some people just can't say they were wrong. picking a fight just because they believe there are idiots on the other side of the keyboard.
pan am. esprit de corps. commercial banks and debt/interest rates. ALL WRONG. nothing to do with what was debated and what were the factors for aid for the airlines. i talked about the short-term viability of the industry. it's been wrapped up.
the short term viability of the airline industry to oct. 1. the whole. including debt-laden aa. as it turns out, what has occurred is what was presented...the govt. came through, the airlines accepted and no lay-offs for the time being.
that is what i argued.
Now, E. There you go again tryin' to confuse these nice folks with facts.
you seem like a likeable guy, jim. you bring up 'facts'. let's talk facts. believe it or not, i actually work for aa.
the company told us on monday that:
$4.1 billion in payroll grants
$1.7 billion loan
all immediate.
going forward, $4.75 billion loan application from the govt.
that's from the company. the numbers don't add up to the facts that you are praising. those were imaginary numbers, jim.
deutsche bank analyst:
“Grants and loans should provide sufficient support for the industry through the end of September,” he wrote in a note published Wednesday.
from the start, that's all what was argued from my side.
here's more on the rates being paid back on grants & loans - nothing about borrowing money from GE capital at 8%, because aa is debt-laden. grants & loans from the u.s. govt., for the industry.
“The equity dilution risk is more moderate than we had previously believed,” Bernstein analyst David Vernon wrote in a note published Tuesday. Cowen analyst Helane Becker concurred, writing that the grant amounts are lower than anticipated, likely because the bailout program was oversubscribed with a high participation rate.
Each airline will receive grants worth 76% of their payrolls, based on labor costs for the second and third quarters of 2019.
Thirty percent of the grants will be debt payable over 10 years at low interest rates: 1% above Libor (a short-term benchmark rate) for the first five years and 2% above Libor in the next five years. The Treasury department will receive 10% of the loan portion of the grants as warrants, pegged at strike prices from April 9.