Let the changes begin!

A quote from the article:
 


Last week, AAL pulled all of its American-branded March and April Santa Barbara flights from industry computers…These small changes, likely the first in a long list of adjustments, should boost American’s earnings by only $4-5mn annually, in our opinion. Other likely broad scale changes should come in the next few months and have the potential, we believe, to bring tens of millions more to the bottom line as we move through 2014.
 
That's funny, because I see March and April  LAX-SBA flights in the computer and inventory hasn't even been zeroed out.   Doesn't look like the flights have been pulled.   
 
Looks to me like McAdoo is reacting to a computer glitch as if it represented a real change.    Doesn't surprise me in the least.   
 
That's what I figured.   The weekend update issues.   McAdoo has such a hard-on for Parker, and such immense hatred for former AA management, that he's wiling to risk Emily Litella moments like this.    He's really a sad, pathetic man, having been beaten more than once by AA (where he used to work, right?).  
 
FWAAA said:
having been beaten more than once by AA (where he used to work, right?).
Bob never worked for AA, but it's no surprise he has it in for AA, and would be a fan of Parker.

He was CFO at PeoplExpress when I was there in 1986, and a financial controller at Texas International when they were bought up by Frank Lorenzo. He was also CFO at Vanguard, and was briefly at TWA after Vanguard collapsed, and was also at Mesa for a couple years as a consultant before becoming an equities analyst.

As a side note... I know of two equities analysts who went on to become executives in airline finance (Robert Ashcroft at G4/F9 was originally at UBS, and Gary Chase at DL was originally at Lehman/Barclays). I'm sure it gives him a different perspective, but Bob's the only one I've ever heard of who held multiple CFO positions and wound up as an analyst.
 
My bad, for some reason I thought that McAdoo had worked at AA for a brief time.    His resume reads a little like the airline version of "if you can't do, then teach."  
 
I'm too lazy to register with Imperial Capital so that I could read his entire report on AAL to see what other mistaken premises form the basis of his recommendations, but maybe I'll summon the motivation over the holidays.
 
I liked the part where he's already assigned a net improvement to the bottom line of $4 million to $5 million from cancelling (if only for a month or two) SBA service.   Wonder where he got those numbers?   
 
Nope. Robert and I were part of a private discussion listserv for many years, and that would have definitely come up in conversation during the Bush Administration...
 
eolesen said:
Nope. Robert and I were part of a private discussion listserv for many years, and that would have definitely come up in conversation during the Bush Administration...
That's good.------- Because the other "Bob Ashcroft" was my financial adviser, for a while.------- Lost a ton of money with him!
 

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