Originally Posted by
ConfigFull
Plastic, you're right - to an extent. The question is, how much is this going to cost?? Goyder and the next CEO are copping the biggest hospital pass in QF's history.
Let's say it's a fuel-efficient twin, massive fuel savings (until frequency is increased but ignore that for a second) but also: cap raises on market, interest, depreciation - all of which hasn't been happening for years until the handful of 787s turned up.
It is the capex that will beach the ship.
That Little Napoleon has with the fossil Clifford sat idly by as the rudderless ship drifted ever closer to the lee shore, they quietly loaded up on options with interesting vesting dates. The strategy is either abject stupidity or simple greed. It could be a little from column A and a little from column B.
The cycle drag of the capex is very important and unfortunately if Mr Goyder chooses to sit idly by he may well wake to a nasty surprise.