Sale/leaseback Of More Aircraft

[BoeingBoy]

The company has requested court approval for the sale/leaseback of 5 A330 aircraft. The proceeds will be $273 million ($54.6 million per aircraft) with the proceeds going first to pay off the EETC on the planes and second toward the ATSB principle. Unspecified is how much will remain after those two payments.

Motion

Jim

 

[BoeingBoy]

In addition, the company has asked court permission to sale/leaseback 9 A319 aircraft plus approval for a "put" option to sale/leaseback up to 5 A320 aircraft.

For the 9 A319's, the total purchase price is $229.5 million. For the 5 "put" A320's, the purchase price is $29 million per aircraft ($145 million if all 5 are sold/leased back).

Motion

Jim

 

[BoeingBoy]

Still another sale/leaseback approval request, this time for 5 A320 aircraft with "put" options for up to an additional 9 A319's. The purchace price for the 5 A320's is $145 million with the potential 9 A319's priced at $24.27 million each ($218.43 for all 9).

Motion

Jim

 

[ClueByFour]

This smacks of the "Continental model"--hock the entire property before emerging from Chapter 11.

 

[Walmartgreeter]

If all were sold, would that money, if used, pay off the ATSB backed loans? Mark.

 

[a320av8r]

I believe that this is part of "mirror image".
AWA leases all of there equipment too.

 

[BoeingBoy]

If all were sold, would that money, if used, pay off the ATSB backed loans? Mark.

[post="295149"][/post]​

Don't know, Mark, since the balance on the applicable EETC's isn't specified. All three motions discuss the need to meet ATSB & GE liquidity requirements upon emergence from BK, so I assume that is something of a concern (unrestricted cash dropped $67 million in July).

Jim

 

[justaumechanic]

Its called burning the furniture to keep the lights on. Has nothing to do with merger activity. With the consumption of cash due to high fuel costs US Airways is burning thru available cash and an alarming rate.

 

[madders]

Well if they sell of all those 330 planes what is the future of routes to europe

 

[N924PS]

Its called burning the furniture to keep the lights on. Has nothing to do with merger activity. With the consumption of cash due to high fuel costs US Airways is burning thru available cash and an alarming rate.

[post="295229"][/post]​

There's that nebbish again. Spreading cheer wherever he types.

 

[BoeingBoy]

Well if they sell of all those 330 planes what is the future of routes to europe

[post="295239"][/post]​

They'll sell and immediately lease back the planes, so it should have no effect on the flights...

Jim

 

[justaumechanic]

There's that nebbish again. Spreading cheer wherever he types.

[post="295240"][/post]​

Hey, D#$k with feet I see you found your way back to your own message board.

Facts are facts dude. You can take your place in the unemployment line next to the AWA people you displaced with a smile on your face. Oh and you will probably want to invoke DOH at the unemployment office to!!

When a company continues to sell assets to pay for daily operating expenses the simple term is "Burning the furniture to keep the lights on".. Are you that snowed over by Doug and Bruce to actually believe that this is a good thing?

Why don't you sell your house, rent it back so you can have money to feed your family... Duh.. Get your head out of the sand.

 

[a320av8r]

You have serious issues, "Dude".

 

[N924PS]

Hey, D#$k with feet I see you found your way back to your own message board.

Facts are facts dude. You can take your place in the unemployment line next to the AWA people you displaced with a smile on your face. Oh and you will probably want to invoke DOH at the unemployment office to!!

When a company continues to sell assets to pay for daily operating expenses the simple term is "Burning the furniture to keep the lights on".. Are you that snowed over by Doug and Bruce to actually believe that this is a good thing?

Why don't you sell your house, rent it back so you can have money to feed your family... Duh.. Get your head out of the sand.

[post="295310"][/post]​

Actually might have to do that since I'll be a ward of the PBGC at about 30 cents on the dollar of what I should have received on the Defined Benefit Plan.

Any particular reason you are such a bitter, hostile, negative individual or are you just that way naturally?

 

[a320av8r]

He's a furloughed cleaner. (PIT)