United Posts May Profit
- Thread starter Busdrvr
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HPearlyretiree
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- Nov 6, 2002
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I wanna see the profits if you get out of chapter 11. :unsure:
That article is innacurate. This is what the report says:
Item 5. Other Events
On June 14, 2004, UAL Corporation ("UAL" or the "Company") advised that it will report a modest operating profit for May in the Monthly Operating Report that it will file with the United States Bankruptcy Court later this month in connection with its voluntary petitions for reorganization under Chapter 11 of Title 11 of the United States Bankruptcy Code in Case Nos. 02-48191 through 02-48218. In addition, the Company will report that mainline passenger unit revenue in May improved 7% year-over-year, and that unit costs fell 15% over the same period last year. UAL also will report that June and July booked load factors were strong.
http://www.sec.gov/Archives/edgar/data/100...000019/body.htm
Operating profits are not the same as bottom line profits
Item 5. Other Events
On June 14, 2004, UAL Corporation ("UAL" or the "Company") advised that it will report a modest operating profit for May in the Monthly Operating Report that it will file with the United States Bankruptcy Court later this month in connection with its voluntary petitions for reorganization under Chapter 11 of Title 11 of the United States Bankruptcy Code in Case Nos. 02-48191 through 02-48218. In addition, the Company will report that mainline passenger unit revenue in May improved 7% year-over-year, and that unit costs fell 15% over the same period last year. UAL also will report that June and July booked load factors were strong.
http://www.sec.gov/Archives/edgar/data/100...000019/body.htm
Operating profits are not the same as bottom line profits
I think you are refering to the impact of special items, which those 10B would be. The difference I am refering to is between operating profits vs net income (w/o special items). That is basically interest expense and runs about 30 - 35 million a month to UA. In top of that they throw another 100 of special items that I was not even considering that would be equivalent to the 10B or whatever the amount is of fresh start accounting credits. The only reason I posted here is becasue it made me angry to see how Reuters misrepresented the truth. Not your fault or anyone's on this board.
Just wondering how you came to the figure of 10 billion dollars? Was it with the same calculator that told you that several quarters ago United's would surpass AA's Yield per ASM?Busdrvr said:Fair enough. but for consistancy sake, will you be on this board trumpeting UAL's nearly 10 billion quarterly profit for the quarter they exit BK? After all, operating profits don't matter....
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On the yield issue, just so we are using the same numbers. Get AMR's Q1 numbers, subtract the revenue from the regional affiliates and then divide by ASM's. What did you get? 9.6? Then do the same methodology for UAL. What did you get? 9.85? hmmmm.ladevale said:
UAL currently has approx 14 Billion in obligations subject to compromise. for reference, U had approx 5.4 billion. Of that 5.4 billion, they shedded 3.9 billion. This resulted in a gain of nearly 2 billion for the Q they exited BK. The final number was that low because U waited until exit to include the reduction in equipment value ect, while UAL has been doing it incrementally since entry in to Chapt 11. See page 30 of U's 2003 annual report.
As to the ORD traffic issue, UAL is experimenting with an improved "rolling hub" model. Unfortunately, UAL's PR department doesn't feel it necessary to report to the press everytime the CEO passes gas
. In any case, what is the benefit of pulling back ORD flights only to have some Johnny come lately immediately add fights into that same time period, resulting in lower market share and the same delays?coolflyingfool
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- Aug 20, 2002
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IF UA is making a profit now, as some of you claim, then why get the ATSB loan? Just come out of BK and get it over with. I just think that UA is trying to make it sound good. Wasn't there just an article by UA saying they expected to spend an extra $750 MM on gas this year and that was part of the reason to cut retiree benefits? Just my thoughts.....
