ERJ Driver

So, it's MON. Has anyone heard anything on the court case that was supposed to be on FRI? The MAG email box is quiet- sure the corporate rat would have something to say if the injunction were upheld. Could this court case drag on a while?

TrojanCMH

Posting a picture of someone elses family on the internet is bad juju. She is hot though.

ComairFO

Oral arguments were heard and evidence submitted on Friday. The case is currently under the review of a 3-judge panel. While the timeframe for a decision is not presently clear, I would look for an "opinion" within the next day or two (or three!).

www.ca11.uscourts.gov/

This link (posted earlier) will take you to the court's homepage. Refer to that for any ruling/opinion.

powrful1

Below should be the link when the decision is made:
http://www.ca11.uscourts.gov/opinions/ops/200813733.pdf

el jefe

Mesa Air Group Announces Successful Restructuring of Its Senior Convertible Notes Due 2023
Mesa Air Group Announces Successful Restructuring of Its Senior Convertible Notes Due 2023: Financial News - Yahoo! Finance

I don't understand what the restructuring of notes in 2023 means.

Did they basically post-date a check for 14 years from now to pay their bills?

ToiletDuck

Basically they told the people holding the notes that they couldn't pay them what was originally agreed upon so they allowed them to "refinance" or settle the debt in a different manner. It should also be noted that they didn't restructure them all. Mesa still has rather large bills coming up. Also if one of those guys left decides to still cash in the puts then he could still toss the company into BK screwing over the rest.

afterburn81

Hmm, wow that sounds far fetched but hey. We should all put together a group and have JO represent us in front of the student loan companies. Maybe we can set a projected payback date from somewhere say I don't know..........150 years from now!! That's more like it.

nicholasblonde

The Dems actually had it in the last higher ed reauthorization act to include private student loans as loans that could be discharged in bankruptcy (they currently are not). The Repubs blocked it, but it almost made it in there. Apparently their argument was that it would make private student loans harder to obtain and more expensive, but the statistics don't really support that claim...most people w/ private student loans actually do pay them off pretty quickly and on-time (but then again, most people don't become pilots after college!!!)...maybe they should have had the "pilot bankruptcy authorization act."

rickair7777

I agree that they student loans not be dischargeable in BK. Nobody would ever be able to get another student loan without parents who are wealthy and willing to co-sign. Here's why...

Most loans issued to consumers incorporate three things that give the lender confidence that he has a good chance of getting repaid...

1) Credit history...most borrowers have one, and they want to keep it intact.
2) Collateral, most large loans involve assets which can be repossesed if needed (car, house, widescreen TV, etc)
3) Employment...ie source of income.

A typical student has none of these when he applies to college, so a lender would have no collateral, no wages to rely on, and no history of financial responsibility (or any other responsibility for that matter).

But it gets worse...a bankruptcy only stays on your record for seven years. The obvious thing for many new college graduates with a large debt would be to NOT find a job, but pretend to be looking. After a few months they could declare BK, and discharge their student loans...since they own nothing (or have hidden anything they do own), the student has nothing to lose. By age 30 when they might want to buy a house the BK is off their record, and they can get on with their life...debt free!

There would be enough bad apples jumping on this opportunity to ruin it for everybody else.

nicholasblonde

Well it's almost impossible for anyone to get a private student loan now anyways, even though they aren't dischargeable in bankruptcy, mostly due to the credit crunch (we can argue who is to blame for the credit markets til' the cows come home). And you really don't need private student loans for college anyways, since Fed loans will cover everything, and it's easy to work part-time to cover any incidentals/extras. The problem is that our flight training system isn't set up to allow financing with Fed student loans (or at least a majority of the costs don't qualify for fed ed loans). Of course I don't want that to become a possiblity now, since I think everyone else should have to scrape by to pay for their ratings like I did...but realistically it's bull crap that someone can get 40K in Federal Student loans at 3-4% interest with tons of deferment/forbearance options to pay for a BA/MA in something like Art Appreciation or Peace Studies at a liberal arts college, yet people can't get Fed student loans to pay for a CPL/CFI, which is at least a "career." Or WAS a career ;->

Sorry for getting off track...MESA...if they lose what is the prob of them having to declare BK??? 50%? 80%? 99%?