The Latest Drivel from Martin Murray...Dir. Finance

[bang ding ow]

So Mr Murray....can I call you Martin?.....Let's parse your latest post a little...my comments inserted in CAPS.

ROCE has been highlighted as it’s an important consideration. The reality is, that we are measured by the investor community on our ability to achieve a long term sustainable ROCE percentage that is higher than our weighted average cost of capital. YOU SEEM TO BE INTRODUCING A FURTHER METRIC TO SUBSTANTIATE YOUR ARGUMENT, WOULD YOU CLARIFY EXACTLY HOW THIS 'WEIGHTED AVERAGE COST OF CAPITAL' IS DERIVED. I.E.. ITEMIZATION, COMPONENTS, MEASURABILITY AND CRITERIA, EMPIRICAL IDENTIFIABLE DATA USED ETC. If it is not reached, then they would be better investing their money elsewhere. SO LET THEM, WE ARE MORE THAN CASH POSITIVE AND WITH A ZERO INTEREST ENVIRONMENT MAYBE WE COULD ARRANGE OUR OWN CHEAPER FINANCING ELSEWHERE.

We are working in a difficult industry. ITS ALWAYS BEEN DIFFICULT, MESSAGE TO INVESTORS: IF YOU CAN'T TAKE THE HEAT, GET OUT OF THE KITCHEN! Investors measure the performance of the Company on the areas of the business that are within our control. To that end, we must ensure that over the longer term our controllable cost base is not expanding faster than our revenue base. DOES THIS INCLUDE EXPONENTIAL INCREMENTAL DIRECTOR BONUSES? In recent years this has not been achieved COULD THIS ALSO BE AS ARE RESULT OF 'ONE-TIME 'SPECIAL' DIVIDENDS?. ALSO, I SUGGEST YOU GO BACK TO FUEL HEDGING SCHOOL, AS PLAINLY THE FINANCE DEPARTMENT HAS FAILED THAT ONE COMPLETELY. We have been trying to work with every department across the airline to see how we can improve our productivity and bring the airline back to a better financial health. 'WORKING WITH' IMPLIES CO-OPERATION AND CONSENSUS TO ACHIEVE A COMMON GOAL...NEVER HAPPENED HERE...EVER.

We are not using creative accounting, publishing misleading figures, or focussing on the short term. ROCE is an entirely valid measure for the reasons I’ve outlined above. I BEG TO DIFFER. ALSO, PLEASE, PLEASE TELL US MORE ABOUT 'WEIGHTED AVERAGE COST OF CAPITAL'.

I agree with the sentiment that we must respect each other as intelligent partners, and we are committed to keeping all staff, including our pilots, fully informed of our commercial reality. To that end we will share more information with you once our annual results are published. SO LET'S STOP INSULTING OUR INTELLIGENCE NOW AND IN THE FUTURE.

[bagwan]

Back to Financial Health...I love this particular statement as the implication is CX is in poor financial health.
How is it possible is the question which crosses my mind. After three of the busiest years load factor wise I have seen through HK, CX still able to charge a premium over competitors, with fuel price having collapsed over the past 18 months, with significant cargo being moved in the holds of full pax aircraft at very little cost to the company, to very little upward movement in labour costs, how can this financial ill health have occurred.
The only answer must be complete and utter mismanagement or else we are being told what is not actually the full truth.
Your choice Mr Murray.

[Overboost]

"DOES THIS INCLUDE EXPONENTIAL INCREMENTAL DIRECTOR BONUSES? In recent years this has not been achieved COULD THIS ALSO BE AS ARE RESULT OF 'ONE-TIME 'SPECIAL' DIVIDENDS?. ALSO, I SUGGEST YOU GO BACK TO FUEL HEDGING SCHOOL, AS PLAINLY THE FINANCE DEPARTMENT HAS FAILED THAT ONE COMPLETELY"


...and cargo price fixing fines (without admitting any wrongdoing) and defense attorney fees on what, 4 continents?

[Arfur Dent]

Oh dear!
All so very public too………..

[Air Profit]

F@ck him and his unintelligible double-speak. When his remuneration has been cut in real terms by approximately 50% (like the pilots) then I will take note of something he might have to say. Otherwise, stick your ROCE where the sun doesn't shine. As a matter of fact, i'll see your ROCE and raise you my CC. Every single day I am sitting in my 'office', I will ensure that I manage to reduce your precious ROCE, just as you've reduced the value of my career. What an absolute plonker.

[Mill Worker]

CC and a Training Ban are clearly hurting them but are (as yet) not show stoppers.

When are the stakes going to be raised?

[Air Profit]

I politely disagree Mill Worker. The training ban in particular is having a devastating effect on the company's operation. Remember, the company is DESPERATE to convince you that our efforts are futile. In fact, they are now operating on a day-to-day operating basis. They can barely crew flights. They have cancelled THOUSANDS of flights since the beginning of the year. This is only going to have an even greater effect as the new year arrives, as most of us are now bumping up against the 900 hr limit. Never mind the fact that this coming year they are legally obligated to give us ALL the leave that was not awarded this year, in addition to next years full leave allotment which cannot be rolled over. They are being starved of oxygen, and they are panicking. Just remain committed to CC. It will bring them down. Remember, the fight against apartheid must have seemed pretty bleak to Mandela at times also. We will win this. Stay strong, stay committed, stay loyal. The outcome is not in doubt.

