HOw do you lose 3.2b

wwtraveler99

Member
Jan 31, 2003
94
0
www.usaviation.com
Can someone please explain how a Company can lose 3.2b and still have 1.9b in cash. Where does the 3.2b come from to lose?
This is not an anti-UAL comment. It is meant to find how any company can do this. I know AOL lost 99b last year but it was explained that most of that loss was on paper.
Thanks for any help or information you can give.
WW
 

G4G5

Advanced
Aug 21, 2002
164
0
"UAL ended the quarter with a cash balance of $1.9 billion. UAL's cash balance includes $579 million in restricted cash, including $117 million in long-term restricted cash. During the quarter, the company received $700 million in cash from its Debtor-In-Possession (DIP) financing arrangements."

Can someone clarify the cash situtation?

Approx $850 mill on or about 12/11 (file of Ch11)
$579 mill on 1/30
Received $700 mill on 12/11

Did UAL burn through the orignal $850 and now they have $579 left out of the $700 mill DIP? In approx 50 days?

That would be close to the $20 mill per day estimates that were announced($980 mill in 50 days). Just curious if my math is correct.
 

casual rat

Senior
Aug 25, 2002
413
3
G4G5, your math is less 'fuzzy' than the chefs who are baking our books--over a nice chianti it would seem......