View Poll Results: When does AA go bankrupt?
Q4, 2020
7
5.98%
Q1-Q2, 2021
29
24.79%
Q3-Q4, 2021
44
37.61%
2022
5
4.27%
2023 & Beyond
2
1.71%
“AA will never lose money again,” ENY flows < 5 years
11
9.40%
They won’t declare bankruptcy.
19
16.24%
Voters: 117. You may not vote on this poll
When Does AAG Declare Bankruptcy (Yet Again)?
08-29-2020 | 04:53 PM
#11
Perennial Reserve
Joined: Jan 2018
Posts: 14,081
Likes: 182
Typically companies don't wait until funds are exhausted to declare bankruptcy. Nor is it required by law. Generally they do it while there is still money available to pay bonuses to the management executives that shepherd the company through the bankruptcy process itself.
https://www.bloomberg.com/news/artic...uptcy-keet26zl
When Republic declared bankruptcy in 2016 they had actually been profitable for eight straight quarters:
https://www.usatoday.com/story/trave...able/81035522/
But they could PROJECT that they were going to be unprofitable if they couldn't get rid of their fifty-seat flying, and convinced the bankruptcy judge to let them cancel those contracts and "right size" their company.
Only a a fool would think it couldn't happen like that again, or that management would wait until all resources were exhausted to go into bankruptcy.
08-29-2020 | 05:34 PM
#12
Gets Weekends Off
Joined: Aug 2015
Posts: 203
Likes: 0
Typically companies don't wait until funds are exhausted to declare bankruptcy. Nor is it required by law. Generally they do it while there is still money available to pay bonuses to the management executives that shepherd the company through the bankruptcy process itself.
https://www.bloomberg.com/news/artic...uptcy-keet26zl
When Republic declared bankruptcy in 2016 they had actually been profitable for eight straight quarters:
https://www.usatoday.com/story/trave...able/81035522/
But they could PROJECT that they were going to be unprofitable if they couldn't get rid of their fifty-seat flying, and convinced the bankruptcy judge to let them cancel those contracts and "right size" their company.
Only a a fool would think it couldn't happen like that again, or that management would wait until all resources were exhausted to go into bankruptcy.
https://www.bloomberg.com/news/artic...uptcy-keet26zl
When Republic declared bankruptcy in 2016 they had actually been profitable for eight straight quarters:
https://www.usatoday.com/story/trave...able/81035522/
But they could PROJECT that they were going to be unprofitable if they couldn't get rid of their fifty-seat flying, and convinced the bankruptcy judge to let them cancel those contracts and "right size" their company.
Only a a fool would think it couldn't happen like that again, or that management would wait until all resources were exhausted to go into bankruptcy.
08-29-2020 | 07:44 PM
#13
Perennial Reserve
Joined: Jan 2018
Posts: 14,081
Likes: 182
08-30-2020 | 02:49 PM
#17
Gets Weekends Off
Joined: Jul 2016
Posts: 793
Likes: 0
From: FO
08-30-2020 | 04:03 PM
#19
Gets Weekends Off
Joined: Aug 2015
Posts: 203
Likes: 0
People who think one major can just "disappear" don't see the big picture. The consolidation from 10 years ago created three massive companies that serve purposes that can't be replaced easily.
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