YourPilotFriend
YourPilotFriend
- Joined
- Nov 14, 2005
- Posts
- 1,570
The creditors have a lot to lose in this situation, probably moreso than any other companies. A holding companies, which owns most of NWA aircraft, has also loaned them billions of dollars. When NWA is in operation, if it loses money, the holding company still gets paid the original rate. If NWA liquidates, not only is that cash flow cut-off, they will recieve pennies on the dollar for the loan bonds, and have about 17 billion in aircraft returned to them. I think they will negotiate; management are mere puppets in this arrangement.
The economic loss of NWA could total in the 50-100 billion dollar range. That's a lot of money to lose over a labor dispute of 60ish million dollars. Unless management believes the pilots will cross the picket line, it will be the biggest mistake in avaition history. Management can kiss there future careers goodbye if this thing goes wrong.
The economic loss of NWA could total in the 50-100 billion dollar range. That's a lot of money to lose over a labor dispute of 60ish million dollars. Unless management believes the pilots will cross the picket line, it will be the biggest mistake in avaition history. Management can kiss there future careers goodbye if this thing goes wrong.
