Down down down....

[usair_begins_with_u]

This is pretty much the best quote ever:

"If a capitalist had been present at Kitty Hawk back in the early 1900s, he should have shot Orville Wright. He would have saved his progeny money. But seriously, the airline business has been extraordinary. It has eaten up capital over the past century like almost no other business because people seem to keep coming back to it and putting fresh money in." - Warren Buffet

I've said it before and I'll say it again. The economics of the airline industry is C-R-A-P. Nothing is going to change it. Especially not "Drunken" Doogie and his pack of lap dogs led by "Cool as a Cucumber" Kirby.

How long until these clowns are literally run out of the desert?

 

[N965VJ]

Berkshire Hathaway once had a big chunk of US.

Now they own NetJets. Funny thing is, Buffett once called business jets “indefensibleâ€￾.

 

[Walmartgreeter]

Not that I don't totally agree with the theme here...but Buffet quietly held on, and later sold those USAir shares, and at least doubled his investment.

I do love the part about the Wright Brothers!!

Greeter.

 

[qwerty]

This is pretty much the best quote ever:

"If a capitalist had been present at Kitty Hawk back in the early 1900s, he should have shot Orville Wright. He would have saved his progeny money. But seriously, the airline business has been extraordinary. It has eaten up capital over the past century like almost no other business because people seem to keep coming back to it and putting fresh money in." - Warren Buffet

I've said it before and I'll say it again. The economics of the airline industry is C-R-A-P. Nothing is going to change it. Especially not "Drunken" Doogie and his pack of lap dogs led by "Cool as a Cucumber" Kirby.

How long until these clowns are literally run out of the desert?

You are contradicting yourself. If you believe Buffet's statement, then the fact that US made money in 2006 and should make money again this year, you and he are wrong and Kirby and Parker are obviously doing something right.

 

[beachboy]

Parker and Kirby do something right? You must be on something! Look the hell around! Do they even know what planet they are on? Get real.

 

[BoeingBoy]

Look the hell around! Do they even know what planet they are on? Get real.

Remember - the view is the same every day if you're in a cubicle at the Sand Castle.....

 

[Dog Wonder]

Remember - the view is the same every day if you're in a cubicle at the Sand Castle.....

If you keep your head up your arse long enough, you would swear the sky is brown

 

[BoeingBoy]

Also very true.....

Jim

 

[jimntx]

You are contradicting yourself. If you believe Buffet's statement, then the fact that US made money in 2006 and should make money again this year, you and he are wrong and Kirby and Parker are obviously doing something right.

The fact that US (or any of the rest of us for that matter) has made money for 2 years is almost anecdotal as far as the financial history of the airlines over the last 30-40 years. Airlines as an industry have lost billions and billions of dollars in that time. The few years where the airlines were profitable was more of a fluke than a planned and executed strategy on the part of any airline's management.

The only thing that keeps most of us in the air is the fact that there is always some rich sucker (or a poor sucker with backing) who thinks he knows the secret to making money in the airline business and is willing to sink a fortune into an airline.

 

[usair_begins_with_u]

You are contradicting yourself. If you believe Buffet's statement, then the fact that US made money in 2006 and should make money again this year, you and he are wrong and Kirby and Parker are obviously doing something right.

Sorry Doug, eeerr I mean qwerty? lets take a closer look at the facts:

1990 $  3.9 billion loss
1991 $  1.9 billion loss
1992 $  4.8 billion loss
1993 $  2.1 billion loss
1994 $  0.3 billion loss
1995 $  2.3 billion profit
1996 $  2.8 billion profit
1997 $  5.2 billion profit
1998 $  4.9 billion profit
1999 $  5.4 billion profit
2000 $  2.5 billion profit
2001 $  8.3 billion loss
2002 $ 11.0 billion loss
2003 $  2.4 billion loss
2004 $  7.6 billion loss
2005 $  5.7 billion loss
Source: Air Transport Association of America, Inc.
Economics; Annual Revenue and Earnings.

Since 1990, the US Airline industry AS A WHOLE is $24 billion in the red. Yup, I'd call that a serious structural flaw. But don't let the facts get in your way Mr. Parker.. Uhh I mean qwerty.

 

[usair_begins_with_u]

Still going down... when will the bleeding stop, when the BOD cans Dougie?

 

[westcoastflyer]

Still going down... when will the bleeding stop, when the BOD cans Dougie?

This stock is down almost 57% since its closing high of $62.95 on November 24, 2006. What a horrible investment so far.

 

[A320 Driver]

This stock is down almost 57% since its closing high of $62.95 on November 24, 2006. What a horrible investment so far.

Yeah, those stock options the management pawned off on the pilot group at $56/share are really lookin good right now, aren't they? Wish they had at least sent the certificates so I could light my BBQ grill.

A320 Driver B)

 

[SS255]

What a horrible investment so far.

Not for the short sellers.

 

[ClueByFour]

You are contradicting yourself. If you believe Buffet's statement, then the fact that US made money in 2006 and should make money again this year, you and he are wrong and Kirby and Parker are obviously doing something right.

Wrong. US made money in 2006 due to the bankruptcy court. That artificially influences the situation. Absent bankruptcy, US East is in Chapter 7.

A monkey can make money if he can lower his costs without actually having to manage anything. Call me when the franchise has a rolling 10 year period in which it makes more than it loses. The economics of the industry suck--Buffet was spot on.