National gets new lease on life?

proud2badx

Newbie
Aug 19, 2002
7
0
www.usaviation.com
CONGRATS TO ALL THE NATIONAL EMPLOYEES. Its a relief to see you guys make it. As a Passenger and hopeful dispatcher new hire in the future, I'm happy to see you all keep your jobs, and that way I can have my butt stapled to the bottom of the seniority list![:bigsmile:] Personally I hope you guys can expand to MCO like you have in MIA or start a code share with Airtran for North south east coast coverage. I think it would be a perfect marrage...and Airtran could use the East West service...


[:bigsmile:]
 

funguy2

Veteran
Aug 20, 2002
1,755
0
I will be waiting until the bankrupcy hearing on Friday to hear who these 'mystery investors' are. The only thing concrete in today's news is the $30mil from Wells Fargo. If the rest is simply moving debt to equity, I would have to think they will go through $30mil rather quickly. But I will have to wait til Friday to see what happens in BK court. Best of luck to the employees who can hopefully reduce their pepto consumption! [;)]
 

Rhino

Senior
Aug 20, 2002
308
0
Hey, where can I invest in Red Rock? They have the best business plan and best management in the industry.

National won't see 2003.
 

mach none

Member
Aug 26, 2002
16
0
I believe N7 owes various creditors like McCarren airport, a total of 30 million. I don't see how this bought them much time. Particularly when the industry is entering a traditional slow season anyway. Cash flow has been king and it looks like the king will be leaving the house
 

JI Guy

Advanced
Aug 20, 2002
199
0
www.usaviation.com
How much in outstanding current liabilities do they have? Somewhere I read where they currently owe McCarran like $6 million! Im sure there are other airports in the same situation. I guess the creditors had a severely conscribed choice as a BK would have left a lot of the "debt for equity" partners with nothing...Nothing later beats nothing now as it doesnt have to be charged against current earnings! I would hope they would have set up a charge for "uncollectable debts" but that category is clearly an interpretation and there are vastly different interpretations in accounting departments and board rooms.
 

funguy2

Veteran
Aug 20, 2002
1,755
0
Even if N7 somehow gets out of BK, what are they changing in their business plan to make a profit? They have the same plan that they always did. Try to compete in the lowest yield hub in between the two largest low-fare airlines (LUV and AWA). Still not a good plan...