problem was the fire. They survived the impact with no issues. The steel was sprayed with fireproofing put no one would ever consider filling a floor with jet fuel
here is the crazy part, if air fares do go down that will just increase demand. I just do not see how the airlines lose here.
what was the purpose of the following that have resulted in nothing new
Fast and Furious
Bengahzi 1 - 8
there are two sides in the political games
so you think the Saudis will cut back to make sure north Dakota drillers stay in business, OK sure. I heard the exxon CEO, they pretty much want oil to go down so they can buy out the little guys cheap. We will be down for a long time
They will still benefit but not as much as they could, HA has by far the highest fuel costs per share of any of the airlines. HA 2013 fuel expense runs about 75% or market cap, compared to American which is 1/3 of market cap and Untited which is about 1/2 of market cap. The key is time, if this lasts all the airlines will be making huge profits, I see doubles across the baord
If you are willing to fly 25 year old planes you can expand. But if you want new planes you are looking at a 4 year wait. Currently the only airline that buys the old dumps is Aligiant, it will be interesting to see how they play this. But it is a little bit like the oil industry, if everyone is making huge money, why ruin the party. Oil was overprcied for many years before it broke down.
My biggest holding is Hawaiian airlines but also like united. UAL spent over 12billion on jet fuel in 2013. Currently the price is down 30%. we are talking a 3.6 billion gain. Even at a 10 multiple this adds 36 billion to market cap. I see this as an investment opportunity of a lifetime. CNBC actually had a sell on airlines. huh. I do not get it
Now this is a question I have had for a while. Hawaiian has 19 A330s all relatively new, as in 4 years or less. The best I can come up with the price of a A330 is $140 million. The own 12 and lease 7.
They owe 745 million, so it seems to me their equity is around 12 x 140-745 so around 905 million. Add that to cash and this is worth 1.3 billion if you liquidate it.
Why wouldn't a airline like Delta just buy Hawaiian , it takes years to get new planes. You get then now, and they are cheaper. They could steal the A330s and fly #$%$ 757s like everyone else to Hawaii
OMG everyone should be in an airline. They will kill with $75 oil. Best bets are the high revenue to price bets HA, DAL and United will be the big winners
looked a lot better when we were in the fives. I sold some yesterday, more of a balancing thing. I was way over weight. Been moving to XTN , transports are the place to be with oil dropping. Just think how much compaines like UPS and federal exress will be saving