=Newspapers.com}}</ref><ref>{{Cite news|url=https://www.newspapers.com/image/693828419|title=Econoscope | date=February 24, 1955 | page=42 | newspaper=Los Angeles Mirror | via=Newspapers.com}}</ref>

{{Table alignment}}
{|class="wikitable plain-row-headers defaultright"
|+ California Central Airlines and Pacific Southwest Airlines annual passengers, 1949–1954
! scope="row" style=text-align:left | Passengers !! 1949 !! 1950 !! 1951 !! 1952 !! 1953 !! 1954
|-
! scope="row" style=text-align:left | California Central Airlines
|73,487<ref name="Fare">{{Cite news|url=https://www.newspapers.com/image/683775480|title=Flying Fare | date=January 5, 1951 | page=11 | newspaper=Los Angeles Evening Citizen News | via=Newspapers.com}}</ref>||93,045<ref name="Fare"/>||145,101<ref>{{Cite news|url=https://www.newspapers.com/image/245479359|title=Airline Reports New Traffic Record | date=January 3, 1952 | page=17 | newspaper=Oakland Tribune | via=newspapers.com}}</ref>||190,187<ref>{{Cite web|url=https://www.newspapers.com/image/277425592|title=Intra-State Airline Sets Traffic Record | date=January 21, 1953 | page=22 | newspaper=Oakland Tribune | via=Newspapers.com}}</ref>||148,091<ref name="T1954"/>||162,012<ref name="T1954">{{Cite web|url=https://www.newspapers.com/image/580666814|title=L.A.-to-Oakland Air Service Gains | date=January 10, 1955 | page=5 | newspaper=Valley Times | via=Newspapers.com}}</ref>  
|-
! scope="row" style=text-align:left |Pacific Southwest Airlines<ref>{{Cite web|url=https://www.psa-history.org/memorabilia/history_by_year/index.html|title=History By Year|first=Kevin|last=Trinkle|website=www.psa-history.org}}</ref>
|15,011||45,390||75,995||92,484||115,028||102,124
|}

===Better aircraft, expansion===
[[File:PSA Electra, circa 1960s.jpg|thumb|[[Lockheed L-188 Electra]] of PSA around 1959]]
[[File:Lockheed L188C N376PS (4974613794).jpg|thumb|[[San Francisco International Airport|San Francisco]] 1963]]
In 1955, four [[Douglas DC-4]]s replaced the DC-3s,<ref>{{cite report|url=https://hdl.handle.net/2027/uc1.c101364329|title=California Legislature, Transcript of Proceedings: Intrastate Carriers in California Aviation|year=1964|page=1|hdl=2027/uc1.c101364329 |ref={{sfnref|Transcript|1964}}}}</ref> with PSA painting rectangles around the windows to make them resemble the more modern [[Douglas DC-6]].

In January 1958, PSA scheduled 37 DC-4s a week Burbank to San Francisco (29 of which originated in San Diego) and four nonstops San Diego to San Francisco; [[United Airlines]], [[Western Airlines]] and [[TWA]] then scheduled a total of 241 nonstop flights each week from Los Angeles to San Francisco, plus 49 flights a week from Burbank to San Francisco. About half of these flights by the competition were First Class only ($22.05); the rest carried coach passengers for $13.50, all fares subject to then 5% federal excise tax.<ref>{{cite journal |last=Henry|first=Eric|date=Winter 2003–2004|title=Excise Taxes and the Airport and Airway Trust Fund, 1970-2002|journal=Internal Revenue Service, Statistics of Income Bulletin|location=Washington DC|url=https://hdl.handle.net/2027/uc1.32106012393499|volume=23|issue=3|pages=44–51|hdl=2027/uc1.32106012393499 |access-date=March 25, 2024}}</ref> In July 1958 PSA shifted some flights from Burbank to [[Los Angeles International Airport]] (LAX); that year it carried 296,000 passengers.

In late 1959, PSA began flying [[Lockheed L-188 Electra|Lockheed Electra]] [[turboprop]]s<ref>''Airlift'' December 1959</ref> with 92 seats and a six-seat lounge, replacing 70-seat DC-4s. In 1963 PSA got its sixth Electra; by then it carried more passengers between the Bay Area and Los Angeles than any other airline. Total PSA passengers climbed from 355,000 in 1959 to 1,305,000 in 1963 and 5,162,000 in 1970.<ref>''Aviation Week'' 20 January 1964, 22 February 1971</ref>

===Public company===
On March 16, 1962, founder Kenny Friedkin, only 47 years old, died of a [[cerebral hemorrhage]]. He had lived to see his airline become a success, but it was still tiny, with only five aircraft. J. Floyd Andrews, one of Friedkin's fellow founders, took over.<ref>{{Cite news|url=https://www.newspapers.com/image/381420263|title=K. G. Friedkin, President of Airline, Dies | date=March 18, 1962 |page=33 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref><ref>{{Cite news|url=https://www.newspapers.com/image/1111341|title=Andrews Elected | date=April 10, 1962 | page=4 | newspaper=Redlands Daily Facts | via=Newspapers.com}}</ref> Andrews's era was tumultuous, PSA achieving a high national profile. This was the era of hot-pant clad flight attendants on pink-liveried aircraft, a classic image of California in the late 1960s and early 1970s. As discussed below, PSA became utterly dominant in the intra-California market, but also overreached to the point it almost went bankrupt.

Less than a year later, PSA went public, with a February 14, 1963, [[initial public offering]], 313,000 shares (100,000 of them [[primary shares|primary]]) at $19.<ref>{{Cite web|url=https://www.newspapers.com/image/382092044|title=Offering tombstone in | date=February 14, 1963 |page=47 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> Preparations had been underway for some time. PSA had an unusual corporate structure, with its aircraft owned through three companies owned by founders (Friedkin and others). In January 1962, these were merged into PSA.<ref>{{Cite web|url=https://sandiegoairandspace.org/files/PSA-Collection-FG-SC.10201_1.pdf|title=''Descriptive Finding Guide for Pacific Southwest Airlines Collection'', San Diego Air and Space Museum, March 2, 2018}}</ref> Prospectus facts that caught the eye of one observer included:<ref>{{Cite web|url=https://www.newspapers.com/image/458545531|title=Big Guys Don't Always Win | date=January 15, 1963 | page=50 | newspaper=The San Francisco Examiner | via=Newspapers.com}}</ref>
* With only five 98-seat Electras, PSA nonetheless had the second-highest passenger marketshare in San Francisco, and the fifth largest in Los Angeles.
* Speedy 20 minute aircraft turnarounds and no-frills service.
* Nine months profit to September 30, 1962, of over $1 million (at a time when the Los Angeles to San Francisco fare was just $13.50)
* 937,000 passengers carried between San Francisco and Los Angeles in 11 months ending November 30, 1962, compared to 642,000 in the same period the prior year.

{{Table alignment}}
{|class="wikitable plain-row-headers defaultright"
|+ Pacific Southwest Airlines Financial Results, 1955 thru 1965<ref>{{cite book|last=Jordan |first= William A.|title=Airline Regulation in America: Effects and Imperfections|date=1970|publisher=Johns Hopkins Press|location=Baltimore |pages=336–338|isbn=0801810620}}</ref>
! (USD 000) !! 1955 !! 1956 !! 1957 !! 1958 !! 1959 !! 1960 !! 1961 !! 1962 !! 1963 !! 1964 !! 1965
|-
! Op revenue
| 1,588 || 2,265 || 3,126 || 3,930 || 4,776 || 8,130 || 10,300 || 14,205 || 17,852 || 20,773 || 24,015
|-
! Op profit
| 64 || 120 || 399 || 663 || 909 || 21 || 1,127 || 3,402 || 4,952 || 5,946 || 4,410
|-
! Net profit
| 244 || 59 || 197 || 322 || 456 || 0 || 310 || 1,369 || 2,252 || 2,946 || 2,035
|-
! Op margin
| 4.1% || 5.3% || 12.8% || 16.9% || 19.0% || 0.3% || 10.9% || 23.9% ||27.7% || 28.6% || 18.4%
|-
! Net margin
| 15.4% || 2.6% || 6.3% || 8.2% || 9.5% || 0.0% || 3.0% || 9.6% || 12.6% || 14.2% || 8.5%
|}

=== CPUC era, 1965–1978 ===
Until 1965, as an intrastate airline PSA had a free hand in terms of how and where it flew within California. The [[California Public Utilities Commission]] (CPUC) was limited to regulating PSA's prices. So long as PSA stayed within the boundaries of an intrastate airline, the federal [[Civil Aeronautics Board]] (CAB), which otherwise tightly regulated US airlines, had no say, though as with any US airline, the [[Federal Aviation Administration]] (FAA) operationally regulated PSA. As of September 17, 1965, the CPUC had new powers over California intrastate airlines of economic certification (PSA was grandfathered) route entry/exit and service quality (e.g. frequency).<ref>{{cite journal |last=La Mond|first=Annette M.|date=Autumn 1976|title=An Evaluation of Intrastate Airline Regulation in California|url=https://www.jstor.org/stable/3003277|journal=The Bell Journal of Economics|volume=7|issue=2|pages=641–657|doi=10.2307/3003277 |jstor=3003277 |access-date=March 2, 2024|url-access=subscription}}</ref><ref>{{cite report|title=Decisions of the Public Utilities Commission of the State of California|volume=66|pages=537–545|year=1966|hdl=2027/uc1.b3274574 |url=https://hdl.handle.net/2027/uc1.b3274574}}</ref>

PSA was in favor of this.{{sfn|Transcript|1964|p=6}} In the early 1960s, a number of new entrant California intrastate carriers had come and gone, the most notorious being [[Paradise Airlines]], which had a terrible accident in 1964. PSA believed it would benefit from market stability,{{sfn|Hearings|1977|p=670}} but observers predicted that over time the CPUC would become just as restrictive as the CAB,<ref>{{cite journal|last=Levine|first=Michael E.|author-link=Michael E. Levine|title=Is Regulation Necessary? California Air Transportation and National Regulatory Policy|journal=Yale Law Journal|volume=74|number=8|date=July 1965|pages=1416–1447|doi=10.2307/794731 |jstor=794731 |url=https://openyls.law.yale.edu/handle/20.500.13051/15038}}</ref> which, in fact, happened. From 1965 through US airline deregulation in 1978, the CPUC certified only two intrastate airlines: [[Air California]] and [[Holiday Airlines (US Airline)|Holiday Airlines]].{{sfn|Hearings|1977|p=670}} From September 17, 1965, through 1978, PSA had to apply to the CPUC for all new routes, generally in competition with Air California.

