Flyglobespan into administration
Join Date: Aug 2007
Location: In my house
Age: 74
Posts: 28
Likes: 0
Received 0 Likes
on
0 Posts
Euro
Probably because she provides the goods or service for which she charges in a reasonably short time scale - thus limiting the Credit Card Company's exposure. With an Airline the flight could be upto a year in the future so you can see why the Credit Companies don't want to be "on risk" for 000,000's of pounds worth of exposure for such long periods. The cash is released to the Airline as "flown revenue" once the flight is operated (contract fulfilled).
That's the theory anyway. What happened with GSM / XL remains to be seen.
Probably because she provides the goods or service for which she charges in a reasonably short time scale - thus limiting the Credit Card Company's exposure. With an Airline the flight could be upto a year in the future so you can see why the Credit Companies don't want to be "on risk" for 000,000's of pounds worth of exposure for such long periods. The cash is released to the Airline as "flown revenue" once the flight is operated (contract fulfilled).
That's the theory anyway. What happened with GSM / XL remains to be seen.
Guest
Posts: n/a
Johnny
Well bearing in mind the bast$rd credit card companies keep a fraction (typically 3-5%) of every transaction for themselves anyway (and that's before they charge the customer interest at premium rates) , even though the have done no work, added no value and taken no risk themselves, why should they not pass the money on to the vendor who did do the work, or who has added the value and taken the risk.
Rather than bankrupting them.
Seems to me that if they were holdiong £34m of Globespans money, that they were in rather better shape than the firm that was actually doing the business that they themselves were profiting from.
Parasites!
Well bearing in mind the bast$rd credit card companies keep a fraction (typically 3-5%) of every transaction for themselves anyway (and that's before they charge the customer interest at premium rates) , even though the have done no work, added no value and taken no risk themselves, why should they not pass the money on to the vendor who did do the work, or who has added the value and taken the risk.
Rather than bankrupting them.
Seems to me that if they were holdiong £34m of Globespans money, that they were in rather better shape than the firm that was actually doing the business that they themselves were profiting from.
Parasites!
Join Date: Aug 2008
Location: uk
Age: 83
Posts: 2
Likes: 0
Received 0 Likes
on
0 Posts
Gee 08
Toupe is actually spelled TUPE for your info there is no contract agreement with Menzies if the deal goes ahead THEY must TUPE all Alba staff what a sight that will be when they all troup in to your rest room you my friend will have some explaining to do after the slagging you have dished out to them so when that day dawns ensure you have plenty toilet roll with you
and you might find as you put it the flounder mr rodden walking in with them
and you might find as you put it the flounder mr rodden walking in with them
Join Date: Feb 2008
Location: UK
Posts: 20
Likes: 0
Received 0 Likes
on
0 Posts
BarbiesBoyfriend
Don't let the facts get in the way of a good rant. If any airline finance director was currently paying more than 1.25% on credit card transactions he would not be in his job much longer. The credit card companies will finish up paying the cost of refunds to thousands of Globespan customers, so how is there no risk? Current net returns on credit card operations in relation to capital employed are marginal and unprofitable in very many instances where the cardholder pays off their account in full each month. For most airlines credit cards produce instant positive cashflow. The fact that Globespan appear to have put their processing in the hands of a third party is clearly a matter for them.
Don't let the facts get in the way of a good rant. If any airline finance director was currently paying more than 1.25% on credit card transactions he would not be in his job much longer. The credit card companies will finish up paying the cost of refunds to thousands of Globespan customers, so how is there no risk? Current net returns on credit card operations in relation to capital employed are marginal and unprofitable in very many instances where the cardholder pays off their account in full each month. For most airlines credit cards produce instant positive cashflow. The fact that Globespan appear to have put their processing in the hands of a third party is clearly a matter for them.
Join Date: Sep 2003
Location: Scottish FIR
Posts: 344
Likes: 0
Received 0 Likes
on
0 Posts
The fact that Globespan appear to have put their processing in the hands of a third party is clearly a matter for them.
Just out of curiosity, does anyone know what the value of forward sales were for 2010? Could be that E-Clear didn't hold enough money back. After all, we didn't hear TD scream about them before hand, to the contrary, he wanted to do more business with them. Weird or what.
Guest
Posts: n/a
Kestrel. Thanks for the advice.
I realise that the c/card company is exposed, so they keep some back in case of refunds. But 34 milion, ffs!
