SKYW - XJT earnings

[Nevets]

Where are you seeing a profitable XJT in that report? To me it looks like that segment of SKYW, Inc lost $6.1M.

They add all the non-operating expenses and revenues. I did the math for you and took those out. Last year, XJT was operationally profitable and this year they are not.

 

[asayankee]

Is management still paying tens of millions of dollars AHEAD of engine and airframe major overhauls? Easy to show a loss against a business entity when you pay ahead on your expenses.

 

[centralpilot]

They add all the non-operating expenses and revenues. I did the math for you and took those out. Last year, XJT was operationally profitable and this year they are not.

I was talking to Mickey Mouse, not you. Mickey was discussing 3Q of this year, not last year.

 

[Jon Rivoli]

Is management still paying tens of millions of dollars AHEAD of engine and airframe major overhauls? Easy to show a loss against a business entity when you pay ahead on your expenses.

Prepaids are listed on the 10Q. Prepaid aircraft rents amount to just over $335 million. It is one of the strategies to improve profitability. By prepaying you can get significant discounts on leases, insurance and MX expenses. It is accounted for in the current assets section.

When added to cash and marketable securities it brings the effective usable cash balance in the near term to over $1.3 billion.

That is a lot of cabbage on hand. My guess is that is being saved up for the inevitable execution of plan B, post CPA operations.

 

[PBRstreetgang]

Prepaids are listed on the 10Q. Prepaid aircraft rents amount to just over $335 million. It is one of the strategies to improve profitability. By prepaying you can get significant discounts on leases, insurance and MX expenses. It is accounted for in the current assets section.

When added to cash and marketable securities it brings the effective usable cash balance in the near term to over $1.3 billion.

That is a lot of cabbage on hand. My guess is that is being saved up for the inevitable execution of plan B, post CPA operations.

Also makes the operation a target for hostile takeover. By taking over SKYW, it becomes possible to deny the other partners/competition feed. There is something afoot, that's for sure.

 

[Jon Rivoli]

That's enough cash to execute a stock buy back to stave off a hostile takeover. A majority share is probably already held by the Treasury, Jerry and a few select investors to block any attempt.

Whatever may be afoot; Delta has become an intractable partner, squeezing regional feed beyond sustainable limits and there seems to have been a falling out between them and Alaska.

All EMB orders are convertible to 195's and SKYW own's the gate's in SLC.

Who knows.

 

[Mercyful Fate]

Hostile takeover..that is funny

 

[Nevets]

Hostile takeover..that is funny

Not really. It's conceivable but it would definitely signal an "all-in" strategy. It's one thing to play with other people's money (shareholders) but it's entirely different when it's your own money.