It’s that magic time of the economic cycle, all over again. Investors run screens galore for cheap stocks to hide money in during a consumer and credit recession. One group keeps showing up cheap…
The argument that airline mergers improve profits is debatable. Combinations doe not save on fuel costs. Unions often use the marriages as ways to get wage concessions. The last thing a new airline needs…
In all industries staying out of Chapter 11 is a badge of honor. The sole exception to that is the airline business where bankruptcy is embedded in the culture like ticks are on the…
Skybus became the latest US airline to close its doors. Over the last week Aloha Airlines and ATA have also shut down. Northwest (NYSE: NWA) announced that it would raise passenger fares in the…
The management at Northwest (NWA) knows when it is in a pickle. Fuel prices are moving up and passenger traffic is likely slowing as the recession keeps people off airplanes. The only way to…
At Aloha Airlines the reason for Chapter 11 was high fuel costs and too much competition. Overnight ATA Airlines went into bankruptcy because it lost a key military contract. As the reasons add up,…
Shares of Frontier Airlines (FRNT) are off 12% today to $2.23. The shares have a 52-week high of $7.46. Early this morning the The International Air Transport Association speaking about industry profits said "This…
Aloha Airlines went into Chapter 11 last week. That was not enough. Now the carrier says it is ending passenger service after 60 years of operation. Aloha is small and flies in only one…
Northwest (NWA) could not get pilots in line for a merger with Delta (DAL), so it is going to try to move forward without them. It can get ready for a pilot’s strike that…
GE (NYSE: GE) is considering buying up to fifity Boeing (NYSE: BA) 737 jets to lease to airlines. According to Bloomberg "The order may be valued at as much as $3.53 billion, based on…
AMR (NYSE: AMR) hit the market with two pieces of bad news after the close. The parent of American Airlines announced that it fuel costs would rise well above projections made by the company…
Aloha Airgroup has filed for Chapter 11 citing high fuel prices and falling fares. With oil at $100 and both competition and a poor economy warring with ticket prices, the question is "who is…
FedEx Corp. (NYSE: FDX) has just posted earnings of $1.26 EPS on 9.44 Billion in revenues, while First Call had estimates at $1.23 EPS on $9.148 Billion in revenues. FedEx’s guidance is a bit…
Forget about mergers. The US airline industry just has to stay afloat. Rising fuel costs and a recession that will keep people off airplanes like a SARS epidemic have hit the industry mercilessly in…
Thursday we’ll see earnings out of FedEx Corporation (NYSE: FDX). The estimates from First Call are $1.22 EPS on $9.11 billion in revenues. Next quarter estimates are $1.95 EPS on $9.45 billion in revenues.…