VX to raise more money, has 80%+ load factors
Oct 2, 2008, 9:20 pm
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VX to raise more money, has 80%+ load factors
http://www.ft.com/cms/s/0/5eabe19e-9...nclick_check=1
Mr Nisi, who is also a Virgin America director, said the carrier is now filling more than 80 per cent of its available seats, and should turn a profit by the second half of next year.
Oct 2, 2008, 9:45 pm
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Mr Branson’s Virgin Group, which owns a minority stake in Virgin America, will grant its sister company a loan, the people said.
Black Canyon and Cyrus Capital Partners, the US private-equity firms that hold the remaining 75 per cent in Virgin America, may also provide additional funds. And the carrier is exploring options for financing its fleet of aircraft.
Black Canyon and Cyrus Capital Partners, the US private-equity firms that hold the remaining 75 per cent in Virgin America, may also provide additional funds. And the carrier is exploring options for financing its fleet of aircraft.
Oct 3, 2008, 3:23 am
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What I meant by that is that I'm pretty sure SRB would be walking away if this wasn't looking at least SOMEWHAT promising, and needing additional capital because oil's more expensive than planned isn't unrealistic.
That being said, 80% loads aren't the end-all, be-all- how are they getting there? The old "we lose money on each sale, but make up for it in volume" way of doing it? Without better figures, it's hard to tell.
That being said, 80% loads aren't the end-all, be-all- how are they getting there? The old "we lose money on each sale, but make up for it in volume" way of doing it? Without better figures, it's hard to tell.
Oct 3, 2008, 7:32 am
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What I meant by that is that I'm pretty sure SRB would be walking away if this wasn't looking at least SOMEWHAT promising, and needing additional capital because oil's more expensive than planned isn't unrealistic.
That being said, 80% loads aren't the end-all, be-all- how are they getting there? The old "we lose money on each sale, but make up for it in volume" way of doing it? Without better figures, it's hard to tell.
That being said, 80% loads aren't the end-all, be-all- how are they getting there? The old "we lose money on each sale, but make up for it in volume" way of doing it? Without better figures, it's hard to tell.
Oct 3, 2008, 9:01 am
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Well, I'm not accusing the gentleman of lying, but without DOT data or SEC requirements to publicly report (since they are not publicly traded), we're sort of left to take him at his word. It would be nice if it wasn't quite like that. Also, projections are just that.
But that being said, again, I doubt SRB is stupid enough to put good money after bad if VX was a complete trainwreck moneywise, and VX certainly is picking up good mindshare, so it doesn't seem completely implausible, either.
But that being said, again, I doubt SRB is stupid enough to put good money after bad if VX was a complete trainwreck moneywise, and VX certainly is picking up good mindshare, so it doesn't seem completely implausible, either.
Oct 3, 2008, 11:18 am
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I also don't think the airline would be investing money in renovating terminals/lounges at LAX and SFO if it didn't think it had a future.