MidEx

[Propsync]

Right now, I just don't see AAI offering much more than about $10 a share for MEH if the TPG deal falls through.

I'd be suprised if they would offer 5 if they get the chance. MEH is in such bad shape if the deal falls, AAI would be crazy to offer ten, nobody else wants them. Or they just let MEH die on the vine and try to pick it up cheap in a bankruptcy.

 

[fam62c]

When it hits a buck 50, folks will have hard-ons for 100 bucks a barrel. We haven't seen the top yet, hence the reason to get stuff consolidated now. You typically can't get everything you want during the liquidation of an outfit, as opposed to buying it all and chaffing what you don't want.

Stay tuned, and keep the faith that soon enough we'll have profitable airlines at 65% loads.

You've got that right. All it will take is the USA and Iran to start shooting at each other and we will look at $100 oil as the good old days. It's bad enough now but if oil goes up or stays up at these levels it will create a huge drag on the economy and start a massive recession. Post WWII every record spike in energy prices has caused a recession.

 

[CitationLover]

You've got that right. All it will take is the USA and Iran to start shooting at each other and we will look at $100 oil as the good old days. It's bad enough now but if oil goes up or stays up at these levels it will create a huge drag on the economy and start a massive recession. Post WWII every record spike in energy prices has caused a recession.

the question is is this a spike in prices or the new price of oil? current estimates have 60% of the price tied up in political uncertainty in the middle east.

 

[ultrarunner]

the question is is this a spike in prices or the new price of oil? current estimates have 60% of the price tied up in political uncertainty in the middle east.

And I would expect that uncertainty to last for a while...especially with a change in leadership on our end.

 

[CitationLover]

...especially with a change in leadership on our end.

thank god. no more texans for awhile!

 

[hyperboy]

Cl

CL your a HILLARY LIB!

 

[fam62c]

the question is is this a spike in prices or the new price of oil? current estimates have 60% of the price tied up in political uncertainty in the middle east.

I don't think there's any question that some component of the oil price is based on fears of supply disruption but I wouldn't buy 60%. The demand for oil continues to rise as economies in places like India and China begin what should be very long expansions. Couple this with the fact that oil production and refining capability is at or near it's peak and you get high oil prices. A serious recession would reduce the demand for oil and probably lower prices, also, high oil prices themselves should result in reduced demand for oil. I also believe that if a Democrat wins the presidential election you will see an immediate 10-20% or more drop in oil prices because WWIII in the mideast will become less likely when GW and his itchy trigger-finger are out of the White House. The problem is that the airline industry is more sensitive to fuel prices than any other industry and even if oil drops to $70 it would still be tough, especially if demand for travel is reduced in a weakened economy.

 

[jmreii]

the question is is this a spike in prices or the new price of oil? current estimates have 60% of the price tied up in political uncertainty in the middle east.

Does not matter unless you are able to control the supply of oil. The U.S. does not control the supply of oil they are able to obtain from other countries free of political problems or the philosophy of " I hate your guts on GP ", therefore you are everybody elses puppet. That is a nice way of putting it. You better add Russia, North and middle Africa to the list along with the middle-east. The U.S. has a long history of underestimating other countries and people.

 

[CitationLover]

CL your a HILLARY LIB!

listen up sailor boy. it's you're, that's you+are. and now you know, and knowing is half the battle.

i know you think hillary is sexy, but she is not getting my vote. i need barry goldwater's corpse to run, there's someone to vote for!

 

[CitationLover]

Does not matter unless you are able to control the supply of oil. The U.S. does not control the supply of oil they are able to obtain from other countries free of political problems or the philosophy of " I hate your guts on GP ", therefore you are everybody elses puppet. That is a nice way of putting it. You better add Russia, North and middle Africa to the list along with the middle-east. The U.S. has a long history of underestimating other countries and people.

the price of gas that you put in your car and airplane in this country being high is more a factor of:

a) the lack of refining capacity - that's our problem
b) corporate greed - our problem again
c) barrel of oil price - being driven up by speculators and security concerns not demand from china and india.

our supply of oil is fine, the arabs, etc ain't going to shut off their largest customer. besides the price is approaching the point where the largest known oil field in the world (tar sands of alberta, canada) is becoming economically feasible to extract. i'd say canada is fairly stable to deal with versus the middle east, russia, etc.