Barger Hints More A/c To Be Sold

[lowecur]

Making a statement in conjunction with the release of the December numbers, Barger says more a/c to go out the back door:

"We experienced strong demand during the holiday season,'' said Dave Barger, JetBlue's CEO. "However, given an uncertain economic environment and record high fuel prices, we plan to grow more conservatively in 2008. Assuming market conditions remain favorable, we expect to take advantage of continued strength in the worldwide aircraft market to manage our fleet growth, and we currently plan to increase capacity between six and nine percent for the full year.''

I would bet 6% is more realistic with the economy on it's way down for 2008, but it should be boosted upwards as the effects of consolidation increase the 2009-10 numbers provided the economy doesn't totally tank. So what was the previous forecast, 10-12% growth?

Stockprice took a tumble yesterday, and I'm sure this is an endorsement that Jetblue is no longer a growth company.....$3.00 is on the way, with a probable reverse stock split by the end of the year. Reduction in LF by 2.6% is in line with the previous 2 quarters, as B6 sticks with it's ticket pricing policy.

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[Bavarian Chef]

Umm, not that I doubt we will sell aircraft ...

But where in that quote does it say we are selling aircraft?

 

[Bavarian Chef]

Continued strength in the world aircraft market?

Okay, I'll buy that as a good JetBluespeak for selling airplanes.


I bet we sell airplanes, planters, staplers, fax machines, 190 FOs, Puerto Ricans -- you name it to stay in the biz.

 

[freightdogfred]

Stick a fork in this turkey, it's almost cooked...

http://finance.yahoo.com/q/bc?s=JBLU&t=my&l=on&z=m&q=l&c=

Soros and Barger both hold a lot of shares, when one starts selling ya better look for an exit. It's a nice ride on the BleuJet when ya gotta nonrev. Time will tell, and I hope for all my bud's over there things work out.

 

[lowecur]

Stick a fork in this turkey, it's almost cooked...

http://finance.yahoo.com/q/bc?s=JBLU&t=my&l=on&z=m&q=l&c=

Soros and Barger both hold a lot of shares, when one starts selling ya better look for an exit. It's a nice ride on the BleuJet when ya gotta nonrev. Time will tell, and I hope for all my bud's over there things work out.

. Stockprice wise, yeah. I wouldn't worry about the airline, they will do just fine.

Legacy's must consolidate to battle the downturn in passengers from the coming recession. The low cost model must reduce capacity growth and infiltrate the business market long dominated by the legacy's. Jetblue will sell a/c, and look to jettison non profitable markets. They must then move into area's that will help them subsidize the feed that will surely be needed with the coming structural alliance with LH. WN has the size to be patient and strike when things become available. This article addresses that fact as oil rises the lcc's can no longer expect revenue to continue from the leisure market. The lcc model is morphing to more of a hybrid.

http://news.morningstar.com/articlenet/article.aspx?id=222492

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[Bavarian Chef]

So the stock may very well close below 5 bux today, and Looftansy agreed to buy it at a little above 7 bux. Oh by the way, they haven't actually completed the transaction yet.

Soooooooooooooo, do they still buy it? Do they pay the same price? Do they look like the dumbest Germans since Operation Barbarossa? Should I just ask for the IA to Baghdad now and get it over with?

And what's with the big announcement we are SUPPOSEDLY making this week?

 

[whymeworry?]

I read your add in USAToday yesterday announcing a fare sale. Perhaps your CEO needs to go back to business school.

Charge customers for the cost of your product or else you're no different than a philanthropic oganaziation. How long can you afford to subsidize air travel for pubic?

 

[lowecur]

So the stock may very well close below 5 bux today, and Looftansy agreed to buy it at a little above 7 bux. Oh by the way, they haven't actually completed the transaction yet.

Soooooooooooooo, do they still buy it? Do they pay the same price? Do they look like the dumbest Germans since Operation Barbarossa? Should I just ask for the IA to Baghdad now and get it over with?

