Bankruptcy Coming?
- Thread starter USA320Pilot
- Start date
It goes both ways. How is this any different from a union employee who says "no more cuts" or "the concession stand is closed"????iflyjetz said:
It's ALL self-interest to some degree. USA320's comments are no different than anyone elses in that regard.
Naaaaaaaaaah. Some folks just shout louder than others. It's only listener's perception that allows a voice to be heard or dismissed.
Good Golly... Thank goodness for my LONG weekend.
I find myself agreeing with avek00 as well... US Airways needs to avoid another BK at all costs... Another BK will, in my opinion, result in Chapter 7 liquidation. While management is trying to "right" the ship, and the transformation plan seems to make sence at this point, the real question is: IS THERE ENOUGH TIME?
If US Airways successfully restructures into a NYC/DC/BOS/PHL focused airline, with a large connecting hub in CLT and a competitive cost structure, it would be a potential merger candidate or a viable stand-alone business. (The best merger candidates would be ok as a stand-alone entity, im my opinion).
The problem for US Airways is that this transformation needed to occur two years ago. Resources required for this transformation, however, are increasingly difficult for US Airways to come by. US Airways is attempting to re-brand itself as a Low-Fare-Carrier. This will require marketing, and advertising. Where is the cash for this investment going to come from, when the operation is still losing money? Sure, US Airways will have a cash-positive summer, but September, October, and early November are big cash losers for which the company must prepare.
While US Airways may finally have a vision, success if far from guaranteed. With US Airways facing a "cash-crunch" in the fall, the airline is not well positioned, in my opinion, to take advantage of the tranformation plan. Any tranformation plan will take time to succeed... Time the airline won't have if it implements its Transformation Plan on October 1 and declares BK on October 29.
I find myself agreeing with avek00 as well... US Airways needs to avoid another BK at all costs... Another BK will, in my opinion, result in Chapter 7 liquidation. While management is trying to "right" the ship, and the transformation plan seems to make sence at this point, the real question is: IS THERE ENOUGH TIME?
If US Airways successfully restructures into a NYC/DC/BOS/PHL focused airline, with a large connecting hub in CLT and a competitive cost structure, it would be a potential merger candidate or a viable stand-alone business. (The best merger candidates would be ok as a stand-alone entity, im my opinion).
The problem for US Airways is that this transformation needed to occur two years ago. Resources required for this transformation, however, are increasingly difficult for US Airways to come by. US Airways is attempting to re-brand itself as a Low-Fare-Carrier. This will require marketing, and advertising. Where is the cash for this investment going to come from, when the operation is still losing money? Sure, US Airways will have a cash-positive summer, but September, October, and early November are big cash losers for which the company must prepare.
While US Airways may finally have a vision, success if far from guaranteed. With US Airways facing a "cash-crunch" in the fall, the airline is not well positioned, in my opinion, to take advantage of the tranformation plan. Any tranformation plan will take time to succeed... Time the airline won't have if it implements its Transformation Plan on October 1 and declares BK on October 29.
Funguy2 said:
Another BK will, in my opinion, result in Chapter 7 liquidation. While management is trying to "right" the ship, and the transformation plan seems to make sence at this point, the real question is: IS THERE ENOUGH TIME?
If US Airways successfully restructures into a NYC/DC/BOS/PHL focused airline, with a large connecting hub in CLT and a competitive cost structure, it would be a potential merger candidate or a viable stand-alone business.
I agree. It's a close call, but wouldn't it be cool if it worked. I know that that makes light of the situation, being that I'm not employed by U, but some employees might find that to be a motivator. (I'd be that kind of employee) Too bad the management has been unable to communicate that vision. I understand that some of that is due to the fact that the vision wasn't clear until recently (I'm one that does NOT really believe that this was Siegle's original plan: remember how he used to say that U could NOT transform into SW?) Also, U did not want to tip its hand before the plan is viable, for fear of being bled to death by other airlines or maybe dropped by Star or UAL.
If reading these boards were the only evidence, obviously, there is no hope that employees can get on board. And then for some, it might just not be worth it.
Another BK will, in my opinion, result in Chapter 7 liquidation. While management is trying to "right" the ship, and the transformation plan seems to make sence at this point, the real question is: IS THERE ENOUGH TIME?
If US Airways successfully restructures into a NYC/DC/BOS/PHL focused airline, with a large connecting hub in CLT and a competitive cost structure, it would be a potential merger candidate or a viable stand-alone business.
I agree. It's a close call, but wouldn't it be cool if it worked. I know that that makes light of the situation, being that I'm not employed by U, but some employees might find that to be a motivator. (I'd be that kind of employee) Too bad the management has been unable to communicate that vision. I understand that some of that is due to the fact that the vision wasn't clear until recently (I'm one that does NOT really believe that this was Siegle's original plan: remember how he used to say that U could NOT transform into SW?) Also, U did not want to tip its hand before the plan is viable, for fear of being bled to death by other airlines or maybe dropped by Star or UAL.
If reading these boards were the only evidence, obviously, there is no hope that employees can get on board. And then for some, it might just not be worth it.
RowUnderDCA:
I agree... If US Airways does pull it off, the result should be not only cool, but profitable. If they do pull it off, US Airways would become a prime merger target, but may be able to resist those merger attempts. It could be that a transformed US Airways has a lot of potential for growth IF the transformation works.
I agree... If US Airways does pull it off, the result should be not only cool, but profitable. If they do pull it off, US Airways would become a prime merger target, but may be able to resist those merger attempts. It could be that a transformed US Airways has a lot of potential for growth IF the transformation works.
High Iron
Senior
- Aug 20, 2002
- 495
- 0
Sounds like the equivalent of plugging one's ears while "blah-blah"-ing aloud. Cute, but falling 100 yards short.geo1004 said:
The man has demonstrably ducked questions by either disappearing or begging the question ( circular logic ). Same when taken to task or called on a falsehood.
- Thread Starter
- #86
Usjacet:
Usjacket said: "I guess it was our choice to spend $2,000,000,000 on buyback of USAirway stock."
USA320Pilot comments: I believe this was the second largest mistake in the history of the company.
Respectfully,
USA320Pilot
Usjacket said: "I guess it was our choice to spend $2,000,000,000 on buyback of USAirway stock."
USA320Pilot comments: I believe this was the second largest mistake in the history of the company.
Respectfully,
USA320Pilot
"I guess it was our choice to spend $2,000,000,000 on buyback of USAirway stock."
The Wolfman certainly didn't think it was a bad idea.. I wonder if it had anything to do with all the options he held at the time?
The Wolfman certainly didn't think it was a bad idea.. I wonder if it had anything to do with all the options he held at the time?
