Originally Posted by
Globaliser
What was done was done, and it would be odd for promises made in 2014 to be reneged on today, given the circumstances in which they were made.
Indeed...I would be most surprised if a contract wasn't signed back in 2014...IMHO it is astounding the Board wouldn't model the potential outcomes against putative future share / dividend prices and put a risk mitigation in place (e.g. cap the package), especially knowing that they were coming off such a low share price base.
Joyce may be contractually entitled to the dosh, but presumably he is not legally bound to accept it all...
In any case, once those fuel prices go up (and depending on the hedging strategy) that profit could get eaten up very quickly! I'm yet to be convinced that the EK alliance will endure now that EK is so dominant in the Australian market and QF is leaving DXB with its own metal, reducing capacity to LHR and competitors seem to be well ahead on fleet renewal...interesting times...