By keeping so much back they have precipitated exactly the situation (bankruptcy) that triggers the refunds.
By all means give E-clear the benefit of the doubt if you wish.
They sound like a right bunch of
to me. I wonder how this will pan out. My guess is that when the dust settles, E-Clear will not arise smelling of roses.
I realise that the c/card company is exposed, so they keep some back in case of refunds. But 34 milion, ffs!
By keeping so much back they have precipitated exactly the situation (bankruptcy) that triggers the refunds.
By all means give E-clear the benefit of the doubt if you wish.
They sound like a right bunch of
to me. I wonder how this will pan out. My guess is that when the dust settles, E-Clear will not arise smelling of roses.
Join Date: Feb 2008
Location: UK
Posts: 20
Likes: 0
Received 0 Likes
on
0 Posts
Barbies B
I am certainly not giving E-Clear "the benefit of any doubt". My comments were simply made in answer to you comment that suggested you thought ALL credit card companies were greedy bast$rds and quoting misleading margins well above what most airlines actually pay. It remains to be seen why Globespan chose to use an intermediary provider like E-Clear rather than one of the mainstream card processors.
When it comes to greed with credit card processing it is often the airlines, tour operators or travel agents who charge pax more that it is costing them, far more in some cases such as Ryanair who will typically pay 1% but then charge £5 per passenger, giving them a massive markup on most of their flights.
I am certainly not giving E-Clear "the benefit of any doubt". My comments were simply made in answer to you comment that suggested you thought ALL credit card companies were greedy bast$rds and quoting misleading margins well above what most airlines actually pay. It remains to be seen why Globespan chose to use an intermediary provider like E-Clear rather than one of the mainstream card processors.
When it comes to greed with credit card processing it is often the airlines, tour operators or travel agents who charge pax more that it is costing them, far more in some cases such as Ryanair who will typically pay 1% but then charge £5 per passenger, giving them a massive markup on most of their flights.
Join Date: Jan 2009
Location: UK
Posts: 42
Likes: 0
Received 0 Likes
on
0 Posts
ROADSIDE for your info I did not slag alba's employee's. and if you go back and read what I said then YOu will see I've said good luck. The problem is noBODY wants anyone on another companys contract. especially the servisair one where they get time AnD a half for sundays. I look forward to seeing alba employee's walk into menzies office...IF IT HAPPENS
Text speak corrected. No charge.
Text speak corrected. No charge.
Join Date: Dec 2006
Location: SCOTLAND
Posts: 109
Likes: 0
Received 0 Likes
on
0 Posts
Alba to Menzies tonight.
GEE08-Menzies have not taken over ALBA..wrong
-------------------------------------------------------
As of midnight tonight 31/12/09..
Alba will not exist all staff at GLA over to Menzies
all Alba GSE will be removed from the ramp only to use Menzies equipment.
Good luck to all.
TD will get his day in court for this, for sure.
no one sells aircraft over a 3 year period and has a track record like him that PWC won`t find out and the press.this was planned.
2010 will be a better year.
DD
-------------------------------------------------------
As of midnight tonight 31/12/09..
Alba will not exist all staff at GLA over to Menzies
all Alba GSE will be removed from the ramp only to use Menzies equipment.
Good luck to all.
TD will get his day in court for this, for sure.
no one sells aircraft over a 3 year period and has a track record like him that PWC won`t find out and the press.this was planned.
2010 will be a better year.
DD
Join Date: Dec 2009
Location: somewhere over the rainbow
Age: 64
Posts: 3
Likes: 0
Received 0 Likes
on
0 Posts
good luck for 2010 to all ex ALBA and GLOBESPAN STAFF
When things go wrong, as they sometimes will,When the road you're trudging seems all uphill,
When the funds are low and the debts are high,
And you want to smile, but you have to sigh,
When care is pressing you down a bit-
Rest if you must, but don't you quit.
Life is queer with its twists and turns,
As every one of us sometimes learns,
And many a fellow turns about
When he might have won had he stuck it out.
Don't give up though the pace seems slow -
You may succeed with another blow.
Often the goal is nearer than
It seems to a faint and faltering man;
Often the struggler has given up
When he might have captured the victor's cup;
And he learned too late when the night came down,
How close he was to the golden crown.
Success is failure turned inside out -
The silver tint in the clouds of doubt,
And you never can tell how close you are,
It might be near when it seems afar;
So stick to the fight when you're hardest hit -
It's when things seem worst that you must not quit.
