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Delta Partners in trouble! Who will stay afloat

Delta Partners in trouble! Who will stay afloat

Old Mar 10, 20, 9:30 pm
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Delta Partners in trouble! Who will stay afloat

Seems lots of the Delta partners are worried that they will be shutting down like FlyBe did (code-share partner, future VS regional carrier).

Korean Air Warns That Coronavirus Could Put It Out of Business

https://skift.com/2020/03/09/korean-air-warns-that-coronavirus-could-put-it-out-of-business/

VIrgin Australia's stock is trading around 8 cents a share.
https://australianaviation.com.au/20...ares-nosedive/
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Old Mar 10, 20, 9:48 pm
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Originally Posted by NOLAnwGOLD View Post
Seems lots of the Delta partners are worried that they will be shutting down like FlyBe did (code-share partner, future VS regional carrier).
Korean Air Warns That Coronavirus Could Put It Out of Business
https://skift.com/2020/03/09/korean-...t-of-business/

VIrgin Australia's stock is trading around 8 cents a share.
https://australianaviation.com.au/20...ares-nosedive/
VA is ~90% owned by foreign airlines, including HNA group, which has its own money problems. Very few VA shares in free float on the market

https://en.wikipedia.org/wiki/Virgin_Australia_Holdings
https://www.asx.com.au/prices/charti...ge=&timeframe=
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Old Mar 10, 20, 10:36 pm
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I think somehow, defying all odds, AZ will still exist after this
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Old Mar 10, 20, 11:00 pm
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Originally Posted by gitismatt View Post
I think somehow, defying all odds, AZ will still exist after this
LOL, so true! Small carriers, especially those that were on questionable financial footing pre-crisis, will be allowed to go under. Once you start talking about flag carriers and major carriers, governments will step in to prevent them from failing. They are too important for commerce (once things return to normal) and too large a source of employment (i.e. AZ). Governments don't like to appear that they don't care about thousands or tens of thousands losing their jobs. In the U.S., things should start to stabilize before bailouts are truly necessary, but that stabilization may include ending service to smaller airports and significantly reducing schedules, and I don't foresee politicians letting that happen. I do expect some sort of an unnecessary "bailout" package in the U.S., and although it should take the form of subsidizing routes that would be cut (if it were to happen, although I do not agree with it), it will wind up being a lot broader.
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Old Mar 11, 20, 11:36 am
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Originally Posted by gitismatt View Post
I think somehow, defying all odds, AZ will still exist after this
Doesn't look like it. European news outlets reported today that the Italian government is willing to go along with a breakup of AZ. Until yesterday (or a few days ago), the state's position (directly/indirectly the majority owner) was that of no breakup. Now, it is increasingly likely DL or AF-KL-DL gets a piece while LHG or someone else gets another piece.
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Old Mar 15, 20, 12:55 pm
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Originally Posted by gitismatt View Post
I think somehow, defying all odds, AZ will still exist after this
Right on! https://www.reuters.com/article/us-i...-idUSKBN2120PH
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Old Mar 15, 20, 12:59 pm
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Originally Posted by ab2013 View Post
At least for now. There's still those messy EU state aid rules, but I think there's probably going to be a consensus to suspend those for a bit given that the alternative is likely to be a massive wave of collapses.
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Old Mar 16, 20, 3:10 am
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KAL and Virgin Australia are now stop sale for travel agencies which isnít a good sign

https://apple.news/AqRENEeS7RASLekNiSx3IJw
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Old Mar 16, 20, 3:44 am
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I donít understand how KAL got into trouble so quickly. But it does shed some light on why my refund for travel with them last month still hasnít been processed.

Im willing to go out on a limb and say that MU will survive
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Old Mar 16, 20, 6:45 am
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VS is cutting capacity 80% (and parking planes, obviously) according to CNBC this AM. I bet Richard Branson really wishes didnít back out of he selling his stake a couple months ago.
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Old Mar 16, 20, 10:09 am
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Originally Posted by NOLAnwGOLD View Post
Seems lots of the Delta partners are worried that they will be shutting down like FlyBe did (code-share partner, future VS regional carrier).

Korean Air Warns That Coronavirus Could Put It Out of Business

https://skift.com/2020/03/09/korean-air-warns-that-coronavirus-could-put-it-out-of-business/

VIrgin Australia's stock is trading around 8 cents a share.
https://australianaviation.com.au/20...ares-nosedive/

Well, this would be a mess since Delta pulled out of most of the Asian market, turning it over to KAL instead.
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Old Mar 16, 20, 10:12 am
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Originally Posted by travelinmanS View Post
I donít understand how KAL got into trouble so quickly. But it does shed some light on why my refund for travel with them last month still hasnít been processed.

Im willing to go out on a limb and say that MU will survive
I can easily see how they got into trouble. Have you gone to their site to see their list of cancellations/suspensions? Most of the countries they fly to have banned travelers entering from Korea.
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Old Mar 16, 20, 10:13 am
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Originally Posted by PeggyJM View Post
Well, this would be a mess since Delta pulled out of most of the Asian market, turning it over to KAL instead.
That was March 9th, at the peak of South Koreaís crisis. Is KE in great shape? No, but itís not as dire as a week ago.
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Old Mar 16, 20, 10:57 am
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Originally Posted by PeggyJM View Post
I can easily see how they got into trouble. Have you gone to their site to see their list of cancellations/suspensions? Most of the countries they fly to have banned travelers entering from Korea.
I understand the current situation, which is why I cancelled my ticket. What my surprise was based on was that they had such a small cash reserve that in less than a month they are on the brink.
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Old Mar 16, 20, 12:45 pm
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Originally Posted by PeggyJM View Post
Well, this would be a mess since Delta pulled out of most of the Asian market, turning it over to KAL instead.
Time to bring back the 747s! How much to reinstate them from the junkyard in AZ?
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