Speculation: AA Survival? Headed for Bankruptcy Reorganization (Ch.11)?
Mar 4, 2020, 11:41 am
#46
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...and the govt better not bailout the airlines this time. Let them go under, those that survive will fill the gap, hire the displaced workers, and expand via the free market. If they all go under, just give certain foreign airlines cabotage rights to serve the US until new airlines form and stabilize the market.
Mar 4, 2020, 11:45 am
#47
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...and the govt better not bailout the airlines this time. Let them go under, those that survive will fill the gap, hire the displaced workers, and expand via the free market. If they all go under, just give certain foreign airlines cabotage rights to serve the US until new airlines form and stabilize the market.
Mar 4, 2020, 12:18 pm
#48
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If any of that comes to pass, the government will take the blame, not the airlines who will undoubtedly have asked for help. If the situation is so severe then none of the airlines will survive to take up the slack of the failures. You're also assuming foreign airlines would want to enter the US market. Given the protectionist policies of the current administration, they may find that when times return to normal that they're slung out on their ear.
Even if you ignore the threat to the airline supply chain. No. If any one of the big 3 threaten failure, the government HAS to step in.
Mar 4, 2020, 12:25 pm
#49
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no. It'll never happen. What happens when mum in Pennsylvania is sick and Karen in Seattle needs to get home one last time to see mum before she passes. Or a salesperson from Great American Company needs to get to XYZ for a million dollar sale. Or a government employee needs to get from DC to Dallas to interrogate a fraudster.
If any of that comes to pass, the government will take the blame, not the airlines who will undoubtedly have asked for help. If the situation is so severe then none of the airlines will survive to take up the slack of the failures. You're also assuming foreign airlines would want to enter the US market. Given the protectionist policies of the current administration, they may find that when times return to normal that they're slung out on their ear.
Even if you ignore the threat to the airline supply chain. No. If any one of the big 3 threaten failure, the government HAS to step in.
If any of that comes to pass, the government will take the blame, not the airlines who will undoubtedly have asked for help. If the situation is so severe then none of the airlines will survive to take up the slack of the failures. You're also assuming foreign airlines would want to enter the US market. Given the protectionist policies of the current administration, they may find that when times return to normal that they're slung out on their ear.
Even if you ignore the threat to the airline supply chain. No. If any one of the big 3 threaten failure, the government HAS to step in.
Mar 4, 2020, 1:20 pm
#50
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Mar 4, 2020, 1:37 pm
#51
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Mar 4, 2020, 1:43 pm
#52
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AA/DL/UA might be gone, but others, such as AS, WN and B6 might still come out of this unscathed and can fill the gap.
Mar 4, 2020, 2:09 pm
#54
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Mar 4, 2020, 2:23 pm
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Mar 4, 2020, 2:24 pm
#57
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The government needs to allow it - it's time for these companies and their management to go. Too many years of screwing over customers and employees to enrich shareholders instead of properly positioning their businesses to survive a rainy day without a government handout.
AA/DL/UA might be gone, but others, such as AS, WN and B6 might still come out of this unscathed and can fill the gap.
AA/DL/UA might be gone, but others, such as AS, WN and B6 might still come out of this unscathed and can fill the gap.
Your belief in the market is commendable if a little misguided.
Mar 4, 2020, 3:01 pm
#60
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It's called "unearned revenue" in Accounting; and indeed, goods or services sold but have yet to be redeemed/delivered are considered liabilities on the balance sheet.