===Air California and lost opportunity===
Despite having total network freedom, PSA evolved its network minimally from 1949 to 1965: it served only five airports: San Diego, LAX, Burbank, San Francisco and Oakland.{{sfn|Hearings|1977|p=676}} In 1965, [[John Wayne Airport|Orange County Airport]] (later John Wayne Airport (SNA)), had a new runway. It approached PSA (among other airlines) about serving it (SNA had long-standing minimal service from [[Bonanza Air Lines]]), and like the others, PSA demurred.<ref name="SNAchrono">{{Cite web|url=https://files.ocair.com/media/2022-09/JWA%20Chronology_0.pdf|title=''John Wayne Airport Chronology: 1923-Present''}}</ref> This was a mistake: 
* The CPUC certificated Air California to bring intrastate air service to [[Orange County, California|Orange County]], and the airport became a big deal. The County was the fastest growing in the nation in the 1960s, population increasing from 700K in 1960 to 1.4mm in 1970.<ref name="TIME">{{Cite magazine|url=https://content.time.com/time/subscriber/article/0,33009,843909,00.html|title=Airlines: Competing with the Freeways|magazine=Time |date=June 9, 1967|via=content.time.com}}</ref> There was a lot of demand for Orange County service.
* Having certificated Air California, the CPUC was open about its desire that Air California survive,<ref>{{cite report|title=Decisions of the Public Utilities Commission of the State of California|volume=70|page=91|year=1969|hdl=2027/uc1.b3274578 |url=https://hdl.handle.net/2027/uc1.b3274578}}</ref> so it kept PSA out of Orange County, gave other desirable routes to Air California and otherwise took steps to protect it. The CPUC assigned routes to PSA or Air California but rarely both. Despite a rocky first five years, Air California survived and the CPUC ensured minimal competition between it and PSA.<ref>{{cite journal |last=La Mond|first=Annette M.|date=Autumn 1976|title=An Evaluation of Intrastate Airline Regulation in California|url=https://www.jstor.org/stable/3003277|journal=The Bell Journal of Economics|volume=7|issue=2|page=644|doi=10.2307/3003277 |jstor=3003277 |access-date=March 2, 2024|url-access=subscription}}</ref> 

PSA tried to buy Air California twice:
* In December 1969, an ailing Air California agreed to a merger, but the CPUC was slow to approve. In May 1970, PSA withdrew, citing the slow CPUC, and almost immediately thereafter, San Diego tycoon [[C. Arnholt Smith]] took control of Air California through his [[Westgate-California Corporation]] (WCC).<ref>{{Cite news|url=https://www.newspapers.com/image/165693463|title=Air California Now Talking Deal with San Diego Company | date=May 28, 1970 | page=70 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref>
* In mid 1972, PSA agreed to buy WCC's majority stake in Air California. Against heavy opposition, the CPUC agreed to the merger when WCC said it would no longer fund Air California losses.<ref>{{Cite news|url=https://www.newspapers.com/image/386285363|title=Westgate Refuses to Prop Up Airline Further, PUC Told | date=September 29, 1972 | page=59 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref><ref>{{Cite news|url=https://www.newspapers.com/image/385361883/|title=PUC Votes Approval of PSA's Purchase of Air California | date=February 24, 1973 | page=46 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> However, the [[United States Department of Justice|US Department of Justice]] sued to prevent the merger, noting PSA had a 70% intra California market share and Air California had an 11% share.<ref>{{Cite web|url=https://www.justice.gov/atr/case/us-v-pacific-southwest-airlines-inc-and-westgate-california-corp|title=Antitrust Division &#124; U.S. v. Pacific Southwest Airlines Inc. and Westgate-California Corp. &#124; United States Department of Justice|date=January 26, 2022|website=www.justice.gov}}</ref> By now a year had passed. PSA withdrew from the merger<ref>{{Cite news|url=https://www.newspapers.com/image/381871026|title=PSA and Air California Merger Plan Dropped | date=July 6, 1973 | page=45 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> after Air California auditors withdrew certification of 1971 and 1972 financial statements,<ref>{{Cite web|url=https://www.sec.gov/news/digest/1973/dig051473.pdf|title=SEC News Digest, May 14, 1973}}</ref> one of the first steps in a scandal that enveloped C. Arnholt Smith including the [[United States National Bank of San Diego|1973 seizure of his bank]], the largest in San Diego, and the [[Westgate-California Corporation#Collapse|1974 bankruptcy of WCC]].

=== 1960s–1970s fleet ===
[[File:Passengers queue to board airplane in rainy weather, 1971.jpg|thumb|right|[[Boeing 727-200]] in 1971]]
[[File:PSA Lockheed L-188C Electra N171PS at TVL South Lake Tahoe 1977.jpg|thumb|[[Lockheed L-188 Electra|Electra]] [[South Lake Tahoe Airport|South Lake Tahoe]] 1977]]
PSA’s fleet changed constantly in the 1960s and 1970s. The 1960s started with Electras, then Boeing 727-100s arrived in 1965, PSA's first pure jet.<ref>{{Cite news|url=https://www.newspapers.com/image/458566255|title=PSA Buys 5 Jets for $.5 million | date=June 30, 1964 | page=18 | newspaper=The San Francisco Examiner | via=Newspapers.com}}</ref> The last Electra flight was September 1968 <ref>{{Cite news|url=https://www.newspapers.com/image/477738692|title=PSA Goes 'All-Jet' On Sunday | date=September 6, 1968 |page=33 | newspaper=Oakland Tribune | via=Newspapers.com}}</ref> By 1969, PSA was swapping out 727-100s and replacing them with bigger 727-200s plus 737-200s.<ref>{{Cite news|url=https://www.newspapers.com/image/383018635|title=Japan To Lease 2 PSA Planes | date=February 9, 1969 | page=108 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> At the beginning of 1970, the fleet comprised one 727-100, 16 727-200s and nine 737s.<ref name="Reader"/> In the late 1960s PSA also briefly had DC-9s, the justification was to train pilots of other airlines.<ref>{{Cite news|url=https://www.newspapers.com/image/74322765|title=Airline Buys Jets To Train Other Pilots | date=November 8, 1965 | page=34 | newspaper=Daily Independent Journal | via=Newspapers.com}}</ref> As discussed below, the L-1011s made a brief appearance in 1974-1975, but by then PSA was shedding the 737s; the last left in the fleet in 1976.<ref>{{Cite news|url=https://www.newspapers.com/image/620671586|title=PSA Notes Turnabout | date=July 28, 1976 | page=39 | newspaper=The Sacramento Bee | via=Newspapers.com}}</ref> In 1975, Lockheed Electras returned to support flights to Tahoe (see below). Other than the Electras (required to operate to Tahoe), PSA settled on 727s in the late 1970s, acquiring used 727-100s as well as additional new 727-200s.<ref>{{Cite web|url=https://www.newspapers.com/image/384009038|title=Pacific Southwest Airlines will buy seven Boeing planes | date=February 7, 1977 | page=34 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> 

PSA entered Tahoe after Holiday Airlines collapsed. Holiday basically served nowhere other than Tahoe, a choice [[Holiday Airlines (US airline)#Non-economic|that sealed its fate]]. PSA applied to the CPUC for Holiday's routes in 1974<ref>{{Cite news|url=https://www.newspapers.com/image/61256090|title=PSA Seeking Tahoe Routes | date=September 24, 1974 | page=6 | newspaper=Santa Cruz Sentinel | via=Newspapers.com}}</ref> Holiday said it couldn’t afford to defend itself in front of the CPUC and went out of business in February 1975.<ref>{{Cite news|url=https://www.newspapers.com/image/798090069|title=Airline Drops Redding Plan | date=January 8, 1975 | page=17 | newspaper=Record Searchlight | via=Newspapers.com}}</ref><ref>{{Cite web|url=https://www.newspapers.com/image/620651138/|title=Pacific Southwest Airlines will buy seven Boeing planes | date=February 7, 1975 | page=3 | newspaper=The Sacramento Bee | via=Newspapers.com}}</ref> The CPUC split the Tahoe routes between Air California and PSA on an emergency basis, but required the two carriers use Electras for Tahoe.<ref>{{Cite news|url=https://www.newspapers.com/image/251927125|title=Airlines To Serve Tahoe Area | date=February 20, 1975 | page=12 | newspaper=Petaluma Argus-Courier | via=Newspapers.com}}</ref> One of PSA's first actions of the deregulated era (which started January 1, 1979) was to exit Tahoe, citing the high cost of Electras in a fleet that otherwise comprised 31 727s.<ref>{{Cite news|url=https://www.newspapers.com/image/384941243/|title=PSA will suspend service to Monterey, South Tahoe | date=January 25, 1979 | page=53 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref><ref>{{Cite news|url=https://www.newspapers.com/image/620985749|title=PSA Will Halt Service To Lake Tahoe | date=January 25, 1979 | page=4 | newspaper=The Sacramento Bee | via=Newspapers.com}}</ref>

In 1967 PSA was finally allowed to use offshore airway V25 to San Diego, despite being an intrastate airline.<ref>''Aviation Week'' 10 Apr 1967 p43, 17 July 1967 p47</ref>

===Attempted Western Air Lines merger===
An early indication that, for J. Floyd Andrews, PSA was not enough came in December 1968 with an audacious bid for [[Western Air Lines]], then under attack by [[Kirk Kerkorian]]. Western was four times the revenue of PSA, and as an interstate carrier, regulated by the CAB. It was unclear how this would work, putting together two airlines with different regulators, whether CAB approval would be forthcoming.<ref>{{Cite news|url=https://www.newspapers.com/image/383103516/|title=Small Firms and Big Men Tangle Over 2 Airlines | date=December 16, 1968 | page=59 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> PSA pulled the bid in April 1969, citing deteriorating Western results. By that time, Kerkorian was, while not a majority owner of Western, difficult to dislodge, controlling nine out of 21 seats on the board.<ref>{{Cite news|url=https://www.newspapers.com/image/383091310|title=PSA Abandons Tender For Western Air Lines | date=April 26, 1969 | page=38 | newspaper=The Los Angeles Times  | via=Newspapers.com}}</ref> As outlined in a section below, PSA instead pursued a non-airline acquisition strategy.

