PPRuNe Forums - View Single Post - Merged: Virgin Blue Share Price - how low can it go and for how long?
Old 16th Oct 2008, 20:41
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mrs nomer
 
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1. Virgin Blue has cash.
If it ever starts, VA will suck all of that cash straight out of the window.
2. Virgin Blue has cash flow.
Provided it can keep operating.

3. Virgin Blue has assets of considerable value.
Asset values are just that, valuations. Realisation of assets in this climate may bring a few surprises.
4. Virgin Blue's main competitor is suffering.
Suffering from what ?
5. Virgin Blue has an expansion programme that can gain market share.
12 months ago - agreed. But not now.
6. Virgin Blue has secured debt instruments to cover their expansion programme.
Whether loans are still available or not remains to be seen given the changed economic conditions and the now doubtful VA/VB cashflow model.

Last edited by mrs nomer; 16th Oct 2008 at 22:22.
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