Last edited by fairygodmother; 31st Dec 2009 at 19:37. Reason: spelling error
Join Date: Dec 2007
Location: Edinburgh
Posts: 95
Likes: 0
Received 0 Likes
on
0 Posts
Did GSM still own the 736 that was being operated by Midwest Airlines in Egypt? If so, does anyone know if it is still operating for them as it was Midwest's only operational aircraft.
Join Date: Dec 2009
Location: scotland
Posts: 3
Likes: 0
Received 0 Likes
on
0 Posts
Alba to Menzies Tonight
DD, I believe u advised me that you were quietly confident in re taking the Alba group, have you just lost your confidence or are you now just going to be quiet???
Join Date: Dec 2006
Location: SCOTLAND
Posts: 109
Likes: 0
Received 0 Likes
on
0 Posts
Never Been Involved
sportacus-I`ve never been involved but I know the couple that have .
I post what is fact.
yes they did try to bid for ex-Alba staff and equipment and anyone involved will confirm they gave best shot ,however,powers that be (airlines and PWC) awarded Menzies.
They know and have friends in both Menzies and of course ex-Alba staff and wish them both the best.
People get confused that I (DD) was someone from Alba.
I have very good friends as I said and I am sure they will surface in 2010.
Alba no longer exists they along with GSM went bust on DEC 16th 2009.
my interest is to ensure people get the correct info and the real reasons behind why this sorry state happened.
Press information released 7 weeks ago, even on this site which people denied, and also documentation of false records will show who was to blame and over a 3 year period what shody practices were used to keep GSM lasting so long.and destroying peoples jobs and lively hoods.
This will not go away and a full investigation has started.(more later)
GSM and Alba staff should know the truth and it will be told.As will the public.
I was banned a few times in 2009. I agree I maybe said to much but it has came true and even the moderators can see that what I was saying ,maybe too strongly at the time, has unfortunatley came true.
My wish for 2010 is that all crew and staff have a great year ahead
Also those that were behind the claps of both companies pay the price.
The Aviation Industry does Not need these people.
Cheers and a great 2010 to all that realy care.
DD
I post what is fact.
yes they did try to bid for ex-Alba staff and equipment and anyone involved will confirm they gave best shot ,however,powers that be (airlines and PWC) awarded Menzies.
They know and have friends in both Menzies and of course ex-Alba staff and wish them both the best.
People get confused that I (DD) was someone from Alba.
I have very good friends as I said and I am sure they will surface in 2010.
Alba no longer exists they along with GSM went bust on DEC 16th 2009.
my interest is to ensure people get the correct info and the real reasons behind why this sorry state happened.
Press information released 7 weeks ago, even on this site which people denied, and also documentation of false records will show who was to blame and over a 3 year period what shody practices were used to keep GSM lasting so long.and destroying peoples jobs and lively hoods.
This will not go away and a full investigation has started.(more later)
GSM and Alba staff should know the truth and it will be told.As will the public.
I was banned a few times in 2009. I agree I maybe said to much but it has came true and even the moderators can see that what I was saying ,maybe too strongly at the time, has unfortunatley came true.
My wish for 2010 is that all crew and staff have a great year ahead
Also those that were behind the claps of both companies pay the price.
The Aviation Industry does Not need these people.
Cheers and a great 2010 to all that realy care.
DD
Join Date: Jan 2002
Location: Wherever my current employers wish to send me !!
Posts: 718
Likes: 0
Received 0 Likes
on
0 Posts
Yep, I fully agree.
I admit that I doubted so much of what he was trying to say/do.
But, from what I've learnt since, he was pretty much spot on with everything.
The truth will out...but will that pay us our missing wages??
Back to work on tuesday, so will prob see a lot of you in EDI !! Not that I know who you are !! U can't miss my head, though !
I admit that I doubted so much of what he was trying to say/do.
But, from what I've learnt since, he was pretty much spot on with everything.
The truth will out...but will that pay us our missing wages??
Back to work on tuesday, so will prob see a lot of you in EDI !! Not that I know who you are !! U can't miss my head, though !
Join Date: Aug 2000
Location: Lost in Space
Posts: 325
Likes: 0
Received 0 Likes
on
0 Posts
Looks like E-Clear aren't playing ball, were has the money gone is the big question?
BBC News - FlyGlobespan cash recovery move
BBC News - FlyGlobespan cash recovery move