===Southwest Airlines===
[[Southwest Airlines]] was founded in 1967, but grueling legal challenges caused its operational start to be delayed until June 1971. Founder [[Rollin King]] took inspiration from PSA. Founding president [[Lamar Muse]] was open about the debt to PSA, saying "we don't mind being copycats of an operation like that", including hotpants.<ref>{{Cite news|url=https://www.newspapers.com/image/625329891|title=Sex Appeal Pays Off For Bold Texas Airline | date=September 12, 1971 | page=211 | newspaper=The Miami Herald | via=Newspapers.com}}</ref> PSA hosted King and Muse for a four day visit in 1971 and gave them a copy of PSA's FAA operating manuals, from which Southwest created its own in what Muse said was "primarily a copy-and-paste procedure".<ref>{{cite book |last=Muse |first=Lamar |author-link=Lamar Muse |date=2002 |title=Southwest Passage |publisher=Eakin Press |page=84 |isbn=1571687394}}</ref> PSA helping Southwest made sense in 1971, with each airline strictly limited to flying within its state and seemingly no prospect of that ever changing. Mutual admiration was expressed monetarily: in 1978, Southwest management and directors owned 6% of PSA, while PSA directors and management owned 10% of Southwest.<ref>{{Cite news|url=https://www.newspapers.com/image/568814285|title=PSA stock flying high | date=February 23, 1978 | page=17 | newspaper=Daily Times-Advocate | via=Newspapers.com}}</ref>

===Laid low by diversification and widebodies===
[[File:Pacific Southwest Airlines B-737 N379PS.jpg|thumb|300px|[[Boeing 737#737-200|Boeing 737-200]] with the “smiling” livery in 1974]]
In July 1968, PSA bought rental car company Valcar, a former [[Hertz Global Holdings|Hertz]] subsidiary with a west-coast presence.<ref>{{Cite web|url=https://www.nytimes.com/1964/03/06/archives/hertz-forms-new-unit-to-meet-budget-carrental-competition.html|title=''Hertz Forms New Unit to Meet Budget Car-Rental Competition'', New York Times, March 6, 1964 |website=[[The New York Times]] |date=6 March 1964 }}</ref><ref>{{Cite news|url=https://www.newspapers.com/image/382454216|title=L.A. Group Buys Hertz's Valcar | date=December 10, 1967 | page=142 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> Like PSA, Valcar had a budget orientation, but PSA couldn't make it work and shut it down in 1971, after failing to sell it.<ref>{{Cite news|url=https://www.newspapers.com/image/385477100|title=Pacific Southwest Airlines plans to sell its rent-a-car operation | date=September 21, 1971 | page=37 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref><ref>{{Cite web|url=https://www.newspapers.com/image/385564983|title=PSA's Valcar Subsidiary to Die on Oct 15 | date=October 7, 1971 | page=68 | newspaper=The Los Angeles Times |via=Newspapers.com}}</ref>

In April 1969, PSA bought the [[Hotel Whitcomb|San Franciscan Hotel]] in downtown San Francisco.<ref>{{Cite web|url=https://www.newspapers.com/image/460168436|title=PSA buys Hotel San Franciscan | date=April 17, 1969 | page=12 | newspaper=The San Francisco Examiner | via=Newspapers.com}}</ref> In June, PSA bought the Islandia in San Diego's [[Mission Bay (San Diego)|Mission Bay]].<ref>{{Cite news|url=https://www.newspapers.com/image/383077546|title=PSA Buys $5 Million Bay Hotel | date=June 19, 1969 |page=70 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> In June 1971, PSA committed to a to-be constructed hotel at the Los Angeles [[Hollywood Park Racetrack]] (now the site of [[SoFi Stadium]]),<ref>{{Cite news|url=https://www.newspapers.com/image/385355177|title=PSA to Lease, Run Hollywood Turf Club Hotel | date=June 20, 1971 | page=107 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> and in December 1971, committed to a to-be constructed hotel within the [[RMS Queen Mary|Queen Mary]] attraction in [[Long Beach, California|Long Beach]]<ref>{{Cite web|url=https://www.newspapers.com/image/385382507|title=$4 Million Hotel to Be Developed on Queen Mary | date=December 14, 1971 | page=3 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> The synergies were not obvious. None of the hotels were located at airports, none of them were value-oriented. In 1973, CEO Andrews called the hotels "a complete flop"<ref>{{Cite news|url=https://www.newspapers.com/image/620256000|title=Success-Inspired Chief Of PSA Considers Going National | date=October 9, 1973 | page=15 | newspaper=The Sacramento Bee | via=Newspapers.com}}</ref> and in 1974 gave three of them to [[Hyatt]] to run.<ref>{{Cite news|url=https://www.newspapers.com/image/706701795|title=Hotel QM now under control of Hyatt chain | date=February 28, 1974 | page=7 | newspaper=Press-Telegram | via=Newspapers.com}}</ref> It took years for PSA to extricate itself. In 1979, PSA finally sold the San Franciscan but had yet to sell the Queen Mary hotel.<ref>{{Cite news|url=https://www.newspapers.com/image/62640587|title=Queen Mary Hotel is For Sale | date=March 7, 1979 | page=17 | newspaper=Santa Cruz Sentinel | via=Newspapers.com}}</ref>

In August 1970, PSA started buying radio stations.<ref>{{Cite news|url=https://www.newspapers.com/image/460433959|title=PSA Getting Into Radio Broadcasting | date=August 12, 1970 | page=61 | newspaper=The San Francisco Examiner | via=Newspapers.com}}</ref> By 1975, its four stations were for sale.<ref name="Survival">{{Cite news|url=https://www.newspapers.com/image/620631952|title=Grins on PSA's 'Birds' Hide Deep Worries Over Survival | date=May 29, 1975 | page=23 | newspaper=The Sacramento Bee | via=Newspapers.com}}</ref> PSA also bought a [[catamaran]].<ref>{{Cite news|url=https://www.newspapers.com/image/706421587|title=An island in the sky | date=November 26, 1972 | page=86 | newspaper=Press-Telegram | via=Newspapers.com}}</ref> In 1973, PSA created a holding company, "PSA, Inc." for the airline and many non-airline subsidiaries.<ref>{{Cite news|url=https://www.newspapers.com/image/747694614|title=Holding Company Formed | date=March 5, 1973 | page=9 | newspaper=The Palm Springs Desert Sun | via=Newspapers.com}}</ref>

[[Image:Pacific Southwest Airlines L-1011 N1079.jpg|thumb|[[Lockheed L-1011]] pre-delivery]]
In late summer 1970, PSA ordered five [[Lockheed L-1011]] widebody aircraft, deliveries starting 1972.<ref>{{Cite news|url=https://www.newspapers.com/image/384780320|title=PSA Selects L-1011, Giving a Boost to Lockheed Airbus | date=September 1, 1970 | page=38 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> In the next 12 months, the L-1011 engine maker, Rolls-Royce, [[Rolls Royce Limited#RB211—the 1971 receivership and nationalisation|went bankrupt]], and Lockheed [[Lockheed Corporation#Loan guarantee|required a US government bailout]] to avoid the same. In December 1971, PSA cancelled the order, but Lockheed said it couldn't.<ref>{{Cite news|url=https://www.newspapers.com/image/547320593|title=TriStars Dropped By PSA | date=December 27, 1971 | page=13 | newspaper=Oakland Tribune | via=Newspapers.com}}</ref> In September 1972, PSA signed a new order, deliveries starting 1974.<ref>{{Cite news|url=https://www.newspapers.com/image/386053050|title=PSA Changes Plan Again; Orders Five Lockheed L-1011s | date=September 7, 1972 | page=70 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> PSA grounded its two L-1011s after eight months.<ref>{{Cite news|url=https://www.newspapers.com/image/706709750|title=PSA gets 1st of 5 jumbo jetliners | date=July 4, 1974 | page=34 | newspaper=Press-Telegram | via=Newspapers.com}}</ref><ref>{{Cite news|url=https://www.newspapers.com/image/620634795|title=Sales Slump Idles PSA's Two TriStars | date=March 7, 1975 | page=63 | newspaper=The Sacramento Bee | via=Newspapers.com}}</ref> A 300 seat aircraft never made sense in a business model that depended on quick aircraft turnarounds. Economics presented to the CPUC showed L-1011 per-seat costs no better than a 727 despite being twice as large. PSA refused the last three aircraft and was stuck paying a 15-year lease on the first two.<ref name="CPUC75"/> It entered into years of litigation with Lockheed.<ref name="Reader">{{Cite web|url=https://www.sandiegoreader.com/news/1980/oct/30/cover-tales-of-an-airline/|title=How PSA grew with San Diego &#124; San Diego Reader|website=www.sandiegoreader.com}}</ref>

By 1975, losses from diversification and L-1011s brought PSA to the brink of bankruptcy. Operating losses on rental cars, radio stations and hotels through 1974 (not including cost of acquisition) were almost $9M.<ref name="Survival"/> Through 1977, PSA lost another $1M on discontinued businesses and recognized $18mm in L-1011 losses.<ref>{{Cite web|url=https://www.departedflights.com/PS77reportp14.html|title=PS77reportp14|website=www.departedflights.com}}</ref>  In 1982, PSA took another $4.2M loss against its two L-1011s, still unable to find a home for them.<ref>{{Cite web|url=https://www.departedflights.com/PS82reportp4.html|title=PS82reportp4|website=www.departedflights.com}}</ref> PSA's troubles attracted national attention.<ref>{{Cite web|url=https://www.nytimes.com/1975/07/13/archives/a-fallen-model-for-deregulation-a-fallen-model-for-deregulation.html|title=''A Fallen Model For Deregulation'', New York Times, July 13, 1975 |website=[[The New York Times]] |date=13 July 1975 }}</ref> PSA went to the CPUC asking for a fare increase to bail them out. The CPUC excoriated PSA, questioning management competency at length and especially withering about a 1974 $8mm share buyback.<ref name="CPUC75">{{cite report|title=Decisions of the Public Utilities Commission of the State of California|volume=78|pages=417–442|year=1975|hdl=2027/uc1.b3274586 |url=https://hdl.handle.net/2027/uc1.b3274586|ref={{sfnref|Decisions|1975}}}}</ref> In March 1976, J. Floyd Andrews gave up the CEO position, and in May, resigned as chair of the board.<ref name="NewChief">{{Cite news|url=https://www.newspapers.com/image/383359647/|title=New Chief Sets Course to Give PSA a Lift | date=May 16, 1976 | page=128 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref>

===Getting out from under the CPUC===
As airline deregulation was being debated, for most of the country, it promised lower prices. But California already had lower prices, set by the CPUC. By comparison, in Texas, Southwest Airlines set its own fares, the [[Texas Aeronautics Commission]] didn’t get involved.<ref>{{cite thesis |last=Dockrey |first=Christy E. |date=December 1996 |title=Southwest Airlines: A Texas Airline in an Era of Deregulation |url=https://ttu-ir.tdl.org/items/65c8cfe1-1221-41ed-be48-7e2df3464273/full |degree=Master of Arts |publisher=Texas Tech University |page=14}}</ref> The concern (and expectation) was deregulation would lead to higher prices. California legislators and governor [[Jerry Brown]] wanted the CPUC to remain in charge of any airline that did over 50% of its business in California. This amendment was voted down in the relevant [[United States House of Representatives|US House of Representatives]] subcommittee by one vote.<ref>{{Cite web|url=https://www.newspapers.com/image/384317484/|title=California May Lose Bargain Air Fares | date=March 16, 1978 | page=65 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> Instead, deregulation as passed included strong [[Federal preemption]] – states had little say over an airline with a Federal certificate.
 
