Airline II: Revenge of Tim Wu
03-17-2020, 07:57 AM
#2
Gets Weekends Off
Joined APC: Feb 2007
Posts: 584
He's not totally wrong. If we're going to be bailed out as a "necessary utility" then the govt should have the right to regulate us more, as a utility would be.
Consumer protections, fee limitations, capital requirements, executive team restrictions regarding pay and buybacks, ect.
Consumer protections, fee limitations, capital requirements, executive team restrictions regarding pay and buybacks, ect.
03-17-2020, 09:05 AM
#4
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Joined APC: Nov 2018
Posts: 305
The four biggest U.S. carriers — Delta, American, Southwest and United — have collectively spent about $39 billion over the last five years buying back shares, according to a tally from S&P Dow Jones Indices.
“We fully recognize that the company had the opportunity to build up its cash reserves and repeatedly advocated for them to do so,” wrote Todd Insler, chairman of the union that represents United’s pilots, the Air Line Pilots Association. “In spite of ALPA’s warnings, they instead chose to spend company resources differently.
Sen. Edward Senator Markey, a Massachusetts Democrat said that “any infusion of money to the airlines must have some major strings attached,” which include protections for front-line airline employees like flight attendants, pilots and airport workers.
“We fully recognize that the company had the opportunity to build up its cash reserves and repeatedly advocated for them to do so,” wrote Todd Insler, chairman of the union that represents United’s pilots, the Air Line Pilots Association. “In spite of ALPA’s warnings, they instead chose to spend company resources differently.
Sen. Edward Senator Markey, a Massachusetts Democrat said that “any infusion of money to the airlines must have some major strings attached,” which include protections for front-line airline employees like flight attendants, pilots and airport workers.
03-17-2020, 09:38 AM
#5
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Joined APC: Aug 2016
Position: Bus CA
Posts: 658
So AA is the only confirmed airline to receive bailout money. Is it a coincidence that only a Texas airline receives a bailout? Ted Cruz, the weasel from Texas, is the one working on airline relief measures as the Chair of the Senate Commerce Committee’s aviation panel.
And now AA, whose management reinvested nearly nothing into their airline to make it operate better, and neglected the opportunity to fill their coffers, is now paving the way for all airlines receiving assistance to be nationalized by the federal government. Wonderful.
I want AA to succeed to see my friends keep their jobs, but damn would I like to see your management strung up by their ankles and their stock options decimated.
Good luck to you guys, I now have a better picture of why you’ve been part of the Doug Parker Lynch mob.
And now AA, whose management reinvested nearly nothing into their airline to make it operate better, and neglected the opportunity to fill their coffers, is now paving the way for all airlines receiving assistance to be nationalized by the federal government. Wonderful.
I want AA to succeed to see my friends keep their jobs, but damn would I like to see your management strung up by their ankles and their stock options decimated.
Good luck to you guys, I now have a better picture of why you’ve been part of the Doug Parker Lynch mob.
03-17-2020, 09:40 AM
#6
Gets Weekends Off
Joined APC: Dec 2011
Posts: 224
Why not have the govt's capital injection as lender of last resort style - this is normally preferred / convertible stock on quasi commercial terms. Yes - this will dilute the shareholders and may crater executive stock compensation packages - but .. that's where a lot of the cash that was flooding in went.
03-17-2020, 09:51 AM
#7
Banned
Joined APC: Dec 2009
Position: Narrow/Left Wide/Right
Posts: 3,655
Originally Posted by Air Guitar
As far as investments in stock buybacks, naysayers often forget about the $B that airlines pour into airport improvements as well.
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