Highest Load Factors Of The Majors
- Thread starter Fly
- Start date
N by N says,
"Ual owns NOTHING...it is called bankrupt. That means that you can not pay your bills because you owe more than you make. You can ONLY dream that UAL had NWA's debt load (with $3 Billion in the BANK, ALL CASH, without STIFFING our creditors!)."
NWA CEO says,
"As of Sept. 30, Northwest reported more than $7.4 billion in long-term debt, an increase of $888 million since Dec. 31, 2002," Anderson wrote. "While you might read or hear that Northwest has nearly $3 billion in cash reserves, it pales when compared to our total debt, which by any standard is much too big. The vast majority of our cash reserves is either borrowed or committed."
"Ual owns NOTHING...it is called bankrupt. That means that you can not pay your bills because you owe more than you make. You can ONLY dream that UAL had NWA's debt load (with $3 Billion in the BANK, ALL CASH, without STIFFING our creditors!)."
NWA CEO says,
"As of Sept. 30, Northwest reported more than $7.4 billion in long-term debt, an increase of $888 million since Dec. 31, 2002," Anderson wrote. "While you might read or hear that Northwest has nearly $3 billion in cash reserves, it pales when compared to our total debt, which by any standard is much too big. The vast majority of our cash reserves is either borrowed or committed."
I, for one, have absolutely no idea what the last few posts re cheese, trolls, poodle, etc are referring too.
North by Northwest
Veteran
Busdrvr, clearly you are in no positon to worry yourself about our debt. You have more important issues at hand...like survival. "let's worry about the neighbors house, who CARES if ours is on fire" . Post sour grapes till the cows come home. You ought NOT to be putting a negative spin on ANY airline considering the state of life support that UAL is on.
So, let see--- if you lost say 250 ml last Oct (not exact)and 250ml for Nov, then with your 9% and 14 % YOY increase in RASM you would only be losing 227.5 ml and 215 ml on YOY. You remind me of some other guy who use to be on this site but just couldn't get people to see it his way. Keep up the good posts Chipbus there amusing.Busdrvr said:
Bus,Busdrvr said:UAL is UP 2.4% to 1,912,192,000 RPM's and NWA is DOWN 13.7% to 1,516,788,000. That's the point, things are turning around in a BIG way for UAL. Your number merely illustrates how drastic that turn around is considering what the numbers were even just six months ago.
You and North by Northwest are both correct. Ual's "December" numbers are up 2.4%, but if you read further in the release UAL's pacific rpm's are down 14.4% for the "year", which is what Norht was refering to. Its kind of like the glass half full or half empty. Just depends on the numbers you look at.
:huh: :blink:Bizman said:
Are you really serious?! Lets put some numbers to your theory.
Company A had 100 million in revenue and a cost of 105 million, for a loss of 5 million. Lets pretend that REVENUE goes up 20%, with the same costs. Are you telling me that you actually think that they now lost 4 million? The 9 and 14% figures apply to RASM NOT profit/loss. Additional, costs are down SIGNIFICANTLY YOY. We'll just wait until the quarterly reports are out, then you can gloat about all the other operationally profitable majors (excluding "special items") who will surely perform better than UAL
.Biz, let's oversimplify this a bit. NWA and UAL ARE the big US players in the pacific. Lets just concentrate for a moment on the RPMS that are flown between the two. In May 2002, NWA flew 55% of that shared traffic (by default UAL flew 45%). By December, UAL's share was 56%, and NWA's 44%. So a competitor, while in BANKRUPTCY, gains 21% market share on you in 7 MONTHS and you think thats a GOOD thing!!!Bizman said:
. Maybe UAL could garner 95% so the NWA guys could REALLY party!!! :blink: N by NW.
Just a few facts since it doesn't appear you have a firm grasp of your companies financials.
At the end of 2000 (pre-sept 11), UAL had shareholder equity of approx $5.1 BILLION. NWA had 231 MILLION. So your crazy notion that UAL wasn't an extremely profitable company in the past is downright silly.
Most companies go BK over LIQUIDITY ISSUES, NOT because of a negative net worth.
UAL had the misfortune of having an EXTREMELY high level of long term debt comming due in 2002. They paid off 1.38 BILLION. This KILLED cash levels, and with the downturn of 9/11, no one would re-finance. But what kind of crazy company would have that much debt due in any given year? NWA has approx 1.5 BILLION due in 2005 (that'll help the cash balance....) Last I heard NWA was frantically offering big bucks to the bond holders to refinance. I think they were trading $1000 principle bonds for all the accrued interest, and a new bond with a priciple of $1150 AND a 10.5% interest rate. Having 2.8 billion in cash is the equivilent of having 20K in your checking account getting .5% interest while keeping the 60K balance on your 15% interest credit cards.... It only makes sense if you are unsure of your ability to pay the bills in the future....
In Fact, Share holder equity, and debt load at NWA is currently SIGNIFICANTLY worse (when corrected for revenue) at NWA than it was at UAL at the time of BK filing.
As for "owning equipment", it appears that a majority of NWA's "owned jets" are rather old. For example, of 16 747-400's, only 4 are owned (compared to approx 20 for UAL) additonally, UAL ownes 41 777's, 43 757's and 35 767's (a jet here and there may have been sold as part of BK re-org and fleet rationalization, but the numbers are essentially correct). I won't even get into the NB fleets (each of which are newer and have more "miles" left in them). But "Old" jets rule right?! Then why is NWA buying NEW ones? I can find you nearly 100 DC-9's that are up for sell RIGHT NOW. One can be had for less than the cost of leasing an A319 for 6 months. Plenty of DC-10's and 747-200's out there to. Why is it NWA isn't buying? The truth is the only reason they kept the DC-9's is because THEY HAD TO. They couldn't afford new jets. Now they must try to get as much economic life as possible out of them. A320's ARE CHEAPER TO OPERATE!!!
North by Northwest
Veteran
refinance= BECAUSE WE CAN. UAL is BANKRUPT, therfore YOU own NOTHING..get it. The ONLY thing YOU OWN are BILLS that you are unable to pay. Banruptcy is the BOTTOM, that means failed business plan. One step away from being in the history books. You would do well to study our business model . Just in case you survive. I must say you are entertaining. The depth of denial is startling. What ever is in that Kool-Aid is amazing. Is this way of thinking the norm at Ual? Pretty frightening.
Kev3188
Veteran
Easy kids.... The reason NW decided to keep and refurbish it's DC-9 might have been due to not being able to finance new A/C at the time. In post 9/11 hindsight, however, it's been incredibly beneficial (i.e. no lease payments, flexibility on routes, etc.). Also, FWIW, the '9 has the highest dispatch reliability in the fleet.
Ukridge
Senior
ual06 said:
I must admit ual06 that I as well, am a step off the pace in trying to understand the relationship of said items. I must have missed something along the way.
UKRidge, that's slang.Ukridge said:
The full version is, 'Do you want some cheese to go with that wine?'
A play on words; wine = whine.
As for the troll comment, it is a name attached to someone who posts inflammatory remarks on a message board with the intent of 'stirring the pot.'
Hope this helps.
Ukridge
Senior
MCI transplant
Veteran
- Jun 4, 2003
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<_< North------Are you sure you don't work for American Airlines???? This type of resoning is totally a.a.!!!!!