And what's with the big announcement we are SUPPOSEDLY making this week?

$318M is a long term strategic and financial investment. The investment will be worth between $75-125M once the price falls in line with the proper multiple and downturn economically. I think LH can afford it.

I think some of this purchase has to do with LH/Star Alliance being left out of the loop with USA consolidation. The rest is of course open skys.

I think the announcement is either a code share with Lingus or other international carriers (Star Alliance). Don't worry about Jetblue, they will be fine as long as mgt doesn't do anything stupid.

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[radarlove]

JBLU just dropped below $5.00 per share.

It's a bit of rule-of-thumb that stocks valued below five bucks indicate that the market thinks there is a strong chance of bankruptcy.

That's also why once a stock drops below $5.00, most retail brokerages won't allow you to short it.

 

[Jonny Sacko]

Jet Blue Sucks!




Thought I'd start it off.

c'mon man, we're all screwed in the down market. They'll sell or do whatever it takes to stay alive as long as possible. I think the merger mania will fix all of these problems. I bet it starts in the summer. Yup, lots of visions in my sleep.

 

[Bavarian Chef]

Don't worry about Jetblue, they will be fine as long as mgt doesn't do anything stupid.

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Haaaaaaaaaaaaaaaaaaaaaaaaaaaaa. Like LIDO? That Maintenance Tracking Software? Carmen? Not hiring a fuel hedging guru? The JB Lodge? Not buying Indy's gates at IAD? The 190? Umbrellas and Snowglobes?

 

[lowecur]

JBLU just dropped below $5.00 per share.

It's a bit of rule-of-thumb that stocks valued below five bucks indicate that the market thinks there is a strong chance of bankruptcy.

That's also why once a stock drops below $5.00, most retail brokerages won't allow you to short it.

Please! Jetblue has a few stock splits, and they could do a reverse to put the individual stock price above $5. Market capitalization is much more important than individual stock price, and if you see it drop below $200M, then I would start to worry.

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[radarlove]

Lowecur, I finally figured out that you're a JBLU pilot.

As I mentioned, the stock price is a rule-of-thumb, but it works pretty well. Reverse splits are the kiss of death usually done only to keep the minimum of $1.00 stock price required to stay listed on the exchange.

Not prognosticating that JBLU will go BK, just pointing out that the market thinks there's plenty of chance of that. T

he recent cash infusion was sorely needed, balloon payments on bond issues could have pushed the red button.

 

[lowecur]

Lowecur, I finally figured out that you're a JBLU pilot. I know nothing of flying, trust me.

As I mentioned, the stock price is a rule-of-thumb, but it works pretty well. Reverse splits are the kiss of death usually done only to keep the minimum of $1.00 stock price required to stay listed on the exchange. You will find companies doing reverse stock splits if a stock goes below $5. $5. is used by many institutional investors as a minimum, and many companies have done reverse stock splits in the past when it goes below this number. Most $1. stocks are truly on their way to BK. Many have never had a stock split to begin with, and like you say they need it to stay listed.
Not prognosticating that JBLU will go BK, just pointing out that the market thinks there's plenty of chance of that. Sorry, don't buy that arguement.

he recent cash infusion was sorely needed, balloon payments on bond issues could have pushed the red button.

Jetblue has many valuable assets to play with before they would have ante'd up the $400M in 2008. Refinance is one, although they wouldn't have like the terms.

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[lowecur]

Haaaaaaaaaaaaaaaaaaaaaaaaaaaaa. Like LIDO? Great Game, or is that Lotto? That Maintenance Tracking Software? Who needs maintenance? Carmen? Great Opera. Not hiring a fuel hedging guru? The Dali Lama is available The JB Lodge? Sell it to Best Western Not buying Indy's gates at IAD? Ehhh!The 190? Blasphemy!Umbrellas and Snowglobes?

Neeleman was an obsessive/compulsive shopper.

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