By then, the CPUC had become the restrictive bureaucracy observers had predicted when it was given additional powers in 1965, second-guessing (in glacial and burdensome processes that could and did last for years) everything California intrastate carriers did, and even itself, as exemplified in the role the CPUC played in the [[Holiday Airlines (US airline)#Too little, too late, too bureaucratic|1975 demise of Holiday Airlines]]. PSA also played a special role at the CPUC. It was assumed to be the most efficient carrier, therefore CPUC fares were set relative to what would make the highest permissible profit for PSA – all other carriers operating in California then had to toe that line.{{sfn|Decisions|1975|p=435}} So PSA had ample reason to regret its support of that 1965 legislation. However, under the Airline Deregulation Act, the minute PSA started flying to Nevada in December 1978, it was free of the CPUC.<ref>{{Cite news|url=https://www.newspapers.com/image/620991061|title=PSA Gets Ready To Go Interstate | date=December 7, 1978 | page=63 | newspaper=The Sacramento Bee | via=Newspapers.com}}</ref> The CPUC didn’t take that lying down. The CPUC sued in Federal court to overturn the [[Airline Deregulation Act]], lost, appealed, and lost again.<ref>{{Cite web|url=https://law.justia.com/cases/federal/appellate-courts/F2/644/1334/358796/|title=Hughes Air Corp., Dba Hughes Airwest, the Flying Tiger Line,inc., Delta Air Lines, Inc., American Airlines, Inc., Aircalifornia, Western Air Lines, Inc., United Airlines, Inc.,trans World Airlines, Inc., Continental Air Lines, Inc.,pacific Southwest Airlines, and Pan American World Airways,plaintiffs-appellees,andunited States of America and Civil Aeronautics Board,intervenors-appellees, v. the Public Utilities Commission of the State of California,robert Batinovich, Vernon L. Sturgeon, William Symons, Jr.,richard D. Gravelle, and Claire T. Dedrick, the Members Ofand Constituting Said Public Utilities Commission,defendants-appellants.sierra Flite Service, Inc., Plaintiff-appellee,andunited States of America and Civil Aeronautics Board,intervenors-appellees, v. the Public Utilities Commission of the State of Californiaet al., Defendants-appellants,oregon Public Utility Commission, Intervenor-appellant, 644 F.2d 1334 (9th Cir. 1981)|website=Justia Law}}</ref> 

===Flight 182===
{{main|Pacific Southwest Airlines Flight 182}}

As the regulated era drew to a close, PSA suffered a terrible crash in September 1978 when a 727 collided with a small plane over San Diego, fatal to all on both aircraft and to some on the ground. It was made worse for PSA by:
* The presence of so many [[Deadheading (employee)|deadheading]] employees on the aircraft. 37 PSA employees died out of 135.<ref>[https://airlines.org/wp-content/uploads/2014/08/1979.pdf PSA 1978 employee count contained in Air Transport Association 1979 Annual Report]</ref>
* The fact that San Diego was the company's hometown.
* The culpability of the flight crew. It was responsible for keeping track of the small aircraft, but lost focus.

===Harold Simmons===
1978 wasn't through with PSA yet. At the end of 1978 it transpired corporate raider [[Harold Simmons]] had accumulated a 20% stake. When PSA, appealing to investors, referred to a 30-year history of success, Simmons printed ads summarizing PSA’s far-from-successful 1970s financials and noting 1977 profits were about half those of 1971, despite revenues almost twice as large.<ref>{{Cite news|url=https://www.newspapers.com/image/384541722|title=Harold Simmons advertisement in LA Times | date=November 16, 1978 | page=69 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> But as PSA said, Andrews was gone.<ref>{{Cite news|url=https://www.newspapers.com/image/384556226|title=PSA Says Valhi Letter Is Misleading as Dispute Escalates | date=November 17, 1978 | page=77 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> Simmons evinced no desire to "destroy" PSA, seeing it instead as a takeover candidate from which he could profit.<ref>{{Cite news|url=https://www.newspapers.com/image/384934482|title='Not Out to Destroy PSA,' Simmons Says | date=December 9, 1978 | page=60 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> PSA won a shareholder vote to implement takeover defenses with just a bit more than 50% but the company had post-dated the shareholder [[Stockholder of record|record date]] to ensure Simmons couldn’t vote his whole stake. Simmons said he’d sue.<ref>{{Cite news|url=https://www.newspapers.com/image/385268746|title=PSA Holders Back Management | date=December 15, 1978 |page=78 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> In the end, PSA paid him off by giving him some aircraft in exchange for his stake.<ref>{{Cite news|url=https://www.newspapers.com/image/385344374|title=PSA Completes Delayed Stock Swap With Valhi Inc. | date=February 27, 1980 | page=54 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> To be fair, notwithstanding Flight 182, PSA’s 1978 financials were somewhat better, but significantly flattered by an accounting change.<ref>{{Cite web|url=https://www.newspapers.com/image/386332053/|title=PSA and Valhi Agree to Settle Takeover Feud | date=February 22, 1979 | page=53 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref>

===PSA on the brink of deregulation===
As PSA headed towards deregulation, both the airline and [[Wall Street]] thought it would be a winner.<ref>{{Cite news|url=https://www.newspapers.com/image/384575334|title=PSA Executives Are Grinning, Too, at Thought of Deregulation | date=July 16, 1978 | page=83 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> But in December 1978, Paul Barkley, then PSA’s chief operating officer (later CEO), spoke about the deregulated future a few weeks away. He expected something fairly sedate, quite different from the bitter Darwinistic struggle that would engulf the industry:<ref>{{Cite news|url=https://www.newspapers.com/image/460637508|title=Air executive says discounts will fade | date=December 8, 1978 | page=68 | newspaper=The San Francisco Examiner | via=Newspapers.com}}</ref>
* Discounted airfares would fade away due to a shortage of aircraft and “passenger capacity”. Another factor against discount airfares was that they were too hard to administer.
* Capacity would be tight through the mid-1980s due to lack of aircraft
* The airline industry would be healthier in deregulation, there would be no revolutionary changes. Competition would not be intense, again, due to lack of aircraft.

{{Table alignment}}
{|class="wikitable plain-row-headers defaultright"
|+ Pacific Southwest Airlines<sup>(1)</sup> Financial Results, 1979 thru 1986
! (USD mm) !! 1979<ref>[https://airlines.org/wp-content/uploads/2014/08/1980.pdf Air Transport Association 1980 Annual Report]</ref><ref name="FS80">{{cite report|title=Air Carrier Financial Statistics|publisher=Civil Aeronautics Board|date=December 1980|page=45|hdl=2027/msu.31293024880514 |url=https://hdl.handle.net/2027/msu.31293024880514}}</ref> !! 1980<ref>[https://airlines.org/wp-content/uploads/2014/08/1981.pdf Air Transport Association 1981 Annual Report]</ref><ref name="FS80"/> !! 1981<ref>[https://airlines.org/wp-content/uploads/2014/08/1982.pdf Air Transport Association 1982 Annual Report]</ref> !! 1982<ref>[https://airlines.org/wp-content/uploads/2014/08/1983.pdf Air Transport Association 1983 Annual Report]</ref> !! 1983<ref>[https://airlines.org/wp-content/uploads/2014/08/1984.pdf Air Transport Association 1984 Annual Report]</ref> !! 1984<ref>[https://airlines.org/wp-content/uploads/2014/08/1985.pdf Air Transport Association 1985 Annual Report]</ref> !! 1985<ref>[https://airlines.org/wp-content/uploads/2014/08/1986.pdf Air Transport Association 1986 Annual Report]</ref> !! 1986<ref name="ATA86">[https://airlines.org/wp-content/uploads/2014/08/1987.pdf Air Transport Association 1987 Annual Report]</ref>
|-
! Op revenue
| 293.0	|| 301.6 || 335.2 || 378.1 || 443.9 || 505.4 || 582.8 || 694.1
|-
! Op profit (loss)
| 35.5 || 2.6 || (16.0)|| (17.4)|| (10.0)|| 31.0 || 31.9 || 23.0 
|-
! Net profit (loss)
| 23.1 || 4.2 || 22.7 || 18.6 || (12.6)|| (4.8)|| (0.6)|| (3.1)
|-
! Op margin
| 12.1% || 0.9% || -4.8% || -4.6% || -2.3% || 6.1% || 5.5% || 3.3%
|-
! Net margin
| 7.9%	|| 1.4% || 6.8% || 4.9% || -2.8% || -0.9% || -0.1% || -0.4%
|+  align="bottom" style="caption-side: bottom; text-align: left;" | <small>(1) Solely the airline, not the holding company containing the airline and other subsidiaries</small>
|}

===Striking out in Texas===
[[Dallas-Fort Worth International Airport|Dallas-Fort Worth]]–based [[Braniff International Airways]] was the first [[trunk carrier]] to fail after deregulation. US trunk airlines were the descendants of the original 16 airlines certified by the CAB and thereafter regulated to be the main US carriers.<ref>{{cite journal|last=Kennedy|first=Edward M.|title=Airline Regulation by the Civil Aeronautics Board|volume=41|number=4|date=1975|journal=Journal of Air Law and Commerce|pages=607–636|url= https://scholar.smu.edu/jalc/vol41/iss4/5}}</ref> Braniff had been successful just prior to deregulation, but [[Harding Lawrence]], Braniff’s imperious long-time leader, [[History of Braniff International Airways#Deregulation and global expansion|expanded the carrier excessively]] immediately after deregulation, resulting in its May 1982 bankruptcy and shut-down.<ref>{{cite book |last=Nance |first=John J. |title=Splash of Colors: The Self Destruction of Braniff International |year=1984 |publisher=William Morrow and Company |location=New York|isbn=0-688-03586-8|url-access=registration |url=https://archive.org/details/splashofcolorsse00nanc}}</ref> Until Continental did so in 1983, no one knew an airline could recover from [[Chapter 11, Title 11, United States Code|Chapter 11 bankruptcy]].<ref name="COBK"/>

