US Airways plans $150 million stock and note offer

[Dog Wonder]

Now if you can think of any downside to those of us who work here resulting from more stock being issued i'd like to hear it ...

Assets are being diluted, and the money raised by doing it will be of minimal benefit to the vast majority of employees.

 

[necigrad]

As far as i can tell the issuance of more stock doesn't in any way negaivtely affect those of us who work at us airways .... it provides CASH .... the more money we have the longer we can keep our doors open ..

Now if you can think of any downside to those of us who work here resulting from more stock being issued i'd like to hear it ...

Directly there is no "downside" to the employees. Here's the problem with your theory. Companies issue stocks to raise capital. They do this for one of three reasons:

Start a business

Expand a business

They're going broke

US AIrways is a current company, thus not starting up. Parker has made it quite clear that in his opinion there is too much capacity in the current market, so any expansion of the company would be utterly and completely... stupid. The third option, going broke, is the only one left. It's a screen pass on 3rd and 10. The company is short on cash, and likely needs funds to pay debts, so they're gambling that investors will take the chance at potential money. This is not a good sign of a companies viability. It doesn't necessarily mean the company will sink, but it's an indicator of rough waters ahead.

And Freedom, please, for the sake of your fellow employees STOP GIVING FINANCIAL ADVICE!!!! I'd really hate to hear about some dumbass listening to your incredibly moronic advice to max out credit cards and having to file for bankruptcy.

 

[FWAAA]

The only bad news related to the offering is the way LCC stock crashed once the offering was announced (down more than 20% on Thursday), which makes it hard to raise significant money in a stock offering:

http://finance.yahoo.com/news/US-Airways-G...77403.html?.v=1

On Thursday, US doubled the convertible debt offering due to the collapse in price.

So far on Friday morning, LCC is down another 11% on the day.

 

[safety stud]

Assets are being diluted, and the money raised by doing it will be of minimal benefit to the vast majority of employees.

Listen Dog, It has never been about us... ANY of us... Period...
It is only about LCC...
Get it?...

Just my opinion...

 

[freedom]

Directly there is no "downside" to the employees. Here's the problem with your theory. Companies issue stocks to raise capital. They do this for one of three reasons:

Start a business

Expand a business

They're going broke

US AIrways is a current company, thus not starting up. Parker has made it quite clear that in his opinion there is too much capacity in the current market, so any expansion of the company would be utterly and completely... stupid. The third option, going broke, is the only one left. It's a screen pass on 3rd and 10. The company is short on cash, and likely needs funds to pay debts, so they're gambling that investors will take the chance at potential money. This is not a good sign of a companies viability. It doesn't necessarily mean the company will sink, but it's an indicator of rough waters ahead.

And Freedom, please, for the sake of your fellow employees STOP GIVING FINANCIAL ADVICE!!!! I'd really hate to hear about some dumbass listening to your incredibly moronic advice to max out credit cards and having to file for bankruptcy.

My advice is mornic ? wasn't i telling people how bad the economy was going to end up being BEFORE the setember hit last year ? Haven't i been the one on here telling our fellow co workers to max out their credit cards because their going to lose their credit lines as the banks try desperately to cover themselves ? I've only tried to give out good advice because i CARE about our fellow us airways workers , and i want to see our people in the best postion possible !

AND as to the stock situation , like i said we lose NOTHING .... think of it like this , our company is the indivdual using the credit card , and the stock holders are the CC company ....

we should ask for another credit advance and then max that puppy out again ...

thank you sir , can i have somemore !

parker's got the right idea now!

 

[Dog Wonder]

You mean these big deals going on have nothing to do with you and me?

Imagine that?

 

[usfurloughed]

You mean these big deals going on have nothing to do with you and me?

Imagine that?

Once, many decades ago, but not anymore or in the forseable future