PPRuNe Forums - View Single Post - Merged: Virgin Blue Share Price - how low can it go and for how long?
Old 14th Sep 2008, 23:56
  #229 (permalink)  
airtags
 
Join Date: Dec 2007
Location: Australia
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No!
the thread should not be locked - and if you don't like the wider perception then perhaps you should write to your CEO & Board who have done nothing to convince the market that there is a plan for the business other than continue on with all the 'new world carrier b.s.' that created the downward spiral in the first place.

VB desperately needs to get back to core business - focus on yeild and forget trying to prop up the failed business models for Premium Economy that were flawed from the begining. It needs to forget trying to be cute with the financial structure of the IFE deal and forget trying to rely on off balance sheet liabilities to prop up claims of '>A$700m cash reserves'

VB's dalliance into the PAc route with V is extremely high risk - apart from conciously putting the biz into the red for Y1 & Y2, the inbound market from the US is softening fast and the government's 'open skies' policy for the Pac route means more operators and a much lower NSR. (This is also an issue with Q)

VB is a great LCC - and as an LCC it did very well and should be a profitable business........ if it gets focus. Until however there is evidence of such, VB can expect to be tossed around in a stormy and very reactive market.

By the way - not all Q people or those from other airlines are anti VB - I happen to use VB's services a lot (except over water by choice) and it is usually good value - in fact Q & VB both share the same problem at the moment (perception) and for the record, the red rat is not doing a good job of convincing the market either!

It's great you are passionate about your employer - hang to that but maybe don't confuse their grasping of foreskin with foresight.

AT

Last edited by airtags; 15th Sep 2008 at 00:02. Reason: typos
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