Originally Posted by
acl65pilot
Most do not understand that our "cash" position is not just cash in a bank, but lines of credit or other forms of available credit that if utilized, cost us interest. DAL uses some of these forms as well.
In reference to what he is stating, as we know there is a difference between operational profit and final profit. Where the "art" of accounting comes in is in how they depreciate assets, and where certain things hit on the accounting ledgers. All of course are accepted general accounting principles. Nothing nefarious, or no more so than the average company.
I agree, but paying down debt doesn't reduce operating profit, nor does making capital improvements. That was my point. Asset depreciation will, but companies don't/can't change that annually to "hide" profits when times are good, and then back off when they're not. The SEC really frowns on that sort of thing.
