Virgin Blue report expected full year profit to ASX

[VBPCGUY]

http://www.asx.com.au/asxpdf/20100204/pdf/31njz8rnv69kx8.pdf

$80-$110 Million before tax

[hoss58]

Good morning all.

Seems to be a pretty good result all things considered. Even if the after tax figure was break even given that the rumor is that DJ has 500-700 million in the kitty it leaves them reasonably placed to keep thier heads above water for a while.:O

Fly safe and play hard

Regards to all

Hoss58

[43Inches]

Good result to see a profit forecast, however the $500-$700 million is required cash. If VB does not maintain a minimum cash balance the lenders start getting edgy, qantas is the same. Any company that has large loans needs to have a cash margin to be able to maintain smooth operations, it's like a liquidity buffer. As opposed to loan free entities which run on minimal cash balance, that is as soon as you have cash you use it to expand.

One question is does this forecast include the $200+ million from the share placement?

[On Guard]

Last report was approx approx 200m is secured for lenders 'peace of mind'.

[Skystar320]

One question is does this forecast include the $200+ million from the share placement?

No, this wouldnt hit the P&L Account