In October 1982, PSA announced a cheap and low-risk deal to expand into a new geography: under an eight year contract, Braniff would fly 25 to 30 727s from its Texas base with PSA colors and marketing, employing 1,500 Braniff employees (who would have to agree to lower wages and higher productivity) as well as gates and takeoff/landing slots. These slots were key Braniff assets. In the wake of the [[Professional Air Traffic Controllers Organization (1968)#August 1981 strike|August 1981 air traffic controllers strike]], the FAA had limited air traffic control capacity, so allocated each airline takeoff/landing slots at specific airports. When Braniff collapsed, those rights were temporarily allocated to others. If Braniff flew again, it could recover those rights, grounding some operations at other carriers. It was a strong competitive lever.<ref>{{Cite news|url=https://www.newspapers.com/image/390447637|title=PSA, Braniff Agree on Joint Venture | date=October 19, 1982 | page=1 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref>

The initial deal failed when Braniff pilots refused to agree to lower seniority than PSA pilots in the event PSA ever merged with the PSA-Braniff operation (to ensure PSA pilots always got first pick of flying).<ref>{{Cite news|url=https://www.newspapers.com/image/390204646/|title=Braniff Venture Off, PSA Says | date=November 24, 1982 | page=1 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> Pride as well as pay was in play: PSA was perceived as junior-league relative to Braniff.{{sfn|Nance|1984|p=394}} A new deal with Braniff simply equipped a new carrier with Braniff equipment to fly under contract to PSA, sidestepping Braniff’s unions. Braniff would even loan PSA the funds.<ref>{{Cite web|url=https://www.newspapers.com/image/390400343|title=PSA Will Form Texas Unit to Lease Braniff Planes and Hire 1,500 | date=December 9, 1982 | page=73 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref> Further, the FAA noted if Braniff resumed flying it was entitled to its takeoff/landing slots, but a new airline that just happened to use Braniff assets was not. The deal died in March 1983.<ref>{{Cite web|url=https://www.newspapers.com/image/633647320,|title=''PSA, Thwarted by US Court, Calls Off Plan to Lease Braniff Planes'', March 3, 1983}}</ref> A [[Braniff (1983-1990)|second iteration of Braniff]] did start flying in 1984 without PSA help, ultimately without success, possible due to Texas already being home to Southwest (which, expanding westward, had already entered PSA’s home city of San Diego in January 1982),<ref>{{cite web|url=https://swamedia.com/media_storage/city_fact_sheets/SAN.pdf|website=Southwest Airlines Media|publisher=Southwest Airlines|title=Southwest City Facts San Diego|access-date=22 April 2024}}</ref> [[American Airlines]] (which viewed Dallas-Fort Worth as its own, having moved its headquarters there in 1979)<ref>{{Cite web|url=https://www.nytimes.com/1978/11/16/archives/american-will-shift-headquarters-from-manhattan-to-dallas-airport.html|title=''American Will Shift Headquarters From Manhattan to Dallas Airport'', New York Times, November 16, 1978 |website=[[The New York Times]] |date=16 November 1978 }}</ref> and [[Continental Airlines]], which in 1983 would go through a bankruptcy that dramatically lowered its costs.<ref name="COBK">{{cite book |last=Petzinger|first=Thomas|title=Hard Landing: The Epic Contest For Power and Profits That Plunged the Airlines into Chaos|publisher=[[Random House]]|year= 1996|isbn=9780307774491|pages=192–218}}</ref>

Meanwhile, PSA was making money, but not by flying passengers. In 1982 and 1981 it sold aircraft and tax credits on aircraft to make a net profit while still producing an operating loss.<ref>{{Cite news|url=https://www.newspapers.com/image/389013586|title=PSA's Barkley Likes the Profits but Not the Source | date=January 5, 1982 |page=33 | newspaper=The Los Angeles Times | via=Newspapers.com}}</ref><ref>{{Cite web|url=https://www.departedflights.com/PS82reportcover.html|title=PS82reportcover|website=www.departedflights.com}}</ref>

===Disappointing deregulation performance===
In the years prior to deregulation, PSA said it must be ready for the day it was able to fly outside of California.<ref name="Reader"/><ref name="NewChief"/> When the day came, PSA management saw themselves as one of the natural beneficiaries of deregulation (see prior sections). But in fact, PSA did poorly. As the nearby table shows, AirCal’s nominal growth from 1978 (the last year of regulation) to 1985 was double that of PSA, Southwest was nearly triple. Perhaps most striking was the comparison of PSA with [[Piedmont Airlines]], which pre-deregulation had been a [[local service airline]] regulated by the CAB. Piedmont was smaller than PSA in 1978 but well over twice its size in 1985. Piedmont also had an unbroken string of profits since deregulation.<ref>{{Cite web|url=https://www.nytimes.com/1986/08/31/business/now-even-piedmont-flies-the-fast-lane.html,|title=''Now Even Piedmont Flies in The Fast Lane'', New York Times, August 31, 1986 |website=[[The New York Times]] }}</ref> 
{{Table alignment}}
{|class="wikitable plain-row-headers defaultright"
|+ 1985 operating revenue as multiple of 1978 for four airlines<sup>(1)</sup>
! (USD mm) !! 1978<ref>[https://airlines.org/wp-content/uploads/2014/08/1979.pdf Air Transport Association 1979 Annual Report]</ref> !! 1985<ref name="ATA86"/>!! 1985/1979
|-
! scope="row" style=text-align:left |Pacific Southwest Airlines
| 229.8 || 582.8 || 2.54x
|-
! scope="row" style=text-align:left |AirCal
| 67.6 || 344.5 || 5.10x
|-
! scope="row" style=text-align:left |Piedmont Airlines
| 205.6 || 1,366.6 || 6.65x
|-
! scope="row" style=text-align:left |Southwest Airlines<ref>[https://www.southwestairlinesinvestorrelations.com/~/media/Files/S/Southwest-IR/documents/company-reports-ar/ar-1978.pdf Southwest Airlines 1978 Annual Report]</ref><ref>[https://www.southwestairlinesinvestorrelations.com/~/media/Files/S/Southwest-IR/documents/company-reports-ar/ar-1985.pdf Southwest Airlines 1985 Annual Report]</ref>
| 81.1 || 606.1<sup>(2)</sup> || 7.48x 
|+  align="bottom" style="caption-side: bottom; text-align: left;" | <small>(1) In each case, airline revenue only (not including other holding company subsidiaries, if any)</small>
|+  align="bottom" style="caption-side: bottom; text-align: left;" | <small>(2) Does not include [[Muse Air]], bought by Southwest in 1985 </small>
|}

[[Image:Boeing 727-214, Pacific Southwest Airlines (PSA) JP5964380.jpg|thumb|Pre-delivery [[Boeing 727-200]]]]
A July 1984 [[Los Angeles Times]] article noted PSA had been hanging fire since deregulation; management always waiting for some obstacle to clear. For instance, waiting to swap out the 727 fleet it had at deregulation (yet the abortive 1982/1983 Braniff deal would have doubled-down on 727s), which were too large and too fuel inefficient (given the rise in fuel prices, which PSA also blamed) and too labor intensive (given its three person cockpit vs two places for the MD-80).<ref>[https://www.newspapers.com/image/400597278 ''PSA Chief is Waiting for Airline to Really Take Off'', Los Angeles Times, July 31, 1984]</ref> 727s were a big factor in driving the company to ordering 20 BAe-146 aircraft in late 1983, which were both smaller and extremely quiet (an advantage in California where noise politics was a factor at airports like Orange County, Long Beach and Burbank).<ref>[https://www.newspapers.com/image/387222417/ ''Uproar Grows Over Airport Noise'', Los Angeles Times, April 26, 1981]</ref> PSA may have overcorrected – PSA ultimately configured BAe-146s with only 85 seats vs 150 for the MD-80s and 175 for the 727-200s.<ref>[https://www.newspapers.com/image/401472970 ''PSA’s (sic) Takes a Flier on British Jet'', Los Angeles Times, July 16, 1985]</ref> In one respect, PSA was lucky: the BAe-146 was eventually notorious for fairly [[British Aerospace 146#Engines|significant engine problems]] that PSA management never had to deal with because it sold the company before they became well known. As a stopgap, the airline also acquired four 110-seat used DC-9s from Air Canada in 1983.<ref>[https://www.newspapers.com/image/633705316 ''PSA Set to Expand S.F. Operations, Buys DC-9s'', Los Angeles Times, April 7, 1983]</ref> PSA did not prioritize a single fleet type.

But if looking for reasons for underperformance, management might have considered itself, since it was of long-standing. William Shimp, CEO and Chairman from 1976 to 1984, joined PSA in 1949.<ref>[https://www.newspapers.com/image/400575667 ''PSA Chief William R. Shimp Dies at 59'', Los Angeles Times, May 13, 1984]</ref> Paul Barkley, who succeeded Shimp, had been a [[C-suite]] officer at PSA since 1967.<ref>[https://www.newspapers.com/image/400805375 ''PSA names Barkley as Chief Officer'', Los Angeles, March 13, 1984]</ref> Notwithstanding the disastrous experience of the 1970s, management never lost its taste for diversification, diverting corporate attention from the airline. PSA, Inc.'s 1983 annual report noted energy subsidiaries involved in fuel supply and distribution and oil and gas exploration and production, as well as aviation-related subsidiaries providing engine maintenance, aircraft leasing and flight training.<ref>[https://www.departedflights.com/PS83reportcover.html PSA 1983 Annual Report]</ref>

