Originally Posted by
andrewwm
This is a pretty weak tea complaint. Every company on the face of the earth structures their PR statements this way.
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"Every company on the face of the earth structures their PR statements this way." This is false. Even if it were true (but it isn't), despite what you wrote, it is unethical to mislead investors.
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Originally Posted by
andrewwm
Special charges are somewhat b.s. for most companies. But UAs are about the same as DLs and AAs - hardly accounting practices gone wild
We don't know what kind of deal UA and Boeing made over the grounding (maybe a discount on future planes?), but regardless you're grasping at straws. $7 mil is not going to get you from $450 mil to the loss you predicted.
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The "special charges" were relatively small this quarter. However, in prior quarters, the amounts were high and controversial.
With respect to the hypothetical of Boeing granting UA a discount for the purchase on future planes, it would be a violation of GAAP to record the $7 million as an expense (if an agreement is in place for a discount or a type of reimbursement). Therefore, in your example, the $7 million shown as an expense would not be allowed under GAAP. By the way, the annual audited financial statements that are submitted to investors and to the SEC are based on GAAP.
Originally Posted by
andrewwm
More grasping at straws.
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No, grasping at the truth, accuracy and logic.
Originally Posted by
andrewwm
More grasping at straws. I don't know where you got the $112 million figure because it's not in the press release. But, if you thought about it for two seconds you'd realize that UA also booked a similar amount of expense in adding new mileage earned to the liability side of the ledger.
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Based on your responses and the apparent lack of understanding of my post, it is unlikely that you would understand if I furnished directions on how to arrive at this number. If you disagree with the number, so be it.
Originally Posted by
andrewwm
Profit back up to $450 million, sorry. This ain't going to get you to the loss you predicted either.
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Correction, profit is not "back up to $450 million, sorry." You spent your time tearing apart my post and did not bother to analyze the financial statements or what I wrote.
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Originally Posted by
andrewwm
Lower fuel cost means that, in a competitive market, ticket prices will also be lower, depressing revenue. It's not a straight line calculation to add or subtract fuel from revenue. But, of course, you probably know this.
You're batting 0-4 so far, which doesn't bode well for your boast.
We are obviously looking at UA's financial results from a different perspective. I was hoping for a civil exchange of ideas. When you respond in the manner you did, attempting communication with you is not encouraged.
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