Why do they continue to throw good money after bad? Branson and the rest of the investors are trying to get this pig to an IPO. They have the potential to make a lot of money with an IPO. That simply means that they'll be selling the company to a bunch of new bagholders.
The cash burn here is nothing short of astounding for such a small operation. The last round of additional financing was $150 million in Dec 2011. http://www.bizjournals.com/sanfranc...gin-america-raises-cash-cushion.html?page=all
And now they've gotten another $75 million just one year later. Wow.
As far as not releasing the Q4 numbers to DOT, VX has given as a reason in the past that competitors would take advantage of the information and they requested that the release be delayed by several months compared to other carriers. The DOT allowed that for a while but finally put a stop to allowing them to delay release of their numbers.
I guess that Peter Hunt's debating on how much lipstick to put on the pig without going to jail.
The one bright spot that I saw is that VX'sr yields have improved significantly. The tradeoff was a small drop in load factors, but the yield difference more than offset the lower load factor. That's the first smart thing that I've seen from this company.
