View Poll Results: Will AA declare bankruptcy?
Yes
219
70.65%
No
91
29.35%
Voters: 310. You may not vote on this poll
Bankruptcy
06-12-2021 | 05:21 PM
#523
Line Holder
Joined: Sep 2014
Posts: 1,691
Likes: 21
From: 60’s Tech, Right
Pretty damn good, especially when Uncle Sam is picking up a good chunk of your tab. When the gravy train runs out, and actual rubber meets the road (revenues vs. real costs), then we’ll see where we all stand. I suspect Q3/4 of this year that will start, and I wish all of us the best. We really won’t know till Q2/3 2022. I have no beef with AA, I have many friends there. I just don’t trust your management group to not take the easy way out. Arpey didn’t want to, and the board got rid of him. Horton executed the marching orders and was ousted essentially by labor for DUI Doug.... Doug is an idiot, I hope you all have more faith in him than I do. Again, good luck to us all; bankruptcy does nobody any good.
06-14-2021 | 10:25 AM
#524
Line Holder
Joined: Jun 2018
Posts: 587
Likes: 53
From: 757/767
I don't like the way Doug chooses to run the airline but that is a ridiculous statement. DP went from running a tiny low cost carrier to controlling the largest airline in the world. His total compensation package most likely exceeds any other airline exec for the last decade or so. Ruthless and cunning maybe, but not an idiot.
06-14-2021 | 02:18 PM
#525
Line Holder
Joined: Aug 2020
Posts: 77
Likes: 0
From: Boeing 737 CA
I don't like the way Doug chooses to run the airline but that is a ridiculous statement. DP went from running a tiny low cost carrier to controlling the largest airline in the world. His total compensation package most likely exceeds any other airline exec for the last decade or so. Ruthless and cunning maybe, but not an idiot.
Nothing he has done is impressive if you look at it in context.
06-16-2021 | 11:21 AM
#526
Line Holder
Joined: Aug 2014
Posts: 588
Likes: 24
The issue there is that the AA fleet buy was earlier model engines. Of AAs 246 A321s only 33 of them are NEOs. Of their 303 737s only 41 are MAXs. That’s going to put them at a 15-20% fuel disadvantage over the newer engine models.
That plus the fact that the used aircraft market has cratered due to the COVID inspired bankruptcy’s and they may well be able to find good deals on late model used aircraft because of that. A lot of aircraft leasing agencies have planes sitting right now painted in colors of airlines that no longer exist. They are happy to get out from under or get someone to take out a new lease. And those same bankruptcy’s have left both Boeing and Airbus with a lot of aircraft already built that they now can’t deliver. These so-called ‘white tails’ are cluttering up their tarmac. And both aircraft manufacturers are getting rid of these at fire sale prices right now. For people with the right financing, it’s actually a pretty good time to buy aircraft.
That’s not to say anything bad about AA management. They couldn’t have predicted COVID.
That plus the fact that the used aircraft market has cratered due to the COVID inspired bankruptcy’s and they may well be able to find good deals on late model used aircraft because of that. A lot of aircraft leasing agencies have planes sitting right now painted in colors of airlines that no longer exist. They are happy to get out from under or get someone to take out a new lease. And those same bankruptcy’s have left both Boeing and Airbus with a lot of aircraft already built that they now can’t deliver. These so-called ‘white tails’ are cluttering up their tarmac. And both aircraft manufacturers are getting rid of these at fire sale prices right now. For people with the right financing, it’s actually a pretty good time to buy aircraft.
That’s not to say anything bad about AA management. They couldn’t have predicted COVID.
06-16-2021 | 12:57 PM
#527
Gets Weekends Off
Joined: Jan 2019
Posts: 531
Likes: 0
Delta has been the most profitable airline in the past decade and they’ve done so with more used and fuel inefficient aircraft compared to AA. They are also rumored to be buying more used 737-900s vs a Max order, there’s more to aircraft ownership costs than fuel. If the most profitable “Air Line” prefers used old engine aircraft maybe it isn’t that much of a disadvantage compared to GTF engines?
06-16-2021 | 01:30 PM
#528
Line Holder
Joined: Oct 2019
Posts: 426
Likes: 5
Delta has been the most profitable airline in the past decade and they’ve done so with more used and fuel inefficient aircraft compared to AA. They are also rumored to be buying more used 737-900s vs a Max order, there’s more to aircraft ownership costs than fuel. If the most profitable “Air Line” prefers used old engine aircraft maybe it isn’t that much of a disadvantage compared to GTF engines?
07-13-2021 | 03:08 PM
#530
Gets Weekends Off
Joined: Dec 2019
Posts: 1,318
Likes: 0
• Carried 44M passengers in the 2nd Quarter, more than any other carrier.
• Expected to report a slight Q2 profit including special items. Loss of 1.1B excluding special items. Better than expected.
• The month of June generated a cash build of 1m per day. that’s excluding special items and including principle debt payments.
https://apple.news/A0gqEwFQDSBKm9RnYSrdpYg
• Expected to report a slight Q2 profit including special items. Loss of 1.1B excluding special items. Better than expected.
• The month of June generated a cash build of 1m per day. that’s excluding special items and including principle debt payments.
https://apple.news/A0gqEwFQDSBKm9RnYSrdpYg
Thread
Thread Starter
Forum
Replies
Last Post
