Southwest's new plan to screw Airtran pilots

[jonjuan]

Hey, how much cash on hand did tranny have when they sold themselves to SWA?

What does a companies cash on hand have anything to do with pilots?

 

[SWA/FO]

What does a companies cash on hand have anything to do with pilots?

It shows one how healthy a company is.

I didn't know we had to talk about Pilots only. I thought we could discus actual airlines.

 

[RLAblows]

Hey, how much cash on hand did tranny have when they sold themselves to SWA?

Maybe someone can confirm this, but I believe it was around 800 million.

 

[PCL_128]

Nah, less than half that. It was plenty for our operation, though. Analysts generally want to see more than 10% of annual revenue in cash or liquid investments. AirTran was over 15%.

 

[scoreboardII]

AT had $540 million cash on hand, 10K Feb 2010

http://www.wikinvest.com/stock/AirTran_Holdings_(AAI)/Filing/10-K/2010/F46739705

Guys, if you have never looked at your airlines 10K, start, you'll be the first one to realize things are going south, or things are going great.

 

[PCL_128]

AT had $540 million cash on hand, 10K Feb 2010

http://www.wikinvest.com/stock/AirTran_Holdings_(AAI)/Filing/10-K/2010/F46739705

Guys, if you have never looked at your airlines 10K, start, you'll be the first one to realize things are going south, or things are going great.

A significant chunk of that wasn't really cash. It was a loan. If memory serves, the loan was over $100 million. Real cash was closer to $400 million. Still a fine amount for an airline our size, though.

 

[scoreboardII]

Cash is cash. Debt is under another column.

 

[PCL_128]

Cash is cash. Debt is under another column.

No, cash from a loan appears as both cash and debt.

 

[vixin]

Hate to say it but PCL is correct.




Quote:
01/27/2010 CEO Robert Fornaro addressed the issue during a conference call Wednesday to discuss the airline's fourth-quarter financial results. QUESTION: How do you view the industry landscape and your prospects for growth in an improving economy?


Quote:


RESPONSE: "It's not our plan to scour the market and look for new planes. ... Right now, it's financial success first for us."




Quote:
2010-04-22
Quote:


ATLANTA -- AirTran Airways isn't putting up a for-sale sign, but the CEO of the discount carrier said Wednesday it would consider a combination with another carrier if approached and if such a deal made sense for the company and shareholders. CEO Robert Fornaro made the comments during a conference call with investors to discuss the airline's first-quarter financial results. Higher fuel prices stung AirTran, causing the usually profitable airline to post a $12 million loss for the first three months of the year.




Quote:
2009-02-06
Quote:


Comments ATLANTA (Map, News) - Discount carrier AirTran Airways doesn't expect any overall growth for two years as it tries to weather the severe downturn in the U.S. economy, though it will add service in Milwaukee in a renewed effort to gain market share there, Chief Executive Robert Fornaro said Thursday. Fornaro told a gathering of analysts at the Raymond James & Associates Growth Airline Conference that AirTran will cut capacity in 2009 and likely will be flat in terms of capacity in 2010, but in 2011 it could (doesnt mean it would) grow at least 5 percent. In the meantime, it will make a push in Milwaukee.

Quote:


AirTran pilots to picket outside annual meeting

Originally published: May 17, 2010 4:37 PM
By The Associated Press HARRY R. WEBER (AP Airlines Writer)
ATLANTA - (AP) — AirTran Airways' pilots plan to picket outside the discount carrier's annual meeting to step up pressure on management over the workers' more than five-year effort to secure a new contract with better wages and quality-of-life improvements.
They also expect to announce during Tuesday's shareholders' meeting in Milwaukee that rank-and-file pilots have authorized the union to call a strike if it chooses.
At stake is AirTran's low-cost advantage over larger rivals that has allowed it to lead the way on fare sales and usually still turn a profit. AirTran posted a small loss for the first quarter but said it expects future cost pressures from fuel and maintenance. Additional labor costs could further affect its bottom line.

 

[SWA/FO]

Somebody said the other day "That if the AT Pilots did go on strike that they had planned to shut it all down in 3 days" (Like Management didn't have enough cash to weather the storm).

So I started wondering? Then I posted the cash question here... when JuanJuan jumped my $hit... like he has somehting to hide. What you hiding JJ?

 

[Lear70]

Give it a rest dude. The airline had enough cash. Things would have been just fine.

Go celebrate Christmas with your family or friends or coworkers or your closest Chinese restaurant. Fa ra ra ra ra and all that stuff.

 

[SWA/FO]

Give it a rest dude. The airline had enough cash. Things would have been just fine.

Go celebrate Christmas with your family or friends or coworkers or your closest Chinese restaurant. Fa ra ra ra ra and all that stuff.

just dodging the question! ha...

 

[Lear70]

just dodging the question! ha...

No, I answered it. You said "someone said..." without giving source or specifics. I answered in kind.

Those of us well-versed in the company financials have answered your question and will now go enjoy our holiday with our families. Not going to continue to engage you.

Merry Christmas. Happy New Year.

 

[madjack]

As someone wisely stated a few pages ago...no one will be able to convince the other side to change their opinions on SWA/AAI...the best advice is to acknowledge each other's position (not agree) and try to find common ground going forward.

 

[scoreboardII]

No, cash from a loan appears as both cash and debt.

No, cash is cash. That was the question. Debt from a loan is under another column. They meet in the middle as the cost of getting the cash is as a debt, but cash on hand is cash on hand.

When you take $50 out of your ATM and used the credit card function do you tell yourself, "I can't spend that now because it created a debt", or do you buy a few beers and dinner?

 

[PCL_128]

You just don't understand how a corporate balance sheet works. When you take out a loan (as long as it's a loan, and not just a line of credit), then it appears as both cash and a liability (debt).

 

[scoreboardII]

dude cut the condescending crap, I know balance sheets.

We are talking right by each other, cash is cash, forget the debt part of the equation. If you have X amount of cash on hand, it's cash for your use. Thats what a corporate balance sheet looks like.

Thats what started this whole discussion "how much cash does AT have on hand?" was the question.

It is irrelevant to the discussion to then add "but they owed X plus Y". Thats a debt part of the equation, which was not asked.

 

[texman]

Just a question? I thought AT had 2 plus billion in debt that we are paying off? What kind of Debt was it?

 

[PCL_128]

dude cut the condescending crap, I know balance sheets.

We are talking right by each other, cash is cash, forget the debt part of the equation. If you have X amount of cash on hand, it's cash for your use. Thats what a corporate balance sheet looks like.

Thats what started this whole discussion "how much cash does AT have on hand?" was the question.

It is irrelevant to the discussion to then add "but they owed X plus Y". Thats a debt part of the equation, which was not asked.

The ironic thing is, if we were having this same discussion prior to the SLI, you'd be arguing the other side, claiming we were weak because part of our cash was debt.

 

[scoreboardII]

Correct, but that wasn't the question, my response specifically answered the "how much cash" question, that is all, now I'm out, take care.