Atlas Furlough?
Atlas Furlough?
Joined: May 2000
Posts: 3,204
Likes: 2
From: Seattle
The upcoming bankruptcy is for the holding company, Atlas Air Worldwide Holdings. Since AAWH owns Polar, Atlas, and AACS, any bankruptcy would affect all 3 of them.
Since they also own "49% of" GSS, there is a potential outfall there as well. However, the other owner(s) could well keep GSS running relatively unaffected (and maybe even buy out the other 49%...).
Since they also own "49% of" GSS, there is a potential outfall there as well. However, the other owner(s) could well keep GSS running relatively unaffected (and maybe even buy out the other 49%...).
Chapter 11 Filing Delayed
Joined: May 2002
Posts: 284
Likes: 1
From: Europe
Atlas
You're correct, the company will file Chapter 11 on Feb 1, but ALPA was told on Tuesday that the company will furlough very soon 150 crew members, FO and FE on the Classic as they plan to phase out 7X 200s......
It's happening at Evergreen as well. Don't know how deep the furloughs will go, but the word from management is a 40% projected reduction in flying in the first quarter.
Top Dog
Joined: May 2000
Posts: 2,098
Likes: 0
From: Close to FACT
ATW Online
Atlas Air pushes back Chapter 11 filing; revises business plan
Dateline: Monday December 15, 2003
Atlas Air Worldwide Holdings deferred the anticipated date of a pre-negotiated Chapter 11 filing from today to Feb. 1 to give the company "sufficient time" to continue discussions with lessors and creditors as it attempts to restructure the terms and conditions of its debt and aircraft leases.
Atlas previously had reached agreements in principle with several of its primary creditors and lessors based upon financial projections set forth in a Securities and Exchange Commission filing in Sept. However, the company's unaudited operating results for the three and nine months ended Sept. 30 were "significantly" below those projections. It said the shortfall was caused by several factors, including lower-than-anticipated military charters, termination of an ACMI contract and higher-than-projected fuel prices.
As a result, Atlas revised its business plan and modified projections of future operating results. Its revised plan, projected through 2007, reflects additional annual operating efficiencies of approximately $28 million in 2004 and $23.2 million in 2005, a reduction in fleet size, a decrease in scheduled service and a further reduction in payments for remaining 747-200/-300s for a two-year period. In addition, the plan calls for maintenance of a minimum post-confirmation cash position, which includes $50 million in debtor-in-possession financing.
Under the new plan, the company expects to post a $71.6 million net loss for 2003 and an $8.5 million loss in 2004. However, it anticipates reporting a net profit of $37 million in 2005, a $61.8 million profit in 2006 and a $79.2 million profit in 2007.
Currently, Atlas is in discussions with its major creditors and lessors in hopes of obtaining their agreement to the payment reductions and deferrals and fleet cuts in the revised business plan. It warned that in the event it is not successful in effecting a pre-negotiated filing, it could be "forced by its creditors into bankruptcy and/or be forced to take other actions, which may include ceasing operations, or selling assets for the benefit of its creditors."
Meanwhile, according to unaudited results released in a filing with the SEC, the company recorded a net loss of $19.8 million in the three months ended Sept. 30. Total operating revenue was $326.2 million and operating expenses were $326.9 million, resulting in an operating loss of $742,000. For the nine months ended Sept. 30, Atlas posted a net loss of $81.1 million. Operating revenue totaled $1 billion while operating expenses were $1.03 billion. As a result, operating loss for the period was $23.4 million. The company did not provide prior-year results.--Loren Farrar
Atlas Air pushes back Chapter 11 filing; revises business plan
Dateline: Monday December 15, 2003
Atlas Air Worldwide Holdings deferred the anticipated date of a pre-negotiated Chapter 11 filing from today to Feb. 1 to give the company "sufficient time" to continue discussions with lessors and creditors as it attempts to restructure the terms and conditions of its debt and aircraft leases.
Atlas previously had reached agreements in principle with several of its primary creditors and lessors based upon financial projections set forth in a Securities and Exchange Commission filing in Sept. However, the company's unaudited operating results for the three and nine months ended Sept. 30 were "significantly" below those projections. It said the shortfall was caused by several factors, including lower-than-anticipated military charters, termination of an ACMI contract and higher-than-projected fuel prices.
As a result, Atlas revised its business plan and modified projections of future operating results. Its revised plan, projected through 2007, reflects additional annual operating efficiencies of approximately $28 million in 2004 and $23.2 million in 2005, a reduction in fleet size, a decrease in scheduled service and a further reduction in payments for remaining 747-200/-300s for a two-year period. In addition, the plan calls for maintenance of a minimum post-confirmation cash position, which includes $50 million in debtor-in-possession financing.
Under the new plan, the company expects to post a $71.6 million net loss for 2003 and an $8.5 million loss in 2004. However, it anticipates reporting a net profit of $37 million in 2005, a $61.8 million profit in 2006 and a $79.2 million profit in 2007.
Currently, Atlas is in discussions with its major creditors and lessors in hopes of obtaining their agreement to the payment reductions and deferrals and fleet cuts in the revised business plan. It warned that in the event it is not successful in effecting a pre-negotiated filing, it could be "forced by its creditors into bankruptcy and/or be forced to take other actions, which may include ceasing operations, or selling assets for the benefit of its creditors."
Meanwhile, according to unaudited results released in a filing with the SEC, the company recorded a net loss of $19.8 million in the three months ended Sept. 30. Total operating revenue was $326.2 million and operating expenses were $326.9 million, resulting in an operating loss of $742,000. For the nine months ended Sept. 30, Atlas posted a net loss of $81.1 million. Operating revenue totaled $1 billion while operating expenses were $1.03 billion. As a result, operating loss for the period was $23.4 million. The company did not provide prior-year results.--Loren Farrar
Joined: Dec 2000
Posts: 104
Likes: 0
From: KMIA-KJFK
I just got my TERMINATION letter, not a furlough letter.
Basically, it says, "Our business model has changed, yada yada, yada. Please send your ID cards and credit card. Don't call us, and we will probably never call you."
Basically, it says, "Our business model has changed, yada yada, yada. Please send your ID cards and credit card. Don't call us, and we will probably never call you."
