ULCC Model in the U.S.
04-05-2021 | 05:46 PM
#172
Gets Weekends Off
Joined: Jul 2017
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04-06-2021 | 07:06 PM
#173
On Reserve
Joined: Jul 2014
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04-07-2021 | 09:29 AM
#177
Line Holder
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04-07-2021 | 10:25 AM
#178
You scratched my anchor
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04-07-2021 | 11:48 AM
#180
Perennial Reserve
Joined: Jan 2018
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this hasn’t played out yet. Everybody incurred debt - some more than others - and most saw share dilution. Most companies are unlikely to generate a cash flow in the next few years that will permit them to pay off tranches of bonds as they mature meaning they will need to refinance that debt in a few years (or less). Bonds on used aircraft may not (or may) be renewable at the same coupon that they were originally given when those aircraft were new. And a little whiff of inflation - not impossible when $3 Trillion in infrastructure improvements are being debated - could dramatically increase debt service requirements for those with bad credit ratings (which is almost all airlines currently). There is still considerable uncertainty.
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