Bailout Grant Strings Are Too Much
04-01-2020, 09:47 AM
#21
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Originally Posted by SAABoroowski
not sure they have a choice
04-01-2020, 11:39 AM
#24
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Bailout Grant Strings Are Too Much
Originally Posted by SaturnV
Did I read the loans have a string attached that says staffing can’t be reduced more than 10% of 3/24/2020 staffing during the life of the 5 year loan?
For the loans there is a 10% clause, not sure for how long though. For the grants it’s no reductions in workforce I believe.
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04-06-2020, 06:19 PM
#25
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04-07-2020, 05:12 AM
#26
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Originally Posted by Excargodog
04-07-2020, 06:20 AM
#27
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Originally Posted by Excargodog
The main reason companies buy back stock in the market, of course, is to support their share price. High stock prices not only make shareholders happy but also increase top executives' wealth by making their shareholdings and stock-purchase options more valuable.
In addition, in many cases higher share prices help trigger higher executive compensation because share price is one of the metrics that corporate boards often use to determine executives' compensation packages.
Finally, the higher a company's stock price, the lower the chances are of an "activist" shareholder taking control of the company and kicking out directors and top executives.
In addition, in many cases higher share prices help trigger higher executive compensation because share price is one of the metrics that corporate boards often use to determine executives' compensation packages.
Finally, the higher a company's stock price, the lower the chances are of an "activist" shareholder taking control of the company and kicking out directors and top executives.
That said, I'm inclined to "hate the game, not the player" in this case. You get what you incentivize, and the airlines (and other publicly-traded corporations) are incentivized to boost the stock price above all else. At the same time, there is a disincentive to accumulate a large cash pile, for fear of being subject to some form of hostile takeover.
I have to think there's a way to incentivize companies to manage their balance sheet so that they're better able to weather these kinds of events. Not sure if it would be a change in the tax code, a change in accounting practices, or what.
04-08-2020, 02:51 AM
#28
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Originally Posted by rickair7777
Most yes.
May be one or two who skip the line at the soup kitchen and just go straight to the BK drive-through... they'll probably get more favorable cuts to labor contracts while the crisis is still on everyone's minds.
May be one or two who skip the line at the soup kitchen and just go straight to the BK drive-through... they'll probably get more favorable cuts to labor contracts while the crisis is still on everyone's minds.
04-08-2020, 06:39 AM
#29
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Originally Posted by sailingfun
If you file bankruptcy with no revenue you end up in chapter 7 and liquidated. Reorganization in bankruptcy requires a revenue stream that can support your daily operations.
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