===Employee givebacks, PS Group, sale to USAir and Flight 1771===
In 1984, following another poor year in 1983, PSA asked for wage givebacks from airline employees. Employees would reduce pay by 15% in exchange for 15% of pre-tax airline profits and a 15% stake in the airline. Note, "airline profits", not the holding company, PSA, Inc., which included aircraft leasing and fuel distribution among other businesses. After some back-and-forth, employees went along with this in late 1984.<ref>[https://www.newspapers.com/image/390400392 ''PSA Chief Says Pay Cuts May Save $40 million'', Los Angeles Times, December 29, 1984]</ref> Employees got to nominate four directors to the airline board. Famed retailer [[Sol Price]] of [[Price Club]] (a [[Costco]] constituent) and [[FedMart]] was one such employee director.<ref>[https://www.newspapers.com/image/402417670/ ''Lineup of PSA Board Gives Airline Diversity'', Los Angeles Times, September 17, 1985]</ref> Another requirement was a separate publicly traded stock for the airline. On July 28, 1986, there was an [[initial public offering]] for the airline (1.8mm shares at $7).<ref>[https://www.newspapers.com/image/404582873 PSA offering tombstone in Los Angeles Times, Jul 28, 1986]</ref> Meanwhile, to eliminate confusion, the parent company (which retained its own stock listing) was renamed "PS Group, Inc.". In the midst of this activity, the holding company continued to diversify. In September 1985, it added to its oil and gas investments.<ref>[https://www.newspapers.com/image/402330353 ''PSA Agrees to Buy Control of Oil Company'', Los Angeles Times, September 4, 1985]</ref>

1986 was the year of the airline merger – [[Republic Airlines#Northwest Airlines|Republic]] into [[Northwest Airlines|Northwest]], [[Ozark Air Lines#Merger with TWA|Ozark]] into [[Trans World Airlines|TWA]], [[Western Airlines#Delta Air Lines merger|Western]] into [[Delta Air Lines]] and others. In November, AirCal accepted an offer from American Airlines. On December 8, [[US Airways|USAir]] announced an agreement to purchase PSA for $400mm.<ref>[https://www.newspapers.com/image/404660452/ ''USAir Plans to Buy PSA, Become 6th Largest Line'', Los Angeles Times, December 8, 1986]</ref> The combination had its skeptics: USAir’s pre-PSA California presence was 12 flights per day to Pittsburgh and Indianapolis so its brand awareness among Californians was minimal.<ref>[https://www.newspapers.com/image/405102231/ ''Let’s Clear the Air: Flying West Coast Will Never Be the Same'', Los Angeles Times, October 19, 1987]</ref>
The purchase closed May 29, 1987, but PSA and USAir pilot union chapters fought over transition agreements, delaying the merger of PSA into USAir beyond the original January 1, 1988, date.<ref>[https://www.newspapers.com/image/404795057/ ''Merger of PSA Into USAir Snags on Pilot Work Rules'', Los Angeles Times, September 3]</ref>

{{main|Pacific Southwest Airlines Flight 1771}}
PSA thus still existed under USAir ownership when, on December 7, 1987, a fired USAir employee used his credentials (which had not been recovered from him) to sneak a gun on board PSA Flight 1771. En-route, he shot the flight crew and others, causing the aircraft to crash and killing everyone on board. The fact pattern of a (former) USAir employee killing PSA crew and passengers overshadowed the last days of PSA.

PSA finally merged into USAir on April 9, 1988.<ref>[https://www.newspapers.com/image/404163792 ''Exit Smiling'', Los Angeles Times, April 8, 1988]</ref> PS Group had banked what it was paid for PSA, creating a well-funded life-raft for select former PSA executives, including Chairman Paul Barkley.<ref>[https://www.newspapers.com/image/403024002/ ''PS Group’s Executives Outline Plans'', Los Angeles Times, May 27, 1987]</ref> By the time the merger was consummated, PS Group had used some of the PSA sale money to buy a stake in a travel agency business to go along with its aircraft leasing and oil & gas interests.<ref>[https://www.newspapers.com/image/405073298 ''PS Group Acquires 81% of Travel Firm Linked to West'', Los Angeles Times, October 27, 1987]</ref>

==Legacy==

{{multiple image
| align             = right
| direction         = vertical
| width             = 200
| image1            = US Airways A319-112 (N742PS) in Pacific Southwest Airlines livery.jpg
| image2            = N742PS JFK Landing 31R AA A319 112 PSA Heritage Beacon Small (52526290196).png
| header            = 
| header_align      = <!-- left/right/center -->
| header_background = 
| footer            = PSA heritage liveries. The top picture shows a [[US Airways]] [[Airbus A319]] with the Pacific Southwest livery, and the bottom picture shows the same aircraft in service with [[American Airlines]]
| footer_align      = center
| footer_background = 
| background color  = 
}}

The successors of PSA and AirCal, USAir and American, raised prices, reflecting their higher costs. In early 1990, the last-minute roundtrip fare from Los Angeles to Sacramento was $456, over $1000 in 2024 dollars. State legislators were increasingly irate, finally proposing a raft of bills to punish the carriers, even suggesting a state-owned airline,<ref>[https://www.newspapers.com/image/176646554/ ''6-Bill Package Seeks to Lower State Air Fares'', Los Angeles Times, February 28, 1990]</ref> but the market had already taken care of the problem. [[United Airlines]] had already announced an increase in frequency on Los Angeles to San Francisco from 16 to 27 per day<ref>[https://www.newspapers.com/image/175494368 ''United Plans Sharp Boost in Number of L.A.-S.F. Flights'', Los Angeles Times, January 23, 1990]</ref> and Southwest Airlines had announced it was entering Burbank with 10 a day service to Oakland at a last-minute fare of $59 one way, $29 in advance.<ref>[https://www.newspapers.com/image/779376167 ''Southwest expanding Oakland flights'', Oakland Tribune, February 1, 1990]</ref>

The resulting Los Angeles Basin to San Francisco Bay fare war was brutal, made worse when Iraq invaded Kuwait thereby spiking oil prices, collapsing demand for international travel and tipping the US into the [[Gulf War]]. In January 1991, in announcements only two weeks apart, first American and then USAir gutted the former AirCal and PSA systems, throwing in the towel less than five years after offering to buy the former intrastate airlines.<ref>[https://www.newspapers.com/image/176379160/ ''USAir to Cut Most California Flights'', Los Angeles Times, January 26, 1991]</ref>

The indirect legacy of PSA is [[Southwest Airlines]], originally a Texas intrastate airline that PSA inspired. Southwest inspired [[low-cost airlines]] globally. PSA therefore was a key company in the advent of low-cost air travel.

Another legacy stems from Kenny Friedkin's son [[Thomas H. Friedkin]], a PSA pilot in 1962 when his father died. A year later, Tom's mother (Kenny's widow) died, making him the largest PSA shareholder. Tom had a seat on the Board of Directors but continued as a full-time pilot for the airline.<ref name=FORBES /> Tom astutely invested in a Toyota distributorship in the late 1960s, [[Gulf States Toyota Distributors|Gulf States Toyota]], now a multi-billion dollar business run by Tom's son, Kenny's grandson, [[Dan Friedkin]].

PSA's successor airlines also made legacy liveries. [[US Airways]] painted an [[Airbus A319]] (N742PS) in the PSA livery and even after US Airways merged with [[American Airlines]], it continued to wear the PSA colours until 2024. American themselves also painted an [[Airbus A321]] (N582UW) in the PSA colours and the A321 still wears the scheme as of 2025.

==Corporate culture==
[[File:Pacific Southwest Airlines L-1011 N10114 1.jpg|thumb|left|PSA smile on an [[L-1011]]]]
PSA was known for its sense of humor. Founder Ken Friedkin wore [[Hawaiian shirt]]s and encouraged his pilots and stewardesses to joke with passengers. Its slogan was "The World's Friendliest Airline", and its recognizable trademark was a smile painted on the nose of each plane and an accompanying advertising campaign declaring "Catch Our Smile".<ref name=spokad87>{{cite news |url=https://news.google.com/newspapers?id=uIZOAAAAIBAJ&pg=4487%2C1545533 |newspaper=Spokane Chronicle |title=PSA's Spring SuperSmile fares... |agency=advertisement |date=March 24, 1987 |page=A9 }}</ref> Because of the major San Diego flight schedule and its discount fares, military personnel nicknamed PSA the "Poor Sailor's Airline."<ref name=FORBES>[https://web.archive.org/web/20031004231520/http://www.forbes.com/forbes/2001/1008/118_print.html Forbes Magazine: October 1, 2001-Under the Radar by Doug Donovan]</ref> After PSA was bought by USAir, ex-PSA mechanics would occasionally paint smiles on USAir planes as a joke.<ref>{{cite web|last=Trinkle|first=Kevin|url=http://www.psa-history.org/about_psa/smiles_on_usair|title=Smiles on US Airways|work=The PSA History Page|access-date=January 7, 2014}}</ref>

[[File:Pacific Southwest Airlines female flight attendants.jpg|thumb|right|upright|PSA flight attendants in microskirt and boots uniform]]
In the 1960s PSA was known for the brightly colored [[flight attendant]] uniforms, with [[miniskirt]]s; in the early 1970s the fashion changed to [[hotpants]].<ref name=FORBES /> A PSA flight attendant, Marilyn Tritt, wrote a book about her tenure at the company titled ''Long Legs and Short Nights''.<ref>{{cite book|last=Tritt|first=Marilyn|title=Long Legs & Short Nights|publisher=Airtime Publishers|year=1995|location=San Diego|isbn=9780964957701}}</ref>

Throughout PSA's lifetime, the flight attendants, with their humor, over-the-top passenger service, and sense of duty, helped to create a loyal passenger following. One flight attendant, Sandy Daniels, with the help of a frequent flyer, started the "Precious Stewardess Association". Frequent fliers would bring tasty treats to the crew, particularly on morning flights. In turn, PSA started the "Precious Passenger Association", with certificates and free drinks given to friendly and helpful passengers.

==Headquarters==
PSA headquarters were a windowless gray-brown building on Harbor Drive in [[San Diego, California]].<ref>Ray, Nancy. "[https://www.tampabay.com/news/publicsafety/sunset-music-festival-stresses-safety-in-statement-on-death-of-2/2279784/ Family mourns daughter who died after attending festival]" Tampa Bay Times. June 2, 2016. Retrieved on September 26, 2023..</ref><ref>"World Airline Directory." ''[[Flight International]]''. March 31, 1984. [http://www.flightglobal.com/pdfarchive/view/1984/1984%20-%200578.html?search=%22Pacific%20Southwest%20Airlines%22 876].</ref> The building was San Diego International Airport's commuter terminal until 2015 when it was converted into administrative offices of the San Diego County Regional Airport Authority.

