Virgin America 2Q loss $31.7 million

[ackattacker]

Kind of old news, not sure why it never got posted.

This brings their total loss for the first half of the year to over $100 million, on operating revenue of around $600 million, despite the cost of fuel going down vs 2011. That's just plain bad, although the spin in the press release is priceless as they try to find good things to say.

I hate to predict bad things happening to good pilots, but at this point their total debt must me threating to swallow them up. They are paying roughly $300,000 per day just to service their debt and have shown no signs of profitability.

http://www.virginamerica.com/press-release/2012/virgin-america-2012-second-quarter-results.html

 

[N1atEcon]

Sir Richard will just write another check. It is like reading RJET's financials: Frontier is doing great and is the only part of our holdings that are making money, did we mention it is for sale?

 

[freightdogfred]

The age old secret of making a small fortune in the airline biz- start out with a large one

 

[ackattacker]

Sir Richard will just write another check. It is like reading RJET's financials: Frontier is doing great and is the only part of our holdings that are making money, did we mention it is for sale?

I dunno, Sir Richard might be distracted by his other sinking ship right now.

 

[redflyer65]

I thought they started the quarter with less than 100 million left in the bank. How many more negative quarters can they have?

Doesn't look too good for that IPO.

 

[tzskipper]

I thought they started the quarter with less than 100 million left in the bank. How many more negative quarters can they have?

Doesn't look too good for that IPO.

They ended Q2 with $82m in unrestricted cash. The folks I know there feel Q3 will be shown to be profitable and Q4 should be breakeven to profitable.

Probably a rhetorical question, but what the F drives certain individuals to sound like they would look forward to dancing on the graves of lost jobs, given the chance?

S

 

[Ex737Driver]

They ended Q2 with $82m in unrestricted cash. The folks I know there feel Q3 will be shown to be profitable and Q4 should be breakeven to profitable.

Probably a rhetorical question, but what the F drives certain individuals to sound like they would look forward to dancing on the graves of lost jobs, given the chance?

S

Nobody wants to dance on any pilots grave, except maybe for scabs. I think the point is a large number of us are quite tired of seeing another start-up paying lower than an established carrier, sub-standard benefits, and job protections and career expectations that add up to zilch. Point in case, People Express is attempting to resurface on the East coast again. Why? Not because it will provide good pilot jobs but because some schmo thinks he/they can make some money doing it.

 

[bluefin]

Branson is waiting for some sort of cabotage relaxation in the future and then viola! he has a network inside the US, just like Virgin Australia!

 

[Flyer1015]

Nobody wants to dance on any pilots grave, except maybe for scabs. I think the point is a large number of us are quite tired of seeing another start-up paying lower than an established carrier, sub-standard benefits, and job protections and career expectations that add up to zilch. Point in case, People Express is attempting to resurface on the East coast again. Why? Not because it will provide good pilot jobs but because some schmo thinks he/they can make some money doing it.

VA's pay and benefit package is better than several other A320 operators out there, including legacies.

 

[Eagle757shark]

Nobody wants to dance on any pilots grave, except maybe for scabs. I think the point is a large number of us are quite tired of seeing another start-up paying lower than an established carrier, sub-standard benefits, and job protections and career expectations that add up to zilch. Point in case, People Express is attempting to resurface on the East coast again. Why? Not because it will provide good pilot jobs but because some schmo thinks he/they can make some money doing it.

It's called Captialism! People don't start airlines to "Provide good pilot Jobs". You really believe that? It's a business that hopefully can compete and become profitable. They pay what the market will allow. They charge what the customer is willing to pay. That's what American Captialism in a free market society is all about.

 

[Lear70]

branson is waiting for some sort of cabotage relaxation in the future and then viola! He has a network inside the us, just like virgin australia!

^^^ this ^^^

 

[BILL LUMBERG]

It's called Captialism! People don't start airlines to "Provide good pilot Jobs". You really believe that? It's a business that hopefully can compete and become profitable. They pay what the market will allow. They charge what the customer is willing to pay. That's what American Captialism in a free market society is all about.

