Article is titled Stock buybacks: we separate smart from dumb

You can pass your own judgement on where they are saying DAL is.

Stock Buybacks: We Separate Smart from Dumb

I thought a 'double bagger' was;

a girl so ugly, you put a bag over your head, in case the bag over her head broke! :eek:

Never heard of a double jimmy hat! I guess the friction would be an issue, and the smell of burning rubber would make me limp. :D

From the article:

The naysayers point out that buybacks are often nothing more than C-suite financial engineering. Executives whose compensation is tied to short-term earnings targets can manufacture a nice showing by buying back enough shares to lift the per-share earnings without needing to have any organic growth in profits. As one market watcher put it, “Repurchases are all the rage, but are all too often made for an unstated and, in our view, ignoble reason: to pump or support the stock price. The shareholder who chooses to sell today, of course, is benefitted by any buyer, whatever his origin or motives. But the continuing shareholder is penalized by repurchases above intrinsic value. Buying dollar bills for $1.10 is not good business for those who stick around.”

He goes on to say Delta announced the buy back on the day DAL hit a 5 year high...

Buy High, Sell low, you can make up the losses in Volume...:rolleyes:

To make it easier, the question is, "Would you buy Delta stock today on credit at 8 % interest ?"

In other news, the residual market values of the 737NG's are being reported on a downward trend (and the trend was probably going when we got a great price on the 900's). The market is pricing the desirability of the C-Series, NEO and MAX. Will Delta have a write down on our 737 fleet, particularly the -700's?

IMHO we are engaged in a bit of a stock pump. I think it is to dilute a potential acquisition target. But, on simple numbers, DAL's share price appears unsustainable compared to some of it's proposed targets (using historical data, DAL's performance this year SHOULD improve trend lines).

Compare equities DAL,ALK

YOU get to have a rep and vote on said rep, and attempt to recall said rep if you don't like what he's doing, unless you're non-member.

US Citizens in DC pay federal income and other taxes but do not have a voting member in either house of Congress, hence "taxation without representation".

• Non Member Admin have much more power than voting members.
• Subversion of our Constitution, ByLaws and Admin Manual takes pilots' Reps out of the loop - my Reps were not involved in pilot labor negotiations with Delta management. Is it legitimate to recall a Rep for something they had nothing to do with and did not even know about? I think not.
• Too difficult and too destructive to recall the President of the organization over line item issues when there is a failure of governance (even I don't advocate a recall, but as long as he remains in power everyone fears even sending a letter which might hurt politically - difficult to get Reps to put the health of the organization over the short term political gamesmanship) Should we recall Reps for that? I think not.

The "Executive Branch" of our union has to have a lot of power to hold the association together. That power has to be used wisely.

The membership need an enforcement mechanism (short of the Courts) to resolve governance issues. A recall is too severe and too disruptive to the association and it's members. The issue is ripe for a cure. Anyone have suggestions?

This right here folks!

Carl

Oh, I recognize!! That's what makes it that much more disturbing!
Thanks for the Monday morning pic though, it helped you recover

The line members are too far removed from an Executive Board to effectively control their organization. Line members only have the most vague input on who is their MEC Chairman. Maybe direct election and recall of MEC Chairmen is the answer. I'd like to hear what the rest of the peanut gallery thinks.

Even so, there should be a process to resolve individual grievances which allege violations of our CBL / Admin Manual short of the Courts (ie TWA, RJDC, etc) and without resorting to the nuclear option of a recall or expulsion.

Force them to fly Douglas products and let natural selection run its course?

I'm liking the electable chair thing. If ya wanna play politics, then you should be subject to the election process of the masses...thereby keeping the masses forefront in decision making/accountability.