==Accidents and incidents==
*On January 15, 1969, while it was climbing to its cruising altitude, PSA Flight 990,<ref>{{cite news |title=Plane and Jetliner Collide; All Safe |url=https://www.newspapers.com/article/oakland-tribune-plane-and-jetliner-colli/164365387/ |access-date=31 January 2025 |location=[[Oakland, California]], United States |newspaper=[[Oakland Tribune]] |date=15 January 1969 |page=1 |via=[[Newspapers.com]]}} {{Free access}}</ref> a [[Boeing 727-100]] registered as N973PS, collided with a [[Cessna 182]] registered as N42242 at around what the Cessna 182's pilot, Richard A. Bridgeford, believes was {{Convert|1800|ft|m}}. Both aircraft were in controlled airspace on the same frequency. The 727 continued on to [[Ontario, California|Ontario, CA]] and made a safe landing. The Cessna lost its right wingtip and three-quarters of its right aileron, so Bridgeford decided returning to [[San Francisco]].<ref>{{Cite web|url=http://aviation-safety.net/database/record.php?id=19690115-1|title=ASN Aircraft accident Boeing 727-14 N973PS San Francisco, CA}}</ref><ref name="UPI Ventura">{{cite news |title=Pilot Has Close Brush With Death |url=https://www.newspapers.com/article/ventura-county-star-pilot-has-close-brus/164367066/ |access-date=31 January 2025 |agency=[[UPI]] |newspaper=[[Ventura County Star]] |date=16 January 1969 |page=12 |via=[[Newspapers.com]]}} {{Free access}}</ref> He also decided to cut his engine and managed to glide to San Francisco International Airport without any further incident.<ref name="UPI Ventura" /> A passenger on board the Boeing 727 reported that he had seen a light plane fly very close to the aircraft. ''[[UPI]]'' reported that "A PSA spokesman said that a [[nacelle]] on one of the engines and the bottom tip of the tail were slightly damaged."<ref name="UPI Ventura" />
*On March 5, 1974, a PSA [[NAMC YS-11]] training aircraft's engines failed, resulting in the aircraft crashing in the desert near [[Borrego Springs]], California. The turboprop aircraft was doing a simulated landing stall. All of the four crew members survived the crash. The aircraft was written off.<ref name="ASN YS11">[http://aviation-safety.net/database/record.php?id=19740305-0 ASN accident NAMC YS-11A-202 N208PA Borrego Springs, California] Retrieved April 8, 2008</ref>
*On September 25, 1978, [[Pacific Southwest Airlines Flight 182|PSA Flight 182]], a [[Boeing 727-200]], crashed in [[San Diego]] while trying to land at [[Lindbergh Field]], California, after colliding with a [[Cessna 172]]. All 135<!-- people--> aboard the PSA flight were killed, as were the two<!--  people--> in the Cessna and seven on the ground. At the time, it was the deadliest plane crash in U.S. airspace; it remains the worst [[mid-air collision]] in the United States.<ref>[http://aviation-safety.net/database/record.php?id=19780925-0 ASN accident Boeing 727-214 N533PS San Diego International Airport, CA (SAN)] Retrieved April 1, 2009</ref> A lawsuit argued by [[Gary J. Aguirre|Gary Aguirre]] resulted in a verdict against PSA for damages.<ref>Ted Vollmer, "PSA Ruled Liable for Crash Damage Claims", ''[[Los Angeles Times]]'' San Diego County edition (August 15, 1979)</ref> 
*On December 7, 1987, [[Pacific Southwest Airlines Flight 1771|PSA Flight 1771]], a [[British Aerospace 146|BAe 146]], bound for [[San Francisco International Airport|San Francisco]] from [[Los Angeles International Airport|Los Angeles]], was airborne above the California central coast when it entered a high-speed nosedive and crashed near the town of [[Cayucos]] in [[San Luis Obispo County]]. Investigations determined that David Burke, a former [[US Air]] employee who had been fired for theft, armed himself and boarded the flight, which was carrying his former manager. After writing a note on an air sickness bag, Burke shot his ex-manager, a flight attendant, both pilots and the airline's chief pilot. Burke then pushed down on the control column, causing the aircraft to enter a dive. There were no survivors among the 38 passengers and five crew.<ref>[http://aviation-safety.net/database/record.php?id=19871207-0 ASN Aircraft accident British Aerospace BAe-146-200 N350PS Paso Robles, CA]</ref>

===Hijackings===
There were other attempted hijackings which resulted in no injuries and the surrender of the hijacker(s). These incidents are not included. The following are notable hijackings because of fatalities or because the aircraft flew to another country:
* On January 7, 1972, PSA Flight 902, a Boeing 727-200 flight from San Francisco to Los Angeles was hijacked to Cuba. The captain negotiated the release of the passengers in Los Angeles and the hijackers, who had with them a baby and were armed with a shotgun and other arms, proceeded to Cuba,<ref>[http://aviation-safety.net/database/record.php?id=19720107-2 ASN Aircraft accident Boeing 727 ?<!-- Bot generated title -->]</ref> with a fueling stop in Tampa. Three flight attendants and three off-duty flight attendants accompanied the flight to Cuba.<ref>Airliner Magazine, November, 2000</ref><ref name=ergskyj>{{cite news |url=https://news.google.com/newspapers?id=tthVAAAAIBAJ&pg=4001%2C1579385 |work=Eugene Register-Guard |location=Oregon |agency=Associated Press |title=California airliner skyjacked to Cuba |date=January 8, 1972 |page=1A}}</ref>
* On July 5, 1972, [[Pacific Southwest Airlines Flight 710|PSA Flight 710]], a Boeing 737-200 flight from Sacramento to San Francisco was hijacked with demands to fly to the [[Soviet Union]]. The plane was stormed while on the ground at San Francisco, resulting in the deaths of one passenger and the two hijackers.<ref>[http://aviation-safety.net/database/record.php?id=19720705-0 ASN Aircraft accident Boeing 737-200 San Francisco International Airport, CA (SFO)<!-- Bot generated title -->]</ref> One of the passengers, who survived being shot in the back, was the actor [[Victor Sen Yung]], best known as [[Hop Sing (Bonanza)|Hop Sing]] from the ''[[Bonanza]]'' television series. One other passenger was shot and survived.<ref>''Ada Evening News'', July 6, 1972, p. 1</ref><ref name="PSA Flight 710">{{cite web|url=https://sfnewspaperman.blogspot.com/2009/09/anatomy-of-hijack.html?m=1|title=Anatomy of a Hijack|last=Emch|first=Tom|date=September 12, 2009|work=SF Chronicle and Examiner|access-date=1 April 2013}}</ref><ref name=fbifoil>{{cite news |url=https://news.google.com/newspapers?id=w6xVAAAAIBAJ&pg=5557%2C1325008|work=Eugene Register-Guard |location=Oregon |agency=Associated Press |last=Yeager |first=Bob |title=FBI agents foil skyjacking; 1 passenger, 2 gunmen die |date=July 6, 1972 |page=4A}}</ref>

==Destinations==
PSA served the following domestic destinations in the U.S. at various times during its existence.<ref>{{Cite web |url=http://www.psa-history.org/flying/routemap.html |title=The PSA/Oldtimers Page |access-date=2009-08-07 |archive-date=2008-12-19 |archive-url=https://web.archive.org/web/20081219150602/http://www.psa-history.org/flying/routemap.html |url-status=dead }}</ref><ref>[http://www.jetpsa.com/tags/tags.html PSA Pacific Southwest Airlines bag tags]</ref>

{{div col}}
'''Arizona'''
* [[Phoenix Sky Harbor International Airport]], [[Phoenix, Arizona|Phoenix]] (PHX)
* [[Tucson International Airport]], [[Tucson, Arizona|Tucson]] (TUS)

'''California'''
* [[Arcata-Eureka Airport]], [[Arcata, California|Arcata]]/[[Eureka, California|Eureka]] (ACV)
* [[Bob Hope Airport|Burbank-Glendale-Pasadena Airport]], [[Burbank, California|Burbank]] (BUR)
* [[Buchanan Field Airport]], [[Concord, California|Concord]] (CCR)
* [[Fresno Yosemite International Airport]], [[Fresno, California|Fresno]] (FAT)
* [[Lake Tahoe Airport]], [[South Lake Tahoe, California|South Lake Tahoe]] (TVL)
* [[Long Beach Airport]], [[Long Beach, California|Long Beach]] (LGB)
* [[Los Angeles International Airport]], [[Los Angeles]] ([[LAX]])
* [[Monterey Peninsula Airport]], [[Monterey, California|Monterey]] (MRY)
* [[Oakland International Airport]], [[Oakland, California|Oakland]] (OAK)
* [[LA/Ontario International Airport|Ontario International Airport]], [[Ontario, California|Ontario]] (ONT)
* [[Palm Springs International Airport]], [[Palm Springs, California|Palm Springs]] (PSP)
* [[Sacramento Municipal Airport]] (SAC) – (all airlines serving Sacramento then moved to the then-new SMF in October 1967 and SAC was renamed [[Sacramento Executive Airport]])
* [[Sacramento International Airport|Sacramento Metropolitan Airport]], [[Sacramento, California|Sacramento]] (SMF)
* [[San Diego International Airport]], [[San Diego]] (SAN) – '''home base''' 
* [[San Francisco International Airport]], [[San Francisco]] ([[SFO]])
* [[San Jose International Airport]], [[San Jose, California|San Jose]]  (SJC)
* [[John Wayne Airport]], [[Santa Ana, California|Santa Ana]] (SNA)
* [[Stockton Metropolitan Airport]], [[Stockton, California|Stockton]] (SCK)

'''Colorado'''
* [[Yampa Valley Airport]], [[Steamboat Springs, Colorado|Steamboat Springs]] (HDN)

'''Idaho'''
* [[Boise Airport|Boise Air Terminal]], [[Boise, Idaho|Boise]] (BOI)

'''New Mexico'''
* [[Albuquerque International Sunport]], [[Albuquerque, New Mexico|Albuquerque]] (ABQ)

'''Nevada'''
* [[McCarran International Airport]], [[Las Vegas, Nevada|Las Vegas]] (LAS)
* [[Reno-Tahoe International Airport]], [[Reno, Nevada|Reno]] (RNO)

'''Oregon'''
* [[Eugene Airport]]-Mahlon Sweet Field, [[Eugene, Oregon|Eugene]] (EUG) 
* [[Medford-Jackson County Airport]], [[Medford, Oregon|Medford]] (MFR) 
* [[Portland International Airport]], [[Portland, Oregon|Portland]] (PDX)
* Redmond-[[Roberts Field]], [[Redmond, Oregon|Redmond]] (RDM)

'''Texas'''
* [[Dallas, Texas]] - [[Dallas Love Field|Love Field]] (DAL)
* [[San Antonio, Texas]] - [[San Antonio International Airport]] (SAT)

'''Utah'''
* [[Salt Lake City International Airport]], [[Salt Lake City]] (SLC)

