Frontier secures DIP!

[greenbayfan]

quote from greenbayfan:

"I didn't say I did, but it's basic math to see that even with this financing you can't last more than 8 months."


It may be basic math but it's not basic financial accounting and that's where your projections are wholly and completely wrong.

Ok hotshot, then please explain to me how you think Frontier can survive with an operating loss of $15m a month.....this oughta be good!

 

[Cornelius]

So you think a company loses the same amount every month while they are going through every cost cutting strategy out there???? Why don't we all wait and see if the huge changes we have been going though recently will pan out before you act like your Warren Buffet or something.

 

[Newf Dog]

"Ok hotshot, then please explain to me how you think Frontier can survive with an operating loss of $15m a month.....this oughta be good!"


Um....first off...we will not continue to have an operating loss of $15m per month. As I have contemplated how to explain this to you in the simplest of terms it occurs to me that your comments, along with the general tone of your posts, indicate to me that a) you still won't get it and 2) you don't care to "get it." That's all good though. If you wish to claim victory go for it.

Rather than spell it out for you I'll just quote stratus72:

"I know we aren't out of the woods, but I'm quite confident that our management and the investment firm knows a litte more than you do."

Either way only time will tell.

 

[greenbayfan]

"Ok hotshot, then please explain to me how you think Frontier can survive with an operating loss of $15m a month.....this oughta be good!"


Um....first off...we will not continue to have an operating loss of $15m per month. As I have contemplated how to explain this to you in the simplest of terms it occurs to me that your comments, along with the general tone of your posts, indicate to me that a) you still won't get it and 2) you don't care to "get it." That's all good though. If you wish to claim victory go for it.

Rather than spell it out for you I'll just quote stratus72:

"I know we aren't out of the woods, but I'm quite confident that our management and the investment firm knows a litte more than you do."

Either way only time will tell.

In other words, you don't know what you are talking about.......

 

[jetalc]

In other words, you don't know what you are talking about.......

Don't feed the troll. This guy is clearly out of touch and just wants to post flamebait. No sense in getting upset about this type of tool. His Mommy obviously ignored him as a child.

 

[Newf Dog]

"In other words, you don't know what you are talking about......."

"Don't feed the troll. This guy is clearly out of touch and just wants to post flamebait. No sense in getting upset about this type of tool. His Mommy obviously ignored him as a child."

jetalc,

I agree which is why it's not worth it. In fairness to greenbayfan it does look like a cop-out. However, my interests (and yours) are more about the survivsl of F9 and keeping our jobs. I don't care about some ridiculus debate on FI which I foolishly allowed myself to be sucked into. If greenbayfan chooses to think I have no idea what I'm talking about that's fine by me.

I answered his question in generic form on another post. I started to post a lengthy financial analysis but I realized it was stupid (feeding the troll) and more about my ego, although it's pretty obvious from his question he's out of his league. Besides most guys here don't have a Wharton education let alone an accounting degree. It's not relevant.

We'll just let time show us what happens. More interesting for us is the terms of the DIP and how it relates to the nature of F9 post BK. As you know this will spur all manner of new rumors and cockpit conversation as to whether we will be a privately held company or merged with another carrier.

Personally I hope we survive in our present form. I like our brand and I love our company. I'm optimistic for the future if we can survive the winter and oil comes down.

 

[SennaP1]

Good Luck Frontier.

What I've heard is that you have a great product.

 

[StaySeated]

To quote Harvey Keitel, "lets not start sucking each others d1cks just yet"...

While this is better news then Menke coming out and saying he is turning out the lights, F9 doesn't have the money in their hand yet.

Has anyone stopped to think about what those "certain other conditions" might be. If this gets past the BK court, the company is going to come a 'knocking" for some more concessions. I can already here the speech, "the first pay cut was to get them interested, now we need xxx% to close the deal". Make no doubt about it, there will be another round. I already feel like I gave enough. How about you?

 

[Talon757]

I concur with Senna, gentlemen. Before I escaped being based in Indy I often jumpseated on F9 to get home and you were without fail a class act. Now that ATA has escaped from being my employer I hope to be in a position soon to ride with you folks once more. You can tell a lot about an outfit by observing the attitude of those who work there and I could tell that F9 was a good place to be. Congrats on the good news and may it work to your good fortune.

 

[pipejockey]

I know the Frontier people will despise me for this but let me ask this. Looking at all this from the perspective of someone who needs this industry to survive for the next 25-30 years, is this news about Frontier a good thing? Other carriers are laying off 1000's to reduce capacity so fares can be raised to sustainable levels, yet we are going to have another carrier go into bankruptcy, gut contracts, wipe out debt, just to stay in business and do it all over again in a few years.

Look, if my company were to go bankrupt, then they don't deserve to exist. Yes, even if it meant I were on the street. I'm a reasonably intelligent person, I can do something else. Too many weak carriers are remaining alive due to our bankruptcy laws. But I guess question remains, is the industry as a whole better off for those who remain and those who depend upon it for their living, when carriers continue to go in and out of bankruptcy? At the very least, we should have some laws that limit a company to 1 bankruptcy. If we did, USAir would no longer be around.