$4 Billion Dollar Debt Goal Reached
09-14-2015 | 06:16 AM
#1
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Gets Weekends Off
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$4 Billion Dollar Debt Goal Reached
In the next 24 months our execs will reach their $4 billion dollar debt goal.
Then what?
Where will the additional billions go?
We all know the answer.
To our execs through additional stock buy backs.
NOT ONE PENNY OF PROFITS SHOULD EVER HAVE BEEN RETURNED TO THE SHAREHOLDERS UNTIL THE DELTA PILOTS BANKRUPTCY CONCESSIONS WERE RESTORED
Then what?
Where will the additional billions go?
We all know the answer.
To our execs through additional stock buy backs.
NOT ONE PENNY OF PROFITS SHOULD EVER HAVE BEEN RETURNED TO THE SHAREHOLDERS UNTIL THE DELTA PILOTS BANKRUPTCY CONCESSIONS WERE RESTORED
09-14-2015 | 07:12 AM
#2
Racketeer
Joined: Mar 2015
Posts: 13,337
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From: N60.4858 W149.9327
In the next 24 months our execs will reach their $4 billion dollar debt goal.
Then what?
Where will the additional billions go?
We all know the answer.
To our execs through additional stock buy backs.
NOT ONE PENNY OF PROFITS SHOULD EVER HAVE BEEN RETURNED TO THE SHAREHOLDERS UNTIL THE DELTA PILOTS BANKRUPTCY CONCESSIONS WERE RESTORED
Then what?
Where will the additional billions go?
We all know the answer.
To our execs through additional stock buy backs.
NOT ONE PENNY OF PROFITS SHOULD EVER HAVE BEEN RETURNED TO THE SHAREHOLDERS UNTIL THE DELTA PILOTS BANKRUPTCY CONCESSIONS WERE RESTORED
$1.6B per year in debt reduction continues
$2B in shareholder returns per year continues
$1.5B+ invested in other airlines
$2B in fuel savings this year even after hedge losses
$2.5 -$3B annually into fleet, facilities and tech
$1B in pension funding (which 65% of pilots don't benefit from)
•Strong operating cash flow, combined with disciplined capital spending, produces sustainable free cash flow of $4-5 billion annually
09-14-2015 | 05:48 PM
#5
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Joined: Feb 2007
Posts: 7,339
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Hey guys, I would take a look at what your health care plans are going to look like next year, before you go back to the table. ObamaCare is really going to do a number on us(9E will have same plan).
With the election shaping up to be Trump vs Biden, big changes on the horizon are coming.
With the election shaping up to be Trump vs Biden, big changes on the horizon are coming.
09-14-2015 | 06:31 PM
#7
Racketeer
Joined: Mar 2015
Posts: 13,337
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From: N60.4858 W149.9327
Net debt of $4B is about $6B in obligations minus liquid assets of about $2B. This is completely achievable within the next 2 years. This will probably trigger a corporate debt rating of investment grade or better by the major ratings agencies. (Moody's and S&P) This will allow them to finance business activities via the bond market saving them even more money and increasing access to funds. They recently collateralized 15 new 737's to retire higher interest debt. The amount of money available to them in 18 to 24 months could be enough to take activist stakes in all the airlines they have already made investments in.
Last edited by notEnuf; 09-14-2015 at 06:59 PM.
09-14-2015 | 06:42 PM
#8
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Net debt of $4B is about $6B in obligations minus liquid assets of about $2B. This is completely achievable within the next 2 years. This will probably trigger a corporate debt rating of investment grade or better by the major ratings agencies. (Moody's and S&P) This will allow them to finance business activities via the bond market saving them even more money. They recently collateralized 15 new 737's to retire higher interest debt. The amount of money available to them in 18 to 24 months could be enough to take activist stakes in all the airlines they have already made investments in.
"You guys did such a good job for us, we don't need you anymore."
09-14-2015 | 06:51 PM
#9
Racketeer
Joined: Mar 2015
Posts: 13,337
Likes: 822
From: N60.4858 W149.9327
That's why enforceable production balances are so important. The follow on action would be 1E9 from the TA. As we lose our relevance they would have been able to go to the MEC chairman alone, the one person designated in the TA, and negotiate brand scope relief. China Eastern then is allowed to fly Delta livery within China and the camel has officially gotten his nose in the tent. Precedent set. Game over.
09-14-2015 | 10:26 PM
#10
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From: Kickin’ Back
Hey guys, I would take a look at what your health care plans are going to look like next year, before you go back to the table. ObamaCare is really going to do a number on us(9E will have same plan).
With the election shaping up to be Trump vs Biden, big changes on the horizon are coming.
With the election shaping up to be Trump vs Biden, big changes on the horizon are coming.
You may be right about Biden............Heaven forbid!
Denny
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