The emergency speaker suddenly rang out. "Shit! Dive!" The captain of American 1137 ordered his plane to accelerate ground- ward for 10 seconds, descending 2500 feet, to avoid hitting an oncoming, and lost, DC-9.

"Dallas, Mayday, Mayday. What the fuck's going on down there?
This is worse than the freeway . . ."

The emergency procedure was one they had practiced over and over, but rarely was it necessary for a full scale test. The FAA was going to be all over DFW and a dozen other airports within hours, and Chad wanted to be prepared. He ordered a formal notification to Boeing that they had identified a potentially serious malfunc- tion. Please make your emergency technical support crews avail- able immediately.

Of the 100 plus flights under DFW control all 17 of the Boeing 737's disappeared from the radar screen, replaced by dozens of bogies with meaningless signatures.

"Dallas, American 1137 requests emergency landing . . .we have several injured passengers who require immediate medical assist- ance."

"Roger, 1137," Gatwick blurted back. "Copy, EP. Radar status?"

"Nominal," said the shaken American pilot.

"Good. Runway 21B. We'll be waiting."

* * * * *

By 5:00 PM, Pacific time, Boeing was notified by airports across the country that their 737's were having catastrophic transponder failure. Takeoffs were ordered stopped at major airports and the FAA directed that every 737 be immediately grounded. Chaos reigned in the airline terminals as delays of several hours to a day were announced for most flights. Police were needed to quell angry crowds who were stuck thousands of miles from home and were going to miss critical business liaisons. There is nothing we can do, every airline explained to no avail.