Aitran Bankrupt Next?

[Tim34]

Originally Posted by YX802

"I think it's more likely that any large airline bankruptcies would occur next year," said Philip Baggaley of Standard & Poor's, who has assigned his lowest ratings to U.S. Airways, AirTran Airways (AAI) and JetBlue Airways (JBLU). "At least at current fuel prices, most of them have enough liquidity to get through several more quarters. But it could get rather more uncomfortable by 2009. Oil prices are the largest variable."

[YX802]

Originally Posted by Tim34

Last time I checked you were not a member of A + rewards nor do you have anything positive to say about Airtran yet you continue to post on this board. I am confused.

I learned how to do that from you.

[Tim34]

Originally Posted by YX802

I learned how to do that from you.

[DCBob]

Originally Posted by hazelrah

Actually, I was reading a blurb on Wall Street 24/7 which gaves odds on banrupticies in 2008.

AA was ranked at 1 in 2 odds. Not good for AA and I'd put them ahead of FL.

Yes, AA was ranked as having 1 chance in 2 of going bankrupt in 2008. You didn't mention that article also said UA was ranked 1 out of 4 and NW was ranked 1 out of 5. Worse than Russian roulette. The article suggested three smaller airlines were in even more serious trouble - Frontier, Spirit, and Midwest. No surprise there.

[flyYX]

Originally Posted by DCBob

Yes, AA was ranked as having 1 chance in 2 of going bankrupt in 2008. You didn't mention that article also said UA was ranked 1 out of 4 and NW was ranked 1 out of 5. Worse than Russian roulette. The article suggested three smaller airlines were in even more serious trouble - Frontier, Spirit, and Midwest. No surprise there.

I wish you guys would post links to these stories.

[hazelrah]

Originally Posted by flyYX

I wish you guys would post links to these stories.

http://www.247wallst.com/2008/06/the-247-wal-st.html

[whlinder]

Pilots set to be furloughed, employees asked for concessions.

[Rambuster]

WSJ reporting that Airtran is to cut employee wages by 10%.

http://online.wsj.com/article/SB1215...googlenews_wsj

[RSVP]

Will Fornaro take a salary cut?

[3Cforme]

Originally Posted by RSVP

Will Fornaro take a salary cut?

Already answered - he's an officer of the company, so a 15% haircut.

http://www.forbes.com/markets/2008/0...markets38.html

[RSVP]

Originally Posted by 3Cforme

Already answered - he's an officer of the company, so a 15% haircut.

http://www.forbes.com/markets/2008/0...markets38.html

15% is"nt enough. With his salary, he should be kicking in more. Continental's CEO gave up his enitire years salary and any bonuses.

[ScubaCat]

Originally Posted by RSVP

15% is"nt enough. With his salary, he should be kicking in more. Continental's CEO gave up his enitire years salary and any bonuses.

I was thinking the same thing. 15% of a large salary isn't even noticeable.

[JoeFlyer]

Originally Posted by ScubaCat

I was thinking the same thing. 15% of a large salary isn't even noticeable.

Dude, a 10% paycut of $50k is $5k. A 15% paycut of $500k is $75k. That's huge . . . for both of them!

[RSVP]

Originally Posted by JoeFlyer

Dude, a 10% paycut of $50k is $5k. A 15% paycut of $500k is $75k. That's huge . . . for both of them!

That's inadequate. The guys at the top need to be contributing much more. Lead by example.

[3Cforme]

Are you disappointed by the size of the salary cut, or by the fact that he did get out and lead by initiating a cut for himself both before and larger than the cut for the balance of employees?