Philip Baggaley
Philip Baggaley
bankruptcy company early example felt financial heading position pursue relatively stronger survive toward
They are another example of a company that started out in a relatively stronger financial position than their peers, and they felt they were in better position to survive a shakeout. They didn't pursue cost-cutting as aggressively as they would have if they were heading toward bankruptcy early in the (industry's) downturn.
cash contracts fuel hopes labor losses unions
Northwest's hopes of negotiating concessionary labor contracts with its unions were overtaken by the surge in fuel prices, which deepened the airline's losses and cash outflow.
amount cost expect fair forward fuel given losing money move northwest prices quickly savings weak winter
Northwest has been losing a fair amount of money for a while now. I expect they feel they need to move forward quickly on these cost savings given where fuel prices are and going into the weak winter season.
airlines domestic fuel helping high improved load offset pricing
American Airlines is benefiting from much improved pricing and load factors, particularly in the U.S. domestic market, which are helping to offset very high fuel prices.
bankruptcy delta easier further northwest situation
A situation where you have United, Delta and Northwest all in bankruptcy does make it easier to think about further consolidation.
environment expect external likely loss report
The external environment is still very difficult, and we expect that they're likely to report a loss this year.
bargaining contract employee encourage future groups improve join outcome position unions
In addition, such an outcome would encourage other employee groups to join unions to improve their bargaining position in future contract talks.
That is high, particularly for an investment-grade company.
added bankruptcy financial hasten likely occur pressure within
The added financial pressure may hasten an already likely bankruptcy filing, which will probably occur within weeks.
avoiding bankruptcy chances slim
The airline's already slim chances of avoiding bankruptcy are dwindling rapidly.
factor huge improved improvement picture revenue swing
The revenue picture has improved and this is a huge change. The big swing factor is the long-awaited improvement in pricing.
airline anxious bankrupt below business company cutting fear levels lose passenger service suspicions wary
A bankrupt airline is anxious not to lose customers, especially business travelers, and may be wary of cutting service below competitors' levels for fear of confirming passenger suspicions that the company is not long for this world.
changes managing northwest quite strike
It's one thing to say that Northwest is managing through the strike impressively well. It's quite another to say they'll be able to get the concessions and other changes they need by mid-October.
almost certain losses possibly profit small united
It's almost certain losses will decline. American, Continental and possibly United could show a small profit this year.