Tag Archives: United pilots

PlaneBusiness Banter Now Posted!

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This week’s issue of PlaneBusiness Banter is now posted. We are all over the place this week as first, I tell you what you missed at The BeatLive Conference last week. The conference usually attracts an assortment of corporate travel heavyweights. This year was no exception.

Then of course we have to talk a bit about that certain airplane that was finally delivered to its new owners in Everett, WA on Monday. You know. The one that was just a tad late and, apparently, a tad overweight.

Yes, Boeing finally delivered its first 787 to All Nippon Airways (ANA) on Monday.

We also have lots of union labor news to talk about. How many American Airlines’ pilots are now expected to retire on Oct. 1? We hear the number could be almost four times as many who retired at the beginning of September.

American Airlines was also in the news last week as Moody’s lowered its outlook on the airline’s debt to “negative.” Tuesday, the airline announced an EETC debt refinancing deal. We let you know what JP Morgan analyst Mark Streeter thinks of the debt deal.

One thing’s for sure. The airline is certainly paying more than it did back in January for the deal. Yield on this one is in the 8% range. In January the airline did a financing deal at about 5.25%. That’s what rumors of bankruptcy, impending debt bills, and a continued inability to make a profit and throw off cash does.

Meanwhile, pilots from both Continental and United Airlines picketed on Wall Street Tuesday.

We update you on the status of the pilot negotiations at United, in addition we wonder why it is that pilots think Wall Street analysts really care if they picket outside the NYSE. And why it’s really a bad idea — both for United and for the industry as a whole.

Speaking of Wall Street, airline stocks did not have a good week last week. Neither did Wall Street. We give you our take on the latest economic tea leaf reads and tell you why this Thursday is a very important day for the eurozone — and US financial markets as well.

One good side effect of continued eurozone anxiety – both crude oil and jet fuel posted large declines for the week. That is very good news for airlines.

Lots of reader mail this week — from baseball to airlines to comments on our column from last week.

All this and more — in this week’s issue of PlaneBusiness Banter .