United to post 2nd quarter loss

[Superpilot92]

There will be a few that do.

 

[eaglesview]

The rest of the story

[FONT='Times New Roman','serif']The charges are related to the impairment of goodwill and other intangible assets, aircraft and other tangible assets, as well as severance charges among others. The bulk of these charges are due to non-cash impairment of goodwill expected to be between 2.2 billion and 2.3 billion dollars. [/font]
[FONT='Times New Roman','serif']Goodwill represents the portion of the market value of a business not directly tied to its assets and liabilities and arose for United when we exited bankruptcy on February 1, 2006. Goodwill is intended to be a measure of the "intrinsic value" of the company beyond its tangible assets that have a physical form, like aircraft, buildings and land. Given current market conditions with the price of fuel, and the significant drop in the company's stock market capitalization, the intrinsic value that existed at bankruptcy is significantly reduced.[/font]
[FONT='Times New Roman','serif']These kinds of special charges are an industry issue. We have already seen other airlines, like Delta and Northwest in the first quarter, take similar charges. Delta's charge was 6.1 billion dollars and Northwest's was 3.9 billion dollars. In addition, American has disclosed that they expect to take an impairment charge of between 1.1 billion and 1.2 billion dollars in the second quarter, as well as a severance charge of approximately 70 million dollars. Also, based on an earlier disclosure, we believe that Continental will also disclose impairment and severance charges on Friday. [/font]
[FONT='Times New Roman','serif']We expect we will continue to see similar non-cash accounting charges in future quarters related to our ongoing capacity reductions, including fleet and plant, property and equipment charges, and severance costs, although the charges will be smaller and timing of those charges is yet to be determined.[/font]

I thought the RED ink was appropriate.

 

[jonjuan]

There will be a few that do.

Like who?

 

[Colonel Savage]

"I thought the RED ink was appropriate."

Excellent choice, sir. Might I suggest the green eye shades to compliment them, along with the brass lamp and roll top desk.

 

[Dizel8]

Like who?

Allegiant probably will, seem to be running a good ship!

 

[Ex737Driver]

Allegiant probably will, seem to be running a good ship!

And how much does an Allegiant CA make? Nizzle, please.

 

[B767capt]

DAL's profit will be north of 100 million.

 

[Tanker Clown]

DAL's profit will be north of 100 million.

Is today April 1st?

 

[pipe]

And how much does an Allegiant CA make? Nizzle, please.

love it!

 

[Dizel8]

And how much does an Allegiant CA make? Nizzle, please.

That's funny, I don't recall it being the cost of a pilot that makes the difference on making a profit. Better not tell that to your CEO, unless of course you're angling for a mangement position.

Maybe you should tell the MEH pilots, that if they only take a 45% paycut they'll make the airline lots of dough.

Guess when CAL post a loss you will be standing in line to give up pay? Why don't you figure out what it would cost on a CASM basis for a CAL captain if he made $300 an hour on the average 777 flight?

Pilot pay, as the big killer of airlines, not exactly, otherwise UAL corp. should be rolling in dough as should LCC.