Wow! And I thought I heard it all when the Supreme Court said that Corporations have First Amendment rights....

Yep! Good old Capitalism....

 

[jonjuan]

They ended Q2 with $82m in unrestricted cash. The folks I know there feel Q3 will be shown to be profitable and Q4 should be breakeven to profitable.

Probably a rhetorical question, but what the F drives certain individuals to sound like they would look forward to dancing on the graves of lost jobs, given the chance?

S

Getting rid of the walmarts of the industry will mean better jobs for those that remain. I assume you don't support the undercutting?

 

[Juniority]

Branson is waiting for some sort of cabotage relaxation in the future and then viola! he has a network inside the US, just like Virgin Australia!

Yes, it's a waiting game being played by a man with a lot of money.

...and the other reason nobody bothers to talk about Virgin America losses any more is the statement that "Virgin America wasn't supposed to make money until it gets up to 'X' number of aircraft" (So far as I can tell the number represented by 'X' will always be 20 to 25 aircraft more than their present fleet size). In other words, the subject of Virgin America losses isn't up for discussion.

 

[rjfo]

They ended Q2 with $82m in unrestricted cash. The folks I know there feel Q3 will be shown to be profitable and Q4 should be breakeven to profitable.

Probably a rhetorical question, but what the F drives certain individuals to sound like they would look forward to dancing on the graves of lost jobs, given the chance?

S

Pretend there are a finite number of passenger...my company would like to fly them all, but we can't because your company has some of them. Now let's say you go out of business...are you following me so far?

 

[ImbracableCrunk]

Capitalism would work a lot better if slavery were still around. Market forces Yada Yada Yada. Let's at least bring back child labor. Slacker children. Get a job - you're seven years old for chrissakes!

 

[bri5150]

Getting rid of the walmarts of the industry will mean better jobs for those that remain. I assume you don't support the undercutting?

Hmmmm, calling VA Walmart obviously shows you know nothing about this company.

 

[jonjuan]

Hmmmm, calling VA Walmart obviously shows you know nothing about this company.

You're right. Walmart makes is profitable and has a sustainable business model.

 

[bri5150]

You're right. Walmart makes is profitable and has a sustainable business model.

Oooooh, ziiiinnnggg...couldn't have called that comeback! :crying: What I am actually referring to is the level of service provided to their customers as well as the way they treat their employees. Pretty much every aspect of Virgin America is the opposite of Walmart. In fact, in my opinion, that is one of the reasons we are having a tough time making money. There is very little compromise on spending money to make this an enjoyable place to work, providing extrodinary customer service, and having the best technology implemented in many areas of this company. That's fine though. I didn't know a whole lot about this place before I came here either.

 

[regionaltard]

....Probably a rhetorical question, but what the F drives certain individuals to sound like they would look forward to dancing on the graves of lost jobs, given the chance?

S

It's probably got a little to do with the "they'll work for peanuts, why won't you?" thing. Spare us the "lost jobs" B.S. Everyone who whored themselves out to Sir Dick had a job when they bent over for a bigger jet.

 

[Flyer1015]

Getting rid of the walmarts of the industry will mean better jobs for those that remain. I assume you don't support the undercutting?

Who do you fly for?

 

[tzskipper]

It's probably got a little to do with the "they'll work for peanuts, why won't you?" thing. Spare us the "lost jobs" B.S. Everyone who whored themselves out to Sir Dick had a job when they bent over for a bigger jet.

You mean like the Aloha, Midex, ABX and ATA folks?

S

 

[UM#1]

You mean like the Aloha, Midex, ABX and ATA folks?

S

and World, North American, USA 3000, Southern, Evergreen, ASTAR, Champion, Miami Air, Omni, Ryan Air, and many other refugees with 1000's of hours of experience in large jets....

 

[pilotpm]

It's probably got a little to do with the "they'll work for peanuts, why won't you?" thing. Spare us the "lost jobs" B.S. Everyone who whored themselves out to Sir Dick had a job when they bent over for a bigger jet.

Your name really does fit. You are a tard.

 

[livin'thesim]

Free markets solve more problems than they create. The strong survive, the weak fail.

