AirTran could be delisted and BK this month?????

[Lowrider717]

Also why hasn't the Union told us anything in several days. The NPA forums have been down for days and yet no one is telling us why.

NPA Board mtgs today, tues&wed. Wednesday is open session, you can go if you want. I'm gonna ask if they can put it on conference so I can "attend" from home.

The forum has been down before, and the outage was put on the Home page that it would be fixed Mon.AM. I suspect because it happened on the weekend it didn't get fixed till monday am(8am by the way)

I think you can be fairly sure the boys at the NPA are pretty busy and are just as anxious to get you some info. Lets hope its good news. Keep the faith! Keep you FOM AOM and Contract handy and follow em like a good prof.pilot should.

 

[spitfire1500]

First...it figures that this thread was started from somebody from SWA.

Second...read the 7/12 S&P excerpt below.

"We think AAI is likely to benefit from scaled
back industry capacity in its markets, allowing
for yield gains in excess of the industry average.
We do not believe the company, with $358
million in cash at the end of the first quarter, is
at risk of bankruptcy over the next year. The recent
sale of stock and debt added about $170
million to cash balances. However, high oil
prices are likely to drive large net losses over
the next two years, and we expect investor
sentiment on airline stocks to remain poor."

Thats co. issued BS...when an outside source says it the maybe...AAI stock has cost me a few buucks.

 

[PCL_128]

If the employees can be patient and accept Bob's mgt decisions

I'm more than happy to accept his management decisions...so long as they don't affect my paycheck.

 

[Ex737Driver]

Uhhhh, have you seen all the airline stocks lately? I don't think the worries at AAI aren't at least industry wide with the exception of SWA...

CAL 6.74
NWA 5.50
DAL 4.64
AMR 4.47
UAUA 3.43
JBLU 3.21
LCC 1.91
AAI 1.38
FRNT .49
MESA .30

More importantly, some airlines like LCC and UAUA have had highs of 30+ and 60+ dollars per share only a year ago, so their drops have been significant. NWA and DAL wrote off about 6+ billion in loss of value earlier this year.

If I were a betting man and could figure out who'd survive this downfall, it's a great time to buy!!!

No one, and I mean no one is immune. I don't care who you work for. Gulf Coast Jet A was $174.65 a barrel today. There will be some that last a lot longer than others but at that price, all are doomed at some point and time.

 

[FDJ2]

​

NEW YORK (Associated Press) - It said that while AirTran is currently in compliance with the covenants contained in its credit card processing agreements, the company's credit card processing banks have the right to increase the credit card holdback under certain circumstances, which would increase AirTran's cash requirements.
"AirTran has no unused lines of credit available and substantially all of its assets are encumbered," Moody's said.

That's the straw that could break the camel's back. If the credit card company's raise the holdback requirements AAI has two options, face a potential liquidity crisis, or no longer accept credit card payments for tickets. The latter is suicide, the former is one giant step towards Chapter 11.

 

[Max Powers]

NEW YORK (Associated Press) - It said that while AirTran is currently in compliance with the covenants contained in its credit card processing agreements, the company's credit card processing banks have the right to increase the credit card holdback under certain circumstances, which would increase AirTran's cash requirements.
"AirTran has no unused lines of credit available and substantially all of its assets are encumbered," Moody's said.

That's the straw that could break the camel's back. If the credit card company's raise the holdback requirements AAI has two options, face a potential liquidity crisis, or no longer accept credit card payments for tickets. The latter is suicide, the former is one giant step towards Chapter 11.

I think we took that step some time ago!

 

[PCL_128]

Unless oil falls below $120/bbl, I think bankruptcy is inevitable, not only for us, but for virtually every (non-SWA) airline in the country. With these oil prices, I predict Chapter 11 for us early next year.

 

[johnsonrod]

Well, I know of an airline that will be hiring 737NG rated pilots in the near future:


(07-14) 07:09 PDT FARNBOROUGH, England (AP) --
The world's largest air show opened Monday with several new orders for Boeing Co. and aerospace executives upbeat about the future of the industry despite high fuel prices and the credit crisis.
The Farnborough International Airshow on the outskirts of London is traditionally — along with its sister show in Le Bourget in France on alternate years — the scene of a flurry of high profile orders for U.S-based Boeing Co. and its European rival Airbus.

In an early, anticipated announcement, the recently launched low-cost airline FlyDubai announced an order for 50 next-generation 737-800s, worth around $3.74 billion in total at current list prices. FlyDubai has substitution rights to convert its 737-800 orders to 737-900ERs in the future.

Meanwhile, Etihad Airways said it placed an order for 45 Boeing aircraft worth $9 billion at list prices, comprising 35 Boeing 787 aircraft and 10 Boeing 777-300ER. Etihad, the national airline of the United Arab Emirates, is also placing options for another 25 Boeing 787s and 10 Boeing 777s. Aircraft deliveries will begin 2011 and are set to be completed by 2020.

In a smaller deal, Saudi Arabian Airlines signed a contract with Airbus for eight of the European plane maker's A330-300 wide body aircraft. No price was immediately given on the contract. Other possible buyers include fellow Middle Eastern carrier Qatar Airways, All Nippon Airways Co., British Airways and Los Angeles-based International Lease Finance Corp., the world's biggest aircraft lessor.

But deals at this year's event, to be attended by more than 300,000 people, are expected to be thin compared with the Paris show last year, where 506 orders were taken between Airbus and Boeing. Credit Suisse said it expects around 200-300 orders to be announced at Farnborough.

Potential cancellations and delays have so far generated as much talk around the air show as possible orders to purchase. Plane makers have been quick to strike a reassuring stance, suggesting the difficult economic outlook could in fact prompt more efficiency in the industry and with the introduction of cleaner planes. "Is it over? No, I don't think so," said Scott Carson, president and CEO of Boeing's Seattle-based commercial airplanes unit. "I think the opportunities that are presented by the crisis we find ourselves in will drive manufacturers to produce products that allow our customers to be more efficient and be profitable," he added in a briefing at the opening of the weeklong show.

Carson said that Boeing had not received any cancellations. "We have experienced a handful of delays from customers, but each of the delays has been more than offset by increased demand from customers for one product earlier to help them deal with the high fuel price," he said.
Escalating energy costs have eaten into airline profits, and 25 carriers have ceased operations in the past six months. The International Air Transport Association is forecasting industrywide losses of $2.3 billion this year.

 

[ron burgundy]

I've been off for two weeks.. Heard a rumor things are tough in the industry. Any truth to this?

 

[bravodude]

right now I just wish the SWA guys would keep to themselves. Even though possibly well intended, during these times it is questionably well intended.

Why should we keep to ourselves. I don't think any swa pilot would wish harm on another crewmember. Having said that if SWA was the airline that was introuble I don't think anyone on this board would keep to themselves.