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Air Wisconsin Regional Airline

Willy financials.

Old 07-14-2020, 06:48 AM
  #11  
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Originally Posted by itsmytime View Post
agreed. I was surprised at a lot of what I read in there. I always heard AWAC was flush with cash. I read it as flights were resuming at IAD in August, not a base re-opening. Correct me if Iím wrong.
Depreciation of assets for 2019 Was around $25 million. Operating revenue was $263 million and expenses $284 million (including depreciation). If you take away depreciation, AWAC gained about $4 million in cash in 2019 that is meant to eventually buy new assets to replace depreciating assets.
Obviously not great that our income didnít outpace our depreciation but itís not like AWAC moved in the wrong direction with regards to total cash/year.

Also something I noticed was AWAC bought up 9 more of their planes in March 2020 they now own that they were previously leasing, adding to expenses. This looks more like accounting wizardry than anything because it would make more sense to terminate leases in March with so many planes parked rather than outright buy them. Iím assuming theyíre looking to incur greater depreciation this year to write off more taxes next. Also the leasers of the aircraft are a subsidiary of the same holding group so thereís no effective change to the bottom line.
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Old 07-14-2020, 09:15 AM
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Originally Posted by BcULstDaBlodyWr View Post
Also something I noticed was AWAC bought up 9 more of their planes in March 2020 they now own that they were previously leasing, adding to expenses. This looks more like accounting wizardry than anything because it would make more sense to terminate leases in March with so many planes parked rather than outright buy them. Iím assuming theyíre looking to incur greater depreciation this year to write off more taxes next. Also the leasers of the aircraft are a subsidiary of the same holding group so thereís no effective change to the bottom line.
This right here... they transfer planes from one company to another and restart the depreciation write offs. When they canít write them off at the airline anymore they will go back to the leasing company and they will write them off all over again.
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Old 07-14-2020, 12:56 PM
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Reminds me of the Seinfeld episode about write offs.
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Old 07-19-2020, 02:26 PM
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Again, who is your CEO. Nothing else to say.
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Old 07-22-2020, 02:46 PM
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Originally Posted by pitchtrim View Post
Reminds me of the Seinfeld episode about write offs.
"Do you even know what a write-off is?"
"No. But they do. And they're the ones writing it off!"
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Old 12-01-2020, 12:17 PM
  #16  
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https://microcapdaily.com/air-wiscon...s-hrbr/128543/
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Old 12-02-2020, 04:16 PM
  #17  
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Originally Posted by whiteneedles View Post
Didn't read the whole thing in it's entirety, but the whole spiel seems to be about how well AW was doing - based on its reports up until March 2020...



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Old 12-02-2020, 06:45 PM
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Originally Posted by EhV8R View Post
Didn't read the whole thing in it's entirety, but the whole spiel seems to be about how well AW was doing - based on its reports up until March 2020...
Then maybe read a bit further before commenting.
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Old 12-02-2020, 09:33 PM
  #19  
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Originally Posted by squib View Post
Then maybe read a bit further before commenting.
Thanks for the snarky reply. So glad I reread the whole thing. I could've missed how it explains that the CRJ program was sold off to Mitsubishi, or that, who'd have thought, the CRJ has two engines, and even a flight attendant!

If I learned anything, it's that the company owning AW is listed as a dark/defunkt on the trading market.

The link doesn't tell anyone anything they didn't already know about Air Wisconsin, and certainly doesn't give any relevant information as to where they stand in the current/future environment.

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Old 01-23-2021, 03:53 PM
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https://secfilings.nasdaq.com/efxapi...HTM_TX67820_14

Current SEC Form 10Q filing

An excerpt:

We derive nearly all of our operating revenue from the United capacity purchase agreement because United is currently Air Wisconsinís sole airline partner. United accounted for approximately 99.9% of our operating revenue for the six months ended June 30, 2020 and the year ended December 31, 2019, respectively. The termination or non-renewal of the United capacity purchase agreement would have a material adverse effect on our business, financial condition and results of operations.

The United capacity purchase agreement expires in February 2023, unless United elects to exercise its option to extend the agreement for an additional period of no less than two years, but up to three years, in its discretion, in which case it expires between February 2025 and February 2026, unless United elects to exercise its second option to extend the agreement for a second additional two-year period, subject to mutual agreement on certain economic terms, in which case it expires between February 2027 and February 2028. United is also permitted, subject to certain conditions, including giving notice of 60 days or more, to terminate the agreement early in the event of Air Wisconsinís material breach of the agreement, subject to Air Wisconsinís right to cure. The United capacity purchase agreement is also subject to termination prior to expiration in various circumstances, including if Air Wisconsinís controllable flight completion factor or departure performance falls below certain pre-determined levels, and in the event of a non-carrier-specific grounding of at least a specified number of Air Wisconsinís aircraft, in each case for a specified period of time. Disputes between United and Air Wisconsin have arisen under the United capacity purchase agreement in the past and, while the prior disputes have been resolved, it is possible that new disputes may arise in the future. New disputes or disagreements with United could result in Air Wisconsin incurring negotiation or resolution costs or entering into litigation or other proceedings. Even if resolved in Air Wisconsinís favor, the existence of a dispute could harm Air Wisconsinís relationship with United. We cannot predict the outcome of a future dispute or disagreement with United.

Air Wisconsin currently uses the systems, facilities and services of United to support a significant portion of its operations, including airport and terminal facilities and operations, information technology interface, ticketing and reservations, scheduling, dispatching interface, fuel purchasing and ground handling services. If United were to cease to maintain any of these systems, close any of these facilities, or no longer provide these services to Air Wisconsin, whether due to termination of the United capacity purchase agreement, a strike or other labor interruption by United personnel, bankruptcy or other financial hardship experienced by United, or for any other reason, Air Wisconsin may not be able to obtain access to alternative systems, facilities or services on terms and conditions as favorable as those it currently receives, or at all. Upon certain termination events described in the United capacity purchase agreement, United could require Air Wisconsin to sell or assign to United certain facilities and assets that Air Wisconsin uses in connection with the services it provides. As a result, in order to offer airline service after termination of the United capacity purchase agreement, Air Wisconsin may have to replace these facilities, assets and services. Air Wisconsin may be unable to arrange such replacements on satisfactory terms, or at all.

If the United capacity purchase agreement were to be terminated or not renewed, our business would be significantly impacted, and it is unlikely we would have an immediate source of revenue or earnings to offset the financial impact. United is not under any obligation to extend or renew the United capacity purchase agreement with Air Wisconsin, whether on similar terms or at all.
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