AAI stock in the 1's

[Devil Dawg]

I bought some TWA at 2.00. You know the rest of that story. That being said TWA was an old airline that had been gasping for breath for a long time. I think the tranny at 1.xx is a much better bet that TWA was..... but still don't bet it all!!

 

[PCL_128]

I would love to buy, but on this crappy FO pay, I can't afford shares at even $2.

 

[lowecur]

I'm buying. I think is a bargain. Will we go into BK? I have to think we are better positioned than other airlines. Can we peddle faster? I'm betting on it. Maybe I'll kick myself for it later but I'm rolling the dice.

BK is a ways off yet. Probably 6-8 months at the earliest. Many of the legacy's will have to file again about the same time, but I think AAI can shave some serious expenses from gate leases, equipment leases, along with the dreaded pay cuts from pilot's, FA's, and the rest either befire they file or while in 11. The Feds may have to kick in for DIP and exit financing for all involved as the credit markets have tanked.

imp:​

 

[Saluki Dawg]

BK is a ways off yet. Probably 6-8 months at the earliest. Many of the legacy's will have to file again about the same time, but I think AAI can shave some serious expenses from gate leases, equipment leases, along with the dreaded pay cuts from pilot's, FA's, and the rest either befire they file or while in 11. The Feds may have to kick in for DIP and exit financing for all involved as the credit markets have tanked.

imp:​

Unfortunately, there probably won't be any Federal Bailout of the Airlines this time around. The taxpayers don't have the stomach to go through that again. Besides the government is going to use up all of their money bailing out the Investment Banks and Subprime borrowers.

 

[lowecur]

Unfortunately, there probably won't be any Federal Bailout of the Airlines this time around. The taxpayers don't have the stomach to go through that again. Besides the government is going to use up all of their money bailing out the Investment Banks and Subprime borrowers.

That's why they have printing presses. I can't see it going beyond $25B, and that is chump change compared to what it will cost the taxpayers with the banks (FDIC hasn't even begun to get warmed up as hundreds of banks will liquidate as the credit crisis deepens).

imp:​

 

[pianoman]

At some point it begs the question of how much letting them fail will further hurt air service, business, economy and therefore tax revenue.

It might be cheaper for the government to do something like a fuel stabilization program than the alternative.

Just a theory. But we have been doing it for years on a smaller scale- EAS.