ABX furloughs

[ABXbooger]

If they are giving it away, I'll take it...the ACMI contract they have with DHL alone would guarantee myself and several generations of my family a very good living.

 

[xspud]

Why would anybody in their right mind want to purchase Astar?

Anybody wanting to take over Astar's ioperations would probably be better off to bankrupt the company, purchase only the assets (of which the Operating Certificate is one), and hand out new job apps to the departing employees. The same applies to ABX.

Buy Astar? I'm not sure you could give it away...

I agree, there's not much to buy at either company. I can't picture either being interested in buying the other just based on their assets or their respective ACMI's. The only reason I can think of that such a thing would occur is at the prompting of DHL. That doesn't mean that I expect such a thing to happen, I'm just saying that it could. DHL would have to be offering the financing and a repackaged ACMI to someone.

The acquisitions that we know ABX has looked at are operations like Pace. I'm guessing that ABX would like to pick up anything cheap that expanded the scope of our operation (charters, pax, long-haul frt) and then they could have in-house competition for the international charter work they've been pursuing. I think they've expressed interest in having a maintenance facility that they control, too.

 

[penguin22]

Is ABX buying or selling?

I think we're buying.
Check out the Investor presentation held June 5-7.
http://www.sec.gov/Archives/edgar/data/894081/000119312507129998/dex99.htm

About the 6th slide is the "Strategy for profitable growth"

"Pursue acquistions of complementary air operators"

 

[ABXbooger]

interesting presentation. Almost makes it look like a well run company. I think they should let an investor come and work here for a while...

 

[xspud]

Hotline update tonight (Tuesday). Bid pkgs will be out Thursday.

 

[Bitter]

I hear things got fixed....any details?

 

[Whistlin' Dan]

If they are giving it away, I'll take it...the ACMI contract they have with DHL alone would guarantee myself and several generations of my family a very good living.

It's probably not as lucrative as you think. As I understand it, it's basically a "cost-plus" contract. It's inconceivable to me that a non-government entity would award such a contract without some very powerful incentives to keep those costs low. Were that not the case, the pilots of Astar would have a contract in hand that would compare favorably with FedEx or UPS. The pilots of ABX would soon follow.

I'm sure that the terms of the contract protects Astar's investment to some extent. But the real money in owning Astar is to be made by bringing pay and benefits down to the level of other ACMI carriers flying similar aircraft.

 

[AV8OR]

It's probably not as lucrative as you think. As I understand it, it's basically a "cost-plus" contract. It's inconceivable to me that a non-government entity would award such a contract without some very powerful incentives to keep those costs low. Were that not the case, the pilots of Astar would have a contract in hand that would compare favorably with FedEx or UPS. The pilots of ABX would soon follow.

I'm sure that the terms of the contract protects Astar's investment to some extent. But the real money in owning Astar is to be made by bringing pay and benefits down to the level of other ACMI carriers flying similar aircraft.

Whistlin....are you friggin kidding me? The more you talk the more I wonder what your background is. I used to think you were Brannon, but heck, Brannon knew more than you. Dude, AStar is paid for. Note paid off. 15Mill year base to JD not including bonus. I don't know what world you live in but 15 Mill in "quan" for the next 7 years would pretty much do it for me, plus whatever millitary contracts I fly.


I don't know if you post on other forums, but you shoulda stopped here while you were ahead. But I'm sure you won't....cause you have your finger on the pulse. If I'm wrong at the end of the year......I'll tip my hat to ya.

 

[Whistlin' Dan]

Whistlin....are you friggin kidding me? The more you talk the more I wonder what your background is. I used to think you were Brannon, but heck, Brannon knew more than you. Dude, AStar is paid for. Note paid off. 15Mill year base to JD not including bonus. I don't know what world you live in but 15 Mill in "quan" for the next 7 years would pretty much do it for me, plus whatever millitary contracts I fly.

I don't know if you post on other forums, but you shoulda stopped here while you were ahead. But I'm sure you won't....cause you have your finger on the pulse. If I'm wrong at the end of the year......I'll tip my hat to ya.

Why don't you cite your source for that info, so that we can all genuflect in your direction?

And while you're at it, explain to the world why the company has been jerking you around on your contract for the last 3 years, when they're going to be paid "cost-plus" for your services anyway? I'd think they'd want to get this all behind them. Or are JD and his minions just a bunch of big meanies who want to torment you guys for as long as they can?

 

[AV8OR]

"Why don't you cite your source for that info, so that we can all genuflect in your direction?"

Alright, First, if you want to search the reams of docs from the ALJ/Citizenship hearings...knock yourself out. Second, here's a couple of other folks that cite the figure......

A. http://www.cargonewsasia.com/secured/article.aspx?article=1019 next to last paragraph.
B. http://www.fas.org/sgp/crs/misc/RL33255.pdf middle of page 14


When you're done reading, I don't really care care whether your genuflection in my direction involves a bow or even feeling to need to lay prostrate on the floor. I'm sure whatever position you find yourself in at the end of the day will result in you kissing your own a$$. What a friggin arrogant jerk.

"And while you're at it, explain to the world why the company has been jerking you around on your contract for the last 3 years, when they're going to be paid "cost-plus" for your services anyway? I'd think they'd want to get this all behind them. Or are JD and his minions just a bunch of big meanies who want to torment you guys for as long as they can?"

There's no tellin Dan. We don't know if he has some sort of side bonus built into his agreement with DHL or what that might provide extra funds if a concession is reached. It's privately held. So unless you double as JD's pool boy in MIA, and he whispers you sweet nothings when you bring him a Mai Tai about the inner workings of his relationship with DHL, I'm guessin you sure don't know.

I do know this....the hardball negotiations we've experienced are right out of the NWA CEO playbook and while it may seem like the costs of a fabulous contract could just be laid at DHL's feet, that's not how it works. And he has always blamed the tone of negotiations on DHL.

Unfortunately for you, as distance between "what used to be" and "what is" increases, the more your analysis becomes irrelevant. Why don't you just stick to predicting whether or not the pilot strike at Eastern is gonna end up shutting it down. Maybe you'll get that right.