It's a copy/paste from the Contrails that went out today.

Are you sure, the A380 makes my butt look big.

OK, So the company has $5 billion cash. Buys 13% of shares outstanding. The company has $5 billion LESS ASSETS. It isn't worth 13% more. The "shares" only have value if someone wants to buy them. The cash is King. Cash trumps psychological. The corporation can't spend psychological in a downturn nor fund my pension...as they proved in BK. Paying back 5B in debt adds value: stock price should go up. Buying 5B worth of jets for cash adds value: share price should go up. Nope, I'm solidly of the school of thought you reward SHAREHOLDERS with dividends and share price increase by increasing corporate assets/profits. You don't reward SHAREQUITTERS. Almost all the big air carriers went on a share buyback binge last time profits were high and gas was cheap. How soon we forget. OFG

+CH11! In addition to massive stock buy backs, they also bought billions of little jets that proved to be an anchor.

Before the ink was dry on C2012. Delta found money to invest in an oil refinery, Virgin Atlantic, Gol Airlines and 40 76 seat RJs. Delta publicly stated the cut in profit sharing would pay for C2012. More importantly, the quick contract avoided negotiating during record profits. The same tactics are in play.

We are almost 20% under our 2000 pay rates. Our benefits are a shadow of what used to be. Write your reps! Prepare to fight for a fair contract. Our CEO makes nearly 10 times what he made in 2001. Demand more from your reps and management.

You are frightened by the fact that older pilots I have flown with said they would take a 25% three year deal?

MEC update today reconfirms no pay talks.

All bullies are inherently cowards...

Why would we reduce profit sharing when our execs are returning $6 billion to the shareholders in 30 months?

In addition to their 700% plus increase in compensation since chapter 11, this buyback makes their millions of shares much more valuable.

They know how to negotiate. In this environment, they have us on the ropes and more than willing to make concessions and fund our own hourly increases with reduced profit sharing.

We are in way over our heads.

Yup, and now ask yourself this; Who benefits by this stock buyback, and WHO owns 80,000 shares?

Richard, that's who. :rolleyes:

Yeah, but still chump change compared to the large institutional money. I just fundamentally disagree with the concept of repurchasing airline shares. A brick and mortar company you can make some logic out of owning the assets. With most airlines you are purchasing the revenue stream and the lease payments for the jets and facilities..and you have less cash. What do I know. I'm old. I lost my readers... OFG

Timbo

80,000 seems a little low.

Anyone have a more accurate number?

2.7 MILLION options worth over $100 MILLION dollars.