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Old 1st Mar 2003, 10:27
  #48 (permalink)  
Notso Fantastic
 
Join Date: Aug 2000
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Groaner- I don't understand how Ch11 works in practice. In a state of bankruptcy, it appears airlines under Ch11 can cut ticket costs to get income, but how can they pay for fuel/wages costs/landing fees/spares etc? Suppliers are not going to let that business go deeper into hock, so presumably the airlines have to start paying upfront immediately for all new items as well as servicing current debts to a certain extent? So how can they then start discounting?
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