'''Washington'''
* [[Bellingham International Airport]], [[Bellingham, Washington|Bellingham]] (BLI)
* [[Tri-Cities Airport (Washington)|Pasco-Tri Cities Airport]], [[Pasco, Washington|Pasco]] (PSC)
* [[Seattle-Tacoma International Airport]], [[Seattle, Washington|Seattle]] (SEA)
* [[Spokane International Airport]], [[Spokane, Washington|Spokane]] (GEG)
* [[Yakima Air Terminal]], [[Yakima, Washington|Yakima]] (YKM)

'''Mexico'''

PSA also served the following destinations in Mexico at various times during its existence:<ref>{{Cite web|url=http://www.departedflights.com/PS021788.html|title = Pacific Southwest Airlines February 17, 1988 Route Map}}</ref><ref>{{Cite web|url=http://www.departedflights.com/PS091780.html|title = Ps091780}}</ref>

* [[Los Cabos]] ([[Cabo San Lucas]]) (SJD) 
* [[Mazatlan]] (MZT)
* [[Puerto Vallarta]] (PVR)
{{end div col}}

==Fleet==
===Final fleet===
As of April 9, 1988, at the time of the merger, Pacific Southwest Airlines' fleet consisted of the following aircraft:<ref name="Fleet list">{{cite web|url=http://aerobernie.bplaced.net/PSA.html|title=PSA fleet|website=aerobernie.bplaced.net|access-date=February 20, 2021}}</ref>

{|class="wikitable" style="text-align:center"
|+ Pacific Southwest Airlines fleet
|-
!Aircraft
!In<br>service
!Passengers
!Notes
|-
|[[BAe 146-100]]
|1
|rowspan=2|85
|Transferred to [[US Airways]] and retired in 1988.
|-
|[[BAe 146-200]]
|22
|All were transferred to [[US Airways]] and later retired in 1991.  One crashed operating as [[Pacific Southwest Airlines Flight 1771]] in 1987.
|-
|[[McDonnell Douglas DC-9-32]]
|4
|100
|Former [[Altair Airlines]] fleet.<br>All were transferred to [[US Airways]] and later retired in 2001.
|-
|[[McDonnell Douglas MD-81]]
|21
|rowspan=2|150
|rowspan=2|All were transferred to [[US Airways]] and later retired in 2002.
|-
|[[McDonnell Douglas MD-82]]
|10
|-
!Total
!58
!colspan=3|
|-
|}

===Retired fleet===
Pacific Southwest Airlines previously operated the following aircraft:<ref name="Fleet list"/>

{|class="wikitable" style="text-align:center"
|+ Pacific Southwest Airlines retired fleet
|-
!Aircraft
!Total
!Introduced
!Retired
!Notes
|-
|[[Bell 206]]
|1
|1967
|{{unknown}}
|
|-
|[[Boeing 727|Boeing 727-100]]
|16
|1965
|1983
|
|-
|[[Boeing 727|Boeing 727-200]]
|33
|1968
|1985
|One crashed as [[Pacific Southwest Airlines Flight 182|Flight 182]]
|-
|[[Boeing 737|Boeing 737-200]]
|14
|1968
|1976
|
|-
|[[Douglas DC-3]]/[[C-47 Skytrain]]
|9
|1949
|1955
|
|-
|[[Douglas C-54 Skymaster]]
|4
|1955
|1961
|
|-
|[[Douglas DC-6|Douglas DC-6B]]
|1
|1960
|1963
|Operated to [[Oakland, California|Oakland]] while awaiting [[Lockheed L-188 Electra|Electra]]s.
|-
|[[Lockheed L-188A Electra]]
|4
|1961
|rowpsan=2|1979
|rowspan=2|Type was in the fleet during two different time periods.{{efn|name=fn3}}
|-
|[[Lockheed L-188C Electra]]
|5
|1959
|-1980
|[[Lockheed L-1011 TriStar|Lockheed L-1011-1 TriStar]]
|2{{efn|name=fn2}}
|1974
|1975
|Used briefly between [[Los Angeles, California|Los Angeles]] and [[San Francisco, California|San Francisco]] and [[San Diego]].<ref>{{Cite web | url=https://www.airliners.net/photo/PSA-Pacific-Southwest-Airlines/Lockheed-L-1011-385-1-TriStar-1/347029/L | title=Lockheed L-1011-385-1 TriStar 1 - PSA - Pacific Southwest Airlines | website=www.airliners.net}}</ref>  Only [[widebody aircraft]] operated by PSA.
|-
|[[McDonnell Douglas DC-9|McDonnell Douglas DC-9-31]]
|2
|1967{{efn|name=fn1}}
|1970
|
|-
|}

===PSA training fleet===
{|class="wikitable" style="text-align:center"
|+ '''Pacific Southwest Airlines training aircraft fleet'''<ref name="Training">Trinkle, Kevin. [http://www.psa-history.org/hangar/ft.php "Flight Training"] {{webarchive|url=https://web.archive.org/web/20120519084333/http://www.psa-history.org/hangar/ft.php |date=2012-05-19 }} – The PSA History/Olditimers Page – Retrieved March 28, 2009</ref><ref name="Fleet list"/>
|-
!Aircraft
!Total
!Introduced
!Retired
!Notes
|-
|[[Beechcraft Model 99]]
|1
|1972
|1975
|
|-
|[[Bell 47|Bell 47-G4A]]
|1
|{{unknown}}
|1969
|
|-
|[[Brantly B-2]]
|1
|{{unknown}}
|{{unknown}}
|
|-
|[[Beech Bonanza|Beech Bonanza F33-A]]
|8
|{{unknown}}
|{{unknown}}
|
|-
|[[Learjet 24]]
|1
|{{unknown}}
|{{unknown}}
|
|-
|[[NAMC YS-11|NAMC YS-11A-202]]
|1
|1972
|1974<ref name="ASN YS11" />
|Never painted in PSA livery
|-
|[[NAMC YS-11|NAMC YS-11A-212]]
|1
|1974
|1975
|Never painted in PSA livery
|-
|[[Piper PA-23|Piper Aztec 23-350]]
|16
|{{unknown}}
|{{unknown}}
|
|-
|[[Piper PA-24 Comanche|Piper Comanche 24-260]]
|5
|1967
|{{unknown}}
|
|-
|[[Piper PA-23|Piper Aztec 28R-180]]
|1
|{{unknown}}
|{{unknown}}
|
|-
|}

===Detailed fleet notes===
{{notelist|refs=
{{efn|name=fn1|Two DC-9-30 aircraft were delivered to PSA in 1967 new. These were operated and owned, prior to the four ex-[[Air Canada]] DC-9-32 aircraft, purchased used from [[Altair Airlines]] in 1983.}}
{{efn|name=fn2|A total of five L-1011-1 aircraft were initially ordered from Lockheed by PSA. The airline only accepted the delivery of two aircraft, with the examples being operated briefly as high capacity commuter aircraft. The further three examples were cancelled during production and were resold by Lockheed to [[LTU International]].}}
{{efn|name=fn3|Originally, six L-188 examples were delivered new or used by Lockheed to PSA, between 1959 and 1963. The aircraft were retired in 1968 in favor of newer jet aircraft, including the [[Boeing 727]], [[Boeing 737]] and [[McDonnell Douglas DC-9]]. Four L-188 aircraft, including one aircraft previously owned by PSA, were purchased used or leased, between 1975 and 1977, due to jet aircraft restrictions at [[Lake Tahoe Airport]]. Due to high operating costs, service to Lake Tahoe was discontinued and the four aircraft were sold in 1979.}}
}}

==References==
{{reflist}}

==External links==
{{Commons category<!---inline-->|Pacific Southwest Airlines}}
* {{cite web|url=https://sandiegoairandspace.org/collection/item/pacific-southwest-airlines-collection|title=Pacific Southwest Airlines Collection|publisher=San Diego Air & Space Museum|website=sandiegoairandspace.org|language=en|date=March 2, 2018}}
* {{cite web|url=https://sandiegoairandspace.org/newsletters/article/pacific-southwest-airlines-a-san-diego-icon|title=Pacific Southwest Airlines: A San Diego Icon|publisher=San Diego Air & Space Museum|website=sandiegoairandspace.org|language=en}}
* {{cite web|url=https://www.flickr.com/photos/sdasmarchives/albums/72157624565525530/|title=PSA Airlines: These are some of the images from our Pacific Southwest Airlines archive!|publisher=SDASM Archive|website=flickr.com|format=photo|language=en}}
* {{cite web|url=https://www.psa-history.org/|title=The PSA History Page|first=Kevin|last=Trinkle|website=psa-history.org|language=en|date=2024}}
* {{cite book|last=Kissel|first=Gary|title=Poor Sailors' Airline: The Story of Kenny Friedkin's Pacific Southwest Airlines|publisher=Paladwr Press|year=2002|location=McLean, Virginia|isbn=9781888962185}}
* {{cite book|last=Tritt|first=Marilyn|title=Long Legs & Short Nights|publisher=Airtime Publishers|year=1995|location=San Diego|isbn=9780964957701}}
* {{cite web|title=Pacific Southwest Airlines playlist|publisher=United Jet Mainliner |url=https://www.youtube.com/playlist?list=PL80FjnqZiMqm9AXilJ90RAMCGSJnYMEek|website=youtube.com|language=en|format=video|date=August 29, 2021}}
* {{cite web|title=PSA (Pacific Southwest Airlines) Commercials playlist|publisher=Aviation Commercials |url=https://www.youtube.com/playlist?list=PL3QwopPRHOLWtAeCthbnURak_1kRVzwQn|website=youtube.com|language=en|format=video|date=November 13, 2022}}
* {{cite web|title=PSA Farewell Video (Pacific Southwest Airlines)|publisher=David Alexander |url=https://www.youtube.com/watch?v=IC1Rd2CeL54|website=youtube.com|language=en|format=video|date=November 16, 2014}}

{{U.S. airlines of the regulated era (1938–1978)|state=collapsed}}
{{Airlines of the United States|state=collapsed}}
{{US Airways Group}}
{{American Airlines}}
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[[Category:Pacific Southwest Airlines| ]]
[[Category:Airlines established in 1949]]
[[Category:Airlines disestablished in 1988]]
[[Category:Companies based in San Diego]]
[[Category:Defunct companies based in California]]
[[Category:Defunct low-cost airlines of the United States]]
[[Category:US Airways Group]]
[[Category:1949 establishments in California]]
[[Category:American companies established in 1949]]
[[Category:Airlines based in California]]