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Old 11-19-2010 | 11:42 AM
  #2666  
alfaromeo
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Joined: Apr 2008
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Here is one more example of how we tried to manage the downfall of the pension to squeeze out the maximum return. Our investment banker/professional negotiator (yes we do use those) structured the note so that if Delta had the cash it was much more advantageous for them to just give us cash rather than issuing bonds. This way a $650 mm "note" yielded an actual $650 mm and not $650 mm minus commissions, minus origination fees, minus, minus, minus. It was another small step but given a choice I would rather have it all rather than giving some of it away to a bank. And yes, we do employ professionals to help us negotiate, no pilot I know could have structured that clause in that fashion.
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