If you want to rebase the shareprices over 5 years for inflation and market cap its still sharply negative, RYR and EZY have roughly doubled in that timeframe..
Some UK airlines are going to go under. Everyone in the industry knows the shortlist. It doesn't get talked about on PPRuNe very much as everyone is very sensitive to everyone else's predicament. Wannabes need to factor it in though. Its not just lack of growth that is going to be their problem.
What is happening right now is not a mere recession it is the start of a Depression level event. Just today we read that:
Japan industrial output plunges record 45.7%
Japanese imports and exports crashed by their biggest margins since 1957 last month as the world stopped buying cars, semiconductors, electrical machinery and ships.
Japan industrial output plunges record 45.7% - Times Online
This is unprecedented in several generations. This sort of thing doesn't just get patched up and then the world continues as normal. The world has changed.
UK Public Spending will have to be cut by around a third within a decade. That's massive. That's awesome. That's the entire social security (dole and benefits) budget size. If it doesn't the debt interest doomsday machine will destroy the country and we'll be back to 1974 where Gilts had to pay 17% for the Government to get any international money.
What the political class are in a real flap about is the simple truth that the post WW2 settlement is over. Between East and West, State and Citizen. The welfare state is sunk and in the West, just like everywhere else, you'll have to earn your living or starve. Mobile phones, cars, holidays, Sky for those that don't work is going to stop. Finally.
The world really has changed and your living through it.
A villa in Spain, a weekend in Rome, popping over to Paris for the match and holidaying in Goa are all going to suffer. Badly.
WWW