Why so much cash?
05-02-2020, 11:27 AM
#1
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Why so much cash?
In the analysis I've seen Southwest has the best cash to cash burn ratio of any carrier, and it's not even close. My question is; was this because management actually planned for periodic downturns or because the 737 max didn't come and all that cash was going to buy those and bring them online?
05-02-2020, 04:13 PM
#2
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It is there so we are the only airline that can play offensive while everyone else is playing defense. Basically the strategy management is going for right now is to try and capture more market share while AA, DL and UA are all retreating to their fortress hubs.
05-02-2020, 08:08 PM
#4
weekends off? Nope...
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Originally Posted by Squeakygreaser
In the analysis I've seen Southwest has the best cash to cash burn ratio of any carrier, and it's not even close. My question is; was this because management actually planned for periodic downturns or because the 737 max didn't come and all that cash was going to buy those and bring them online?
Why? Cash is king when everything is on sale!
05-03-2020, 09:41 AM
#5
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Originally Posted by DHC8DRV
It is there so we are the only airline that can play offensive while everyone else is playing defense. Basically the strategy management is going for right now is to try and capture more market share while AA, DL and UA are all retreating to their fortress hubs.
Gary Kelly just said the exact opposite...he said SW will be definitely smaller and layoffs are not off the table.
https://www.cbsnews.com/live/
05-03-2020, 11:46 AM
#6
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Originally Posted by BigGuns
You are delusional if you believe that!
Gary Kelly just said the exact opposite...he said SW will be definitely smaller and layoffs are not off the table.
https://www.cbsnews.com/live/
Gary Kelly just said the exact opposite...he said SW will be definitely smaller and layoffs are not off the table.
https://www.cbsnews.com/live/
05-03-2020, 11:59 AM
#7
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Originally Posted by DownAndDirty
Says the 320 FO
That other link was bad... Here is the interview.
https://www.cbsnews.com/news/transcr...on-may-3-2020/
05-03-2020, 01:12 PM
#8
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Position: B737
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This is actually what he said from the transcript:
“KELLY: Well, you know, I think you summarized it well with your- with your comments. The- the planes are virtually empty, and we've got- at Southwest alone we've got close to 400 airplanes that are parked. The- the demand is just not there. So obviously, if things don't improve, we have to downsize. We've never had a furlough in our history. We've never had a pay cut in our history. And I'm extraordinarily proud of that. And we certainly don't want to break that record. What I promised our people is I don't know what the future holds, but I do know that we're very well prepared, and the very last thing that we'll do--is have an involuntary furlough.”
“KELLY: Well, you know, I think you summarized it well with your- with your comments. The- the planes are virtually empty, and we've got- at Southwest alone we've got close to 400 airplanes that are parked. The- the demand is just not there. So obviously, if things don't improve, we have to downsize. We've never had a furlough in our history. We've never had a pay cut in our history. And I'm extraordinarily proud of that. And we certainly don't want to break that record. What I promised our people is I don't know what the future holds, but I do know that we're very well prepared, and the very last thing that we'll do--is have an involuntary furlough.”
05-03-2020, 01:19 PM
#9
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Joined APC: Mar 2015
Position: B737
Posts: 3,643
Originally Posted by BigGuns
Says SW’s CEO! SW is a real airline now with real airline problems! This time there is a total lack of demand with a global overage of supply!
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