Qantas to get A321 NEO
Let me guess, the cost of the ground equipment affected someones budget and therefore their bonus but they could pay workers comp forever without impunity.
Someone should write a book on all the stupid short term self serving decisions made by airline management. It would be quite interesting.
Someone should write a book on all the stupid short term self serving decisions made by airline management. It would be quite interesting.
And you're probably correct, it was the capex element but the stupid thing about that is their accountants were obviously morons as said ground equipment would have provided an ongoing deduction against profits based on depreciation.
By that point though I suspect the owners of AN in that era (pre-Air NZ) were well into their asset stripping program, TV Stations, Land, Newspapers, all removed from Ansett Holdings and aircraft bought to leverage TNT's entry into Europe.
I can't remember where but I read many years ago about how the entire DC-9 fleet which had a 'written down value' of $600K per airframe, was sold to a shelf company in a tax haven for that value, then on-sold for their individual market value of $6M per airframe. I'll leave it up to people to guess who the TWO owners of the alleged 'shelf-company in a tax haven' were.......
I'm not sure that happens today (it would be illegal in a public company) but certainly manipulation of the market occurs via so-called share buybacks. Buy-backs used to be illegal in the United States until "W" came along because they were considered by the FEC and the Treasury to be market manipulation.
They still are.
Even at a micro level such as a CEO deciding its important for his a-se to sit in a premium cabin seat but not a Pilot who is paxing across the country to effect the operation of an aircraft with 200-300 people on board....... that was the epitome of arrogance and self-importance, while on the way to running the company he headed into the ground as evidenced by Administration and on-sale of what was left to a private equity company.
The whole purpose of making these WA contracts work is by not operating factory fresh wizz bang new aircraft. It’s all about maximising profit. They have the contract, they know the earnings available, they are not about to go and burn that all on new French built aircraft.
Virgin are taking on a few A320s, offloads those near new 737s back to the east.
Virgin are taking on a few A320s, offloads those near new 737s back to the east.
The whole purpose of making these WA contracts work is by not operating factory fresh wizz bang new aircraft. It’s all about maximising profit. They have the contract, they know the earnings available, they are not about to go and burn that all on new French built aircraft.
Virgin are taking on a few A320s, offloads those near new 737s back to the east.
Virgin are taking on a few A320s, offloads those near new 737s back to the east.
Join Date: May 2017
Location: Cavill
Posts: 24
Likes: 0
Received 0 Likes
on
0 Posts
