Analysts are getting nervous with NK’s lack of preventive measures. Christie doesn’t seemed too concerned about preserving cash, betting it’ll be over soon enough and this will be a great opportunity to increase market share and some other precious items like A320 slots and gates at a bargain. Problem is, every day it passes, he looks more and more like a rookie and ambitious CEO. If he could pull this off, he’d be a genius. Unfortunately, I agree (more or less) with wall st.
We need to park the unencumbered A319s ASAP. Keep them on active storage, that way is easy to bring them back whenever. Defer new airplanes, and start unloading debt. I can see 30-40% capacity reductions in the short term (2-4 months) and slowly back to normal (for NK) by 4th QTR (hopefully).