Originally Posted by
TCAS v2
Back to the topic - there may be an interest by Forrest in VARA and the WA operation, but I can't see the attraction for the complete entity. He's not the sort of guy who would stake an operation without a guaranteed return.
It needs to be remembered that all the so called "interested parties" are just that and they will only be looking at a debt free start up using some of the assets of the carcass. So the debt has to disappear and that can only occur if the company is somehow wound up. No one is going to take a 100% haircut if the losses can be reduced to a lesser value by stopping the cash outflow now.
Unless he wants to purchase a small portion of the company not because it makes loads of money, but to simply ensure that his mining interests are serviced by a regular FIFO service. Mining is and will remain his focus, not airlines. Smart man. As a hypothetical, he buys in, if the purchased chunk is big enough he gets a seat on the Board so that’s good. But what if it isn’t profitable? Does it matter? He loses say $50m per year in the airline but it keeps his mines operating which personally fills his pocket with hundreds of millions of dollars per year. Sounds good to me. Even better, he might break even on his invested component or even make a couple of bucks. But the methodology behind his buy-in is to keep his mines staffed and operating 24/7. That’s where the money is, mining. And that’s his motivation. That said, who cares what his motivation is, if it keeps Pilots in the air then that is a good thing.