Mitchaa states:
What makes you think that one of the largest helicopter operators in the world will fail, go bankrupt, shut all the doors and cease to exist? They have yearly contracts that are bringing in over $1bn in a market that is on its ar*e so to speak. Even if it did come down to Bankruptcy, you really think that the company would cease to exist?
Revenue is absolutely no indication of anything in business (or life); margin is everything and the net profit or loss of the organization is the ultimate arbiter. You have to be able to pay your bills and maintain creditworthiness to survive, and funding an ever deepening black hole of losses is not the way to do it, you might never get out.
You only need look at the history of asset and revenue rich businesses that have sought creditor protection or reorganized in order to permit them to renegotiate adverse financial, labour or other conditions. Airlines are perhaps an excellent and appropriate example.
You may be assured that discussions similar to that going on here at PPruNe, will be taking place within the organization, major shareholders, financiers, leasing companies, insurers, regulators, customers and competitors.
The questions and considerations posed here, may well be put into perspective by a review of the information provided by no other source than CHC itself.
CHC : MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (form 10-Q) | 4-Traders
For the sake of all the employees at CHC, I wish them every success in effecting a strong recovery.