Frontier CEO hints at shutdown

[radarlove]

Those actually are standard statements, there isn't anything new in there, other than putting in writing what the real dangers are.

When a company files to go public, the same sort of thing (a lot less menacing, but not as much as you'd think) is written in the prospectus...they list all of the dangers, so investors can't later say they weren't warned.

The reporter had probably never seen this type of filing before, so out comes a bit of a hysterical story.

That's not to say that Frontier isn't in dire straights, just that this document isn't new news.

 

[jhill]

where's that infallibility of capitalism now?

What is your point commie? What do you suggest, the government step in and make us all equal? That way lazy, worthless spiritless, soulless pieces of excrement like yourself can survive in this cold cruel world. I would just love to get to take care of you and your family since its to much of a burden for your pitiful crybaby self. You are an oxygen thief. Every breath you take is stolen air.

 

[amF16]

Its not standard to report in your 10K that you may have to cease operations, unless its a very real possibility. I bet you cant find that type of warning in other companies 10Ks. Unless they too are also in BK or about to enter BK. Its easy to research just check out Yahoo finance.

 

[Bookingsareup]

"Unless they too are also in BK"

Which, if you read my post, is exactly what I said.

"or about to enter BK"

Wrong- No way a public company would tip their hat before they file for protection.

"Its not standard to report in your 10K"

You bet it is.

" Its easy to research just check out Yahoo finance"

Heed your own advice.

Its not standard to report in your 10K that you may have to cease operations, unless its a very real possibility.or about to enter BK. Unless they too are also in BK or about to enter BK. Its easy to research just check out Yahoo finance.

 

[Cardinal]

That is not a "hint" as you so describe. It is a standard set of statements you will find in any 10-K filing especially if a company is currently under bk protection.

A big +1. In other news, water is wet.

 

[Deadalus]

What is your point commie? What do you suggest, the government step in and make us all equal? That way lazy, worthless spiritless, soulless pieces of excrement like yourself can survive in this cold cruel world. I would just love to get to take care of you and your family since its to much of a burden for your pitiful crybaby self. You are an oxygen thief. Every breath you take is stolen air.

We call it democracy you fascist moron. Why don't you go dry hump a photo of Mussolini. Don't worry, corporate Ceos love your kind.

 

[kngarthur]

where's that infallibility of capitalism now?

Yea! And at least we're doing our part to end "Global Warming" Yea man!!! HAHAHA Man!!! Vote for Obama man!! Yea!! Obama's good! McCain bad!!! Yea! man

 

[ualdriver]

COLORADO SPRINGS - Just months after starting service in Colorado Springs, a 114-page Security and Exchange Commission report filed by Frontier Airlines suggests the company may be forced to discontinue its operations. According to the SEC, a 10-K provides a comprehensive overview of a company's business and financial condition and includes audited financial statements.

http://phx.corporate-ir.net/client/92/92562/HTML/2007_Annual_Report.htm#303

Click that link. Go to page B-11. Go to item 1A risk factors. Read to the top of page B-14. Now keeping the tone of pages B-11 through B-14 in mind, reread Frontier's 10-K. Keep in mind that the link above comes from the healthiest airline in the business and it is still fraught with scary statements like, "The Company’s inability to successfully implement its revenue initiatives could adversely affect its results of operations."

Granted, Frontier is in bankruptcy and Southwest is not, so there are a couple of other "risks" that need to be disclosed. Just because Frontier management writes about some scary stuff in that disclosure does not necessarily mean that it is going to imminently happen, just like the statement I cut and pasted above from SWA's annual report isn't necessarily going to happen either.

Official disclosures such as these often contain statments such as these just to cover the company's a** in case things go pear shaped and investors get sue-happy. I would guess that the SEC requires full disclosure of any reasonable risk a potential investor might face.

That reporter should know better and is just digging for a story at the expense of Frontier employees.

 

[kngarthur]

We call it democracy you fascist moron. Why don't you go dry hump a photo of Mussolini. Don't worry, corporate Ceos love your kind.

Actually it's a Republic--idiot! Why don't you dry hump a photo of Hitler.

 

[Secret Squirrel]

The russians probably got closer to pure Communism than we ever will to pure capitalism. We are closer to socialism than capitalism.