Originally Posted by
sbm12
Emphasis mine.
Do they have the most profit? Or just the most consecutive quarters? I'd take +100/-5/-5/-5 over +5/+5/+5/+5 any year. I have no idea what the numbers are, but I do know that statistics can be used to support whatever purpose you want them to
B6 has $834MM plus $300MM from LH on hand. That's not a ton of money, but they can get by on that with a pretty decent run rate. Of course, I have no idea how the new airplanes coming online and the old ones leaving is going to impact the cash flow, nor do I know what, if any, major debt obligations there may be coming due in the near future.
CASM isn't up too much, but if the domestic market goes at all soft there is going to be trouble; B6 is not diversified enough to withstand a major down-turn in domestic travel.
I never wrote the most profit, but, however, it is true that B6's cumulative losses since 9/11 are minuscule compared to all the legacies.
The difference, which is very significant of course, is that they are very cash poor compared to the legacies.
And as far as posting a loss in 4th qtr, B6 is hardly alone in this category.
But the lack of cash is a big problem, of course, which has been bolstered by LH...even then the total cash reserves are still low obliging B6 to keep posting profits, hence the slew of upcoming initiatives to increase revenue (refundable fares, premium section in front of a/c, etc.)