Alabama To Invest More?

of ocurse they could invest more into usair, after they get a good plan of reorg. and after the employees are raped repeatedly in wage cuts and may be benefits.
 
I don't know what Bronner is up to, but I can't believe the RSA members will allow Bronner to invest more after just defending the staggering losses up to this point.

I tend to think Bronner is finally pretending there is a future so bookings won't tank and they have options other than immediate liquidation. I think they will see if labor will play ball and see what else they can come up with, but ultimately I don't see RSA or anybody else putting in more equity which means they can't escape ch11.
 
enilria said:
I don't know what Bronner is up to, but I can't believe the RSA members will allow Bronner to invest more after just defending the staggering losses up to this point.

I tend to think Bronner is finally pretending there is a future so bookings won't tank and they have options other than immediate liquidation. I think they will see if labor will play ball and see what else they can come up with, but ultimately I don't see RSA or anybody else putting in more equity which means they can't escape ch11.
[post="179706"][/post]​


airline backwards...

Are you an employee of UAIR? Just curious. Your well wishes are much appreciated.

BT
 
BostonTerrier said:
airline backwards...

Are you an employee of UAIR? Just curious. Your well wishes are much appreciated.

BT
[post="179713"][/post]​

I'm not an employee of UAIR, but I have a lot of college friends there that I've been encouraging to cut their losses and move on. I have no agenda.

I do think what the industry as a whole needs is a cut in capacity. The airlines individually are too afraid to make a move independently for fear their rivals will see it as weakness and pounce, so the only solution is for carriers to die as painful as that is.

What's the industry going to look like in 2 years when WN/FL/B6 have 200 more planes. Not better!
 
enilria said:
I don't know what Bronner is up to, but I can't believe the RSA members will allow Bronner to invest more after just defending the staggering losses up to this point.
[post="179706"][/post]​

Just what "staggering losses" are you talking about? RSA hasn't suffered a "staggering loss" on their investment in US. As Bronner has said, the $240 million investment in US was a mere drop in the bucket. RSA has larger swings in value on a daily basis. From what I've read, US has $1.45 billion in cash and cah equivilants. That's more than enough to pay off the ATSB and RSA. And that's before any asset sales in a liquidation. RSA will recover their investment, and then some.
 
enilria said:
I don't know what Bronner is up to, but I can't believe the RSA members will allow Bronner to invest more after just defending the staggering losses up to this point.

I tend to think Bronner is finally pretending there is a future so bookings won't tank and they have options other than immediate liquidation. I think they will see if labor will play ball and see what else they can come up with, but ultimately I don't see RSA or anybody else putting in more equity which means they can't escape ch11.
[post="179706"][/post]​

Bingo. Bronner has said too much already about liquidation. He is saying stuff like this now to keep a rapid implosion from happening. I cant see them putting any more money in. It would be like playing in Vegas, being down and convincing yourself you can win it all back. In Vegas people do it all the time of course, convince themselves that is, but a professional money manager isnt supposed to do that. And in that situation there should be some checks and balances in place to prevent him from doing it but who knows.
 
7.5victim said:
Just what "staggering losses" are you talking about? RSA hasn't suffered a "staggering loss" on their investment in US. As Bronner has said, the $240 million investment in US was a mere drop in the bucket.
[post="179721"][/post]​

In my neck of the woods $240m is a lot of money. Perhaps to you it isn't. It must to ALPA because its about the value of the concessions management is seeking.
 
GadgetFreak said:
Bingo. Bronner has said too much already about liquidation.
[post="179722"][/post]​

You know I've been on this board for a long time and this is an important day because finally someone agrees with me. I think having achieved this I'm going to go have a drink.

Thanks Gadgetfreak!
 
enilria said:
In my neck of the woods $240m is a lot of money. Perhaps to you it isn't. It must to ALPA because its about the value of the concessions management is seeking.
[post="179740"][/post]​

Here's a second person to agree with you, but only to a point. Yes, to you and me $240million is a nice chunk of change, but it is an insignificant portion(less than 1%) of the total value of the RSA's assets.
 
enilria said:
In my neck of the woods $240m is a lot of money. Perhaps to you it isn't. It must to ALPA because its about the value of the concessions management is seeking.
[post="179740"][/post]​


$240 million is alot of money but makes up less then 1% of the entire RSA portfolio!

If the employee groups conceed or Judge Mitchell concedes for them, they Will invest more money because the airline will become a money maker as well as a fierce competitor.

also notice how that stock stayed above the magic delisting number of $1
 
jimntx said:
Here's a second person to agree with you, but only to a point. Yes, to you and me $240million is a nice chunk of change, but it is an insignificant portion(less than 1%) of the total value of the RSA's assets.
[post="179756"][/post]​


Its like one percent of their fund. So they lose it and it isnt the end of the world for them. They can walk away from it.

I believe it was former attorney general (and convicted felon) John Mitchell who was the person in the Nixon administration the following quote was attributed to. Prior to joining the White House people he was very successful as a corporate bond trader, basically selling corporate debt on Wall Street. When asked the secret of his success he said, "When you are going to eat ####, dont nibble on it". In other words, sometimes it doesnt work out, write it off and walk away. I cant imagine Bronner not being philisophically attuned to this if not familiar with the quote.