The first day of the 5¢ air mail rate coincided with the inauguration of Contract Air Mail Route 16 on August 1, 1928. 

Initial service along this 345-mile route was one daily trip each way, utilizing Travel Air 6000 aircraft.

This cover was carried on the inaugural Contract Air Mail Route 16 flight from Dayton, Ohio to Cleveland, Ohio and is listed in the Contract Air Mail Flights (CAM) section of The American Air Mail Catalogue as 16N4.

During September 1928, Continental Air Lines was absorbed by The Universal Aviation Corporation. In mid-1929 Universal Aviation was acquired by AVCO (the Aviation Corporation) and in 1930 the directors of AVCO decided to merge all of its companies into one of its subsidiaries, American Airways (the predecessor of American Airlines).