Comair updates?
11-17-2008, 12:21 PM
#9993
Line Holder
Joined APC: Dec 2007
Position: EMB 175 FO
Posts: 37
MAG did SEC filing last week to increase authorized shares from 75 to 900 million shares so they can issue new stock to debt holders to pay off the $M debt puts that can come due in Jan/Feb. As the price drops, they will need to issue more stock, which will further dilute ownership, which will drop the price and cause the need for larger amounts of stock to meet the $M and so on and so forth in a circular death spiral.
Mornings released another recent negative report among other things moving their price valuation to 0 from $.40 and estimating MAG burned $M in cash in the first 9 months of '08 and will burn $M in the last 3 months, leaving MAG with only $36 mil at calender year-end - not enough to pay the debt if the note holders file a put, hence the move to issue stock.
Mornings released another recent negative report among other things moving their price valuation to 0 from $.40 and estimating MAG burned $M in cash in the first 9 months of '08 and will burn $M in the last 3 months, leaving MAG with only $36 mil at calender year-end - not enough to pay the debt if the note holders file a put, hence the move to issue stock.
Mesa has bond indentures due in the relatively near term. Despite some success in the renegotiating some of these payments, Mesa still has $17.4 million to pay to its bond holders in the June quarter 2008 ($12 million of which has not yet been paid), and nearly $100.6 million to pay in March 2009. Mesa shareholders have authorized the sale of additional stock to pay the bondholders, but the stock price at less than $1, the amount of stock that Mesa would need to sell would cause a 'change in control' of the company. This would trigger termination provisions in its codeshare agreements with US Airways, United and Delta.
11-17-2008, 12:27 PM
#9994
Gets Weekends Off
Joined APC: Jan 2007
Position: awkward & cramped
Posts: 340
On Epic: Comair update meetings with J. Glamor Shots S. tomorrow at 10 a.m. in the GO and then 11:30 a.m. at gate A1.
Isn't this the way that Bornhorst made the announcement last year?
Bring your camera to ensure a front row seat!
Isn't this the way that Bornhorst made the announcement last year?
Bring your camera to ensure a front row seat!
11-17-2008, 12:31 PM
#9995
Gets Weekends Off
Joined APC: Nov 2005
Posts: 2,551
Beat me to it. Funny compass just announced a new CEO today as well....
11-17-2008, 12:56 PM
#9998
Permanent Ready Reserve
Joined APC: Mar 2006
Position: Upright and Locked
Posts: 969
11-17-2008, 12:59 PM
#9999
Gets Weekends Off
Joined APC: Feb 2007
Position: 1st year pay for the 3rd time
Posts: 1,434
None that I can think of. This CEO will pass all of the unresolved problems to the next.
Unless DS also goes, it will be business as usual.
11-17-2008, 01:09 PM
Gets Weekends Off
Joined APC: Jun 2007
Position: A320 CA
Posts: 243
1. Removal of Television in Flight ops when we move to Concourse A. Recuction in electricity consumed will pay for one pizza party per year when we break the old completion record in 2009.
2. Installation of the Concourse C printers and computers in Concourse A with reduced staff to keep the printers full of paper
3. Elimination of free earplugs in flight ops.
4. All beverages on aircraft will be tracked like the current liquor kit. FA's will be accountable for their contents. Crews will pay $4 per can of soda.
5. Announcement that there will be no "appropriate replacement" holiday gift to replace the hams.
6. Reduction in block hours to save fuel
7. Announcement that our crew costs are still too high even though we only have 500 pilots on the property and 490 on reserve for scheduling flexibility.
Thread
Thread Starter
Forum
Replies
Last Post
