Credibility

kcabpilot

Senior
Aug 22, 2002
271
0
Reuters
United Airlines Loses $382 Million in Jan
Tuesday March 4, 2:01 pm ET
CHICAGO (Reuters) - UAL Corp. (NYSE:UAL - News), parent of bankrupt United Airlines, said on Tuesday it lost $382 million for the month of January.
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Reuters
UAL on Track to Beat Initial Targets-CFO
Wednesday March 12, 4:26 pm ET
By Kathy Fieweger

CHICAGO (Reuters) - UAL Corp. (NYSE:UAL - News) Chief Financial Officer Jake Brace said on Wednesday that wage concessions from labor unions helped bankrupt United Airlines turn to a positive cash flow for the month of January, beating the company''s own forecast.
United''s January cash flow was a positive $1 million per day compared with its expectations of a negative cash burn rate of $10 million to $15 million per day, Brace said at a meeting of creditors in Chicago.
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You see the problem with making any sort of an agreement with these guys. They have zero credibility in the eyes of the employees. They simply do not honor the agreements they make to begin with so what''s the point?
positive cash flow as in - out of my pocket and into someone elses. Imposed paycuts for survival is one thing but to use them as a means to profit - well that''s something else. A big part of this company''s problem is that they talk of paycuts and the profits they will produce in the same breath. They have no tact and because of it this is not a team effort. They don''t have the employees behind them because, frankly, they''re a bunch of dicks.
 
They're so used to "making things up", that it might just seem real...
 
....prerequisite for upper management might include skills shown in pathological lying....I dunno, they've tricked me before in their formative stages...
 
Positive cash flow does not mean UAL turned a profit. Cash flow does not factor in a bunch of other expenses that show up on balance sheets. Also, it appears CSFB doesn't buy the positive cash flow story unless UAL purposely pushed off paying some bills into later months.