I'm sure plenty of you communists would love regulation to return, as long as you were in the minority that remained employed.

Those who would lose their jobs? "Taking one for the Team", right?

Here's a clue for some of you bedwetters:

Companies exist to drive the economy, not to guarantee good pilot jobs. Do you cry for manufacturers when they have to drop the price of their goods in order to compete with lower-priced products?

The aviation industry exists for the public good, to provide the maximum number of citizens access to air travel, not so that self-important pilots can earn high salaries.

I am a union pilot, and believe me, I will try to earn as much as I can, and will use every lawful means to increase my compensation.

But I can't fault company owners and stockholders for trying to do the same thing themselves. If People's Express is starting up again, they should do so to make a profit for their owners, not so that pilots (most of whom think the world revolves around them) can make money.

You will make what the market determines. Think you should make more? Go for it, I hope you do. But don't whine when other people attempt to maximize the return on their own investment.

Look at the effeminate and petulantly childish europeans - they feel entitled to high wages, large pensions, long vacations, and 100% job security. What a bunch of babies.

And in their typical adolescent minds, "the rich" and "big corporations" have unlimited funds to make their desired lifestyle possible. This is just envy, plain and simple.

Life isn't fair. If this bothers you, then move to another planet.

 

[hammer2]

Capitalism would work a lot better if slavery were still around. Market forces Yada Yada Yada. Let's at least bring back child labor. Slacker children. Get a job - you're seven years old for chrissakes!

Your mother still keeps you on a leash, huh?

 

[Smarta$$]

Nobody wants to dance on any pilots grave, except maybe for scabs. I think the point is a large number of us are quite tired of seeing another start-up paying lower than an established carrier, sub-standard benefits, and job protections and career expectations that add up to zilch. Point in case, People Express is attempting to resurface on the East coast again. Why? Not because it will provide good pilot jobs but because some schmo thinks he/they can make some money doing it.

That's some pretty anti-capitalist talk from a guy with that avatar picture...

 

[relief tube]

all those losses and they pay their labor peanuts.

please stick around because it's helping the industry so much.

 

[relief tube]

Oooooh, ziiiinnnggg...couldn't have called that comeback! :crying: What I am actually referring to is the level of service provided to their customers as well as the way they treat their employees. Pretty much every aspect of Virgin America is the opposite of Walmart. In fact, in my opinion, that is one of the reasons we are having a tough time making money. There is very little compromise on spending money to make this an enjoyable place to work, providing extrodinary customer service, and having the best technology implemented in many areas of this company. That's fine though. I didn't know a whole lot about this place before I came here either.

who the heck cares? he used walmart as a metaphor for your paycheck buddy.

your enjoyable workplace and "extrodinary" service, don't get your kids through college or help pay the mortgage.

sure as hell doesn't let you live in San Fran. You don't fly to many places, SO YOU RIDE TO WORK ON ALL THE CARRIERS THAT YOU'RE UNDERCUTTING.

 

[bri5150]

who the heck cares? he used walmart as a metaphor for your paycheck buddy.

your enjoyable workplace and "extrodinary" service, don't get your kids through college or help pay the mortgage.

sure as hell doesn't let you live in San Fran. You don't fly to many places, SO YOU RIDE TO WORK ON ALL THE CARRIERS THAT YOU'RE UNDERCUTTING.

My rate is currently better than Spirit, Frontier, Sun Country, American, Hawaiian, United, Allegiant, and US Airways. Down the road we may not keep up, but from what I have heard we have gotten raises every year. Heck, year 3 I am still above a majority of those carriers, including United and US Airways. Beyond 3 years from now, who the hell knows what is going to happen?

The guys I jumpseat on are pretty welcoming and are interested in hearing about Virgin America. They are also quite surprised about the way I am being treated by the company (well, that is). I responded to the guy calling us Walmart because it seems most people here that bash on Virgin America don't seem to understand what is going on here (including rates). As far as flying to a lot of places, I guess I am not sure how an airline is supposed to get started I guess. Enjoy your day!

My enjoyable workplace and extraoridnary service may get my kids through college if the company succeeds because of it.