Bankruptcy Risks Mount for AA

Subscribe
4  10  11  12  13  14 
Page 14 of 14
Go to
Quote: ROTFLMAO! Nice deflection. When caught lying, blame the guy who calls you out for your lies.
You missed your calling as a politician.


The numbers I put out where given by WN . Why don’t you go down to Dallas and set them straight. Seems you know more then they do .
Reply
Quote: Yes, the credit is collateralized by planes. Say, they were loaned to 80% of resale value. Now the the resale value has dropped to 10%.
the numbers are the rub.

Court offering thirty cents on the dollar and planes worth forty ... take the money. Court offering ten and planes worth 50? Take the planes and flip them to someone for twenty
Reply
https://seekingalpha.com/amp/article...ZXVOHqPb5RQ-gY
Reply
What were the pay concessions in the last bankruptcy? I know I lost $10k myself on AMR stock.
Reply
Quote: What were the pay concessions in the last bankruptcy? I know I lost $10k myself on AMR stock.

IIRC pay rates actually went up slightly (like 3%) but pay banding came into effect offsetting that, 767 was banded down to 757 rates, 737 banded down to MD80 rates. but work rules, average day, SCOPE, etc. were all gutted.
Reply
Quote: https://seekingalpha.com/amp/article...ZXVOHqPb5RQ-gY
good find

It's nice to read the opinion of someone who isn't shorting us
Reply
Quote: Closest to the last option

i think when AA files chapter 11 there’s a chance some creditors may just take their property and walk. What happens if AA loses all their a320’s and all their lhr slots (mix and match collateral as you like)

Does it implode?
You gotta be realistic. Who needs the airplanes? Nobody.
Reply
Quote: You gotta be realistic. Who needs the airplanes? Nobody.
If it looks like AA will go into bankruptcy and lien holders will take a haircut, sharks may buy up that debt for pennies on the dollar. They then walk into court and grab every asset they can knowing that in a year or two they will likely triple their investment. There are so many variables that anyone who claims to know how this mess shakes out is full of crap. Hopefully, within two years all of your furloughs have been recalled and everyone is riding the retirement wave seniority elevator again.
Reply
If there is Chapter 11, how will my AAdvantage miles be affected?
Reply
Quote: If there is Chapter 11, how will my AAdvantage miles be affected?
People can make guesses, but the reality is whatever the company proposes and whatever is agreed to in bankruptcy court.

Everything from no change to full abolishing the program, and everything in between are on the table.
Reply
4  10  11  12  13  14 
Page 14 of 14
Go to