[Mill Worker]

AP, I agree but I think we need to put another log on the fire and accelerate things. As for leave, I got 2 weeks in 13 consecutive months...

[Air Profit]

Well, they owe me 8 weeks leave. I am taking ALL of it this coming year....with or without their approval :E. The entire operation is a joke. And as a previous poster said, in a year with almost record loads, high cargo uplifts, collapsed fuel prices and subdued labour costs, how exactly can we NOT be in good financial health?. The answer is that we are, and Mr. Murray is a consummate fraud and liar. I have had over 20 years of hearing this drivel. Sick of it. If things really are that bad, then he can start by slashing his undoubtedly exorbitant salary and bonus. Better yet, just completely f@ck off. That would suit me so much better.

[Yonosoy Marinero]

If this joint can't make all of its financial targets when oil is $35 a barrel in an global economic upswing, it never will. We might as well all give up and go home.

Oh wait. These geniuses are still paying $100+ a barrel...

[kenfoggo]

Where was Mr Martin Murray posting this ? I seem to have missed it. Unless it was on Yammer- as I will not subscribe to that Company data trawl.

[Tea time]

They do this every year just before the announcement of yearly profits . There is an article in the SCMP about how our cargo loads are down and CX profits will be hit . Easy enough to arrange the article when you spend millions on advertising every year .

Sorry but they have cried wolf once too often for me to believe any of their creative accounting Bulls...t

Here is a thought Mr Finance director . Pay your staff a decent wage , Honour your contractual agreements ,and maybe just maybe, your staff might start working for you instead of against you . Now there is a novel idea

How about firing the idiots responsible for the fuel hedging debacle, the Paris basing debacle, the cargo fixing debacle and every other fine we have had to pay for corporate malfeasance

[kenfoggo]

This has become a very tired game plan.
They set unrealistic and unachievable targets.
Then they berate, belittle and punish the staff when their best efforts do not reach those unachievable targets.
Management think that they are being clever.
They are not.
All that they achieve is to alienate their own workforce, resulting in a withdrawal of goodwill and so Contract Compliance. That is quite a management skill, to get the staff so offside they want the regime to fail.

[Trafalgar]

Murray. You are nothing but a lying, immoral and corrupt SOB.

[Yonosoy Marinero]

You are nothing but a lying, immoral and corrupt SOB.

Well, it is in the job description...


Director: "How is my company doing?"
Accountant: "How do you want it to be doing?"

[Dan Winterland]

Expectation management.

[Soul planet]

uFJoL4bA8Po

http://img.picturequotes.com/2/9/8686/even-though-ive-moved-on-i-will-never-forget-you-quote-1.jpg

[Apple Tree Yard]

Another immoral sycophant. The Swire hierarchy is littered with them. A company founded on immorality cannot be expected to wake up one day and realise how lost they truly are. The Swire's confuse wealth and influence with integrity. Only their own individual demise will bring crashing home to them how venal they are.

[Twiglet1]

Air Profit

It will bring them down

To be honest that's whats needed, the whole thing shut down. Then you can go somewhere as DEC and spout how great it is secretly thinking **** maybe the grass was green at Cathy.
Or just go now plenty of jobs out there go on its easy (on a lot lot less pay me thinks???)
:D
What's the difference between an Airline Pilot at Cathy and a Jet Engine?
The jet engine stops whining occasionally

[BusyB]

Twigs,

Sounds as if you've got a fetish about Cathy!!!:D

How about a photo?;)

[cxorcist]

Soul Planet,

Guessing CX would like to have those pilots back now. Seems CX pilots are in short supply these days. Perhaps the pendulum has finally swung. Somebody call the ninth floor and let them know.

[goathead]

Inbred management = poor results.
Blame everbody else except themselves....
Blah blah blah blah blah
Good on you AT ! Sayonara ?

[controlledrest]

What would the return on investment be if the CX Management geniuses hadn't conducted criminal cargo price fixing, stupid fuel hedging and illegal employment practices in the bases?

Did these mis-managers and their bosses get bonuses? Why?

Does CX pay HAECO and the catering suppliers the same as other operators or does Swire use transfer pricing to make profits disappear?

How much has the company put aside to buy back market share with discount fares after we lose an airframe? Due to the quality of HAECO, the cuts to experience levels, the cuts to training and the levels of fatigue it is only a matter of time.

[geh065]

Please please someone brave cut and paste that to Yammer.

[anotherbusdriver]

We have a new class of corporate leadership in large organisations. It no longer feels encumbered by the social and ethical responsibilities that have previously existed.

Through globalisation, big industry, who are significantly owned by a small number of families, create a world of working class slaves; citing competition from third world countries, and via countries with very limited labour laws where their governments are complicit in this action. This "competition" effectively lowers the overall cost base of operations for them, increasing profits, continually pushing down "Western" expectations to an agreed level that is barely above that of indentured slavery.

These family owners are so rich, ridiculously rich, so rich that they will never be able to spend all of their money. Yet they want more, and they want us to live like peasants for them to achieve it.

[Twiglet1]

Hong Kong Express are looking for Captains - come on then off you go :{:{