Announcement
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Join Date: Oct 2007
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Announcement
To all those who bailed us out last year: Thank you for doing so.
We are spending your investment wisely, we’ve reduced the amount we’re burning per month to HKD1.2 billion a month since January.
Errr... if it wasn’t for the quarantine thingy..
Well, because of that, we’re back burning HKD1.9 billion a month again, probably more next month. But don’t worry because the vaccine will sort it all out...... soooooon.
Until that happens, can we have a bit more please.....
Much appreciate it.
We are spending your investment wisely, we’ve reduced the amount we’re burning per month to HKD1.2 billion a month since January.
Errr... if it wasn’t for the quarantine thingy..
Well, because of that, we’re back burning HKD1.9 billion a month again, probably more next month. But don’t worry because the vaccine will sort it all out...... soooooon.
Until that happens, can we have a bit more please.....
Much appreciate it.
Join Date: Jun 2005
Location: HK
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It wasn't a bail out, it was a loan with an interest rate increasing after 3 years, reason why CX CEO said the loan will be paid within 3 years.
Of course CX will be unable to pay, the government will give more money and the loan will be converted to government owned shares the airline becoming government property.
If Swire accepts to lose Cathay Pacific without a fight it should be a smooth transition however I believe they will try to cut cost as much as they can to delay that loss of control.
Good luck !
Of course CX will be unable to pay, the government will give more money and the loan will be converted to government owned shares the airline becoming government property.
If Swire accepts to lose Cathay Pacific without a fight it should be a smooth transition however I believe they will try to cut cost as much as they can to delay that loss of control.
Good luck !
Join Date: Feb 2020
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Difference between “bail-out” and a “Loan” in this case:
Bailout = Is that if the loan was not made, the company would cease operations
Loan = Money lent to prevent the company from ceasing operations
Bailout = Is that if the loan was not made, the company would cease operations
Loan = Money lent to prevent the company from ceasing operations
Join Date: Nov 2015
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Definitions
Actually what it was is a "Bailout Loan".. A loan given to an entity to prevent said company from ceasing operations with repayment terms looking identical to those of a "bailout" and most likely simply forestalling the eventual demise/sale of the company which will leave the taxpayers of Hong Kong on the hook for the entire amount and the "corporate" entities involved shoving the cash into "their" bank accounts.. "Asian Values"😳
