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-   -   Anyone else getting concerned? (https://www.airlinepilotforums.com/jetblue/145081-anyone-else-getting-concerned.html)

Noisecanceller 10-31-2023 06:02 PM


Originally Posted by Schwanker (Post 3718198)
NK market cap is where it is in hopes JB does come through and grossly overpays to retire NK stock. As you said, NK valuation would be significantly less if it wasn’t for this potential windfall. Next, JB has to finance that debt at market rates which is significantly higher now than it was when JB put this deal together. Likely least of 2 evils is to cut the 400M check and run away.

where do they get the planes, people and real estate then?

Noisecanceller 10-31-2023 06:12 PM


Originally Posted by nene (Post 3718336)
And yet there are elements of this same administration that would love for air travel to be severely curtailed, cost $1000's in taxes and be limited to like 3 R/T's per individual lifetime, like they are proposing in France, all in the name of saving the planet.

Who gives a flying F about France? This is Merica! The best!

Flyweight 10-31-2023 09:55 PM

Outsider here. Wish you all the best, NK or B6 jumpseats and seaters are great.

Which MEC is dominant and has more votes? I assume management wants to keep the B6 MEC, or at least the known relationships.

Blue Dude 11-01-2023 04:15 AM


Originally Posted by Flyweight (Post 3718392)
Which MEC is dominant and has more votes? I assume management wants to keep the B6 MEC, or at least the known relationships.

That's not how it works. After the JCBA and SLI, the MECs will merge and new reps elected.

MainlineFlyer 11-01-2023 05:05 AM

I hope everyones log book is up to date. We are in a very bad place right now. Its getting more and more difficult to see how B6 makes it out of this corner that we have painted ourselves into.

For the people who think I'm exaggerating. Our high was $26/share. We are now a penny stock at $3.45 a share and our bonds are in junk status.

Its bleak.

Clear Right 11-01-2023 05:34 AM


Originally Posted by MainlineFlyer (Post 3718449)
I hope everyones log book is up to date. We are in a very bad place right now. Its getting more and more difficult to see how B6 makes it out of this corner that we have painted ourselves into.

For the people who think I'm exaggerating. Our high was $26/share. We are now a penny stock at $3.45 a share and our bonds are in junk status.

Its bleak.

Every Airline is at multi-year lows; B6 is getting hit harder than others due to the DOJ lawsuit, but even the wallstreet darling airlines are at 5 - 10 year lows . One analyst said yesterday, if the DOJ approves acquisition, the stock will "double". Now if the DOJ rules against the acquisition, then B6 will have some work to do, but the fundamentals and balance sheet are still fine. I wouldn't be too concerned yet, unless there's an unfavorable ruling coupled with a recession and high oil price's due to current geo-politics, but then all airlines will be in a bad place, not isolated to B6.

MainlineFlyer 11-01-2023 05:47 AM


Originally Posted by Clear Right (Post 3718458)
Every Airline is at multi-year lows; B6 is getting hit harder than others due to the DOJ lawsuit, but even the wallstreet darling airlines are at 5 - 10 year lows . One analyst said yesterday, if the DOJ approves acquisition, the stock will "double". Now if the DOJ rules against the acquisition, then B6 will have some work to do, but the fundamentals and balance sheet are still fine. I wouldn't be too concerned yet, unless there's an unfavorable ruling coupled with a recession and high oil price's due to current geo-politics, but then all airlines will be in a bad place, not isolated to B6.

If this were true that would be one thing. DAL, UAL, and AA all saw double digit revenue and profit growth at the same time we (and spirit) saw top line near double digit revenue LOSS. That means not that our costs are too high, but that people a just choosing not to fly on us. All this going into what is certainly going to be an engineered recession is very not good.

We are the small challenger and we are losing customers and money, and we are now on the hook for this merger.

You should be concerned.

Bgood 11-01-2023 06:27 AM


Originally Posted by MainlineFlyer (Post 3718462)
If this were true that would be one thing. DAL, UAL, and AA all saw double digit revenue and profit growth at the same time we (and spirit) saw top line near double digit revenue LOSS. That means not that our costs are too high, but that people a just choosing not to fly on us. All this going into what is certainly going to be an engineered recession is very not good.

We are the small challenger and we are losing customers and money, and we are now on the hook for this merger.

You should be concerned.

ehh.. .we'll be fine however it shakes out.

Clear Right 11-01-2023 06:31 AM


Originally Posted by MainlineFlyer (Post 3718462)
If this were true that would be one thing. DAL, UAL, and AA all saw double digit revenue and profit growth at the same time we (and spirit) saw top line near double digit revenue LOSS. That means not that our costs are too high, but that people a just choosing not to fly on us. All this going into what is certainly going to be an engineered recession is very not good.

We are the small challenger and we are losing customers and money, and we are now on the hook for this merger.

You should be concerned.

Let's assume you are correct and B6 is in on the edge of CH11 or CH7, then those facts substantiate the argument to rule in B6's favor by the Judge (Pro-Business). If B6's future truly is on the brink of failure, then how does that help competition for the consumer (DOJ position). The government in it's DOJ case would in effect be eliminating a DOJ proven disrupter, the "JetBlue and Spirit effect" would be eliminated by attrition. Therefore, helping support the case for a favorable ruling, and the Stock Price will probably double. Will you still be concerned if the DOJ case is approved for B6/NK and the Stock price double's?

MainlineFlyer 11-01-2023 06:45 AM


Originally Posted by Clear Right (Post 3718491)
Let's assume you are correct and B6 is in on the edge of CH11 or CH7, then those facts substantiate the argument to rule in B6's favor by the Judge (Pro-Business). If B6's future truly is on the brink of failure, then how does that help competition for the consumer (DOJ position). The government in it's DOJ case would in effect be eliminating a DOJ proven disrupter, the "JetBlue and Spirit effect" would be eliminated by attrition. Therefore, helping support the case for a favorable ruling, the Stock Price will probably double. Will you still be concerned if the DOJ case is approved for B6/NK and the Stock price doubles?


I agree that both of our company's terrible financial results help our case. You assume, however, that a merger is a good thing. I'm not sure that taking on a $3.5b debt in rising interest rates is gonna be the wisest move. This management team couldn't grow when rates were 2% and we were making money. You also assume that our stock doubles with a merger. That is a big assumption. If that happened (and that's a big if), that would only make me feel better in the short term as B6 could dilute some stock to keep afloat, and if we did go Ch7 we may get bailed out due to our combined size, but the fundamentals of us losing money and digging ourselves into debt need to change before I am happy.


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