Yeah gonna buy at every 0.1 interval down from 0.99, queuing up for 0.89 now

Not betting my life savings this is like how some people like to go genting, I like to bet against certain prevailing sentiments

Trump banned more flights today

Airasia dividend payout and sales/leaseback program is coming back to haunt them.

I hope it doesn't go into cash flow problem

Exactly. Sometimes if one takes the stock out of the equation, they will then understand if the stock is worth bothering....

For me, I always ask the simple question...

How was Airasia able to pay big dividends not too long ago?

Well, they already decided they needed the sales and leaseback. Debts gearing was way too big already. Unsustainable. Esp when you have less than 1 billion cash and carry more than 12 billion bank borrowings. New planes are coming in regularly (that 19us billion plane order). Ticket sales are simply not growing fast enough. So sales and leaseback was needed.

They then created a wholly owned subsidiary to handle the leaseback, called AAC.

So AAC but the planes and leaseback to their parent company, Airasia.

So voila. Airasia became rich by selling own planes and leasing back own planes. How rich? Was it 1 billion?

And they then got some company to buy this leasing company. LMAO!!

So Airasia got millions and millions and millions to give back to shareholder.

They needed the money cause too much bank borrowings. Instead of trying to lower the debts and improve their balance sheet, they gave out millions and millions in dividends.

Wait. The curveball was the previous year(s), Airasia did a cash call but that cash call (private placement of shares) as offered to only Tony and his partner.

Thinking about it. It was genius. Share placement to its big boss. Subsequently big dividend was given out. I think it was genius. You say?
Yes, the brand Airasia is there. Cheap flights are good. Who doesn't love cheap flights? But since there exist so many other stocks why should I bother trading the stock that carries so much questionable issues?

bankrupt by end of May??
huuhuhuh

then better don't enter at all
BUT what if there's U turn??? U shape recovery... another chance gone up i smoke

When I was reading about the RM 499 unlimited pass from AAX, I thought the situation is not just bad, it must be absolutely desperate.

Certainly would not buy the stock, but also cannot :popcorn:

I love AirAsia for so, so, so many years, would cry many tears if they crash. Maybe the stock cannot be saved, but the company must be saved.

this one, can do quick trades only.

to hold/keep, i wudn't touch it with a 10 ft pole.

all arilines in the world are already screwed big time... some already bankrupt/closed.

and things will not change for months.

moreover, locally, we have a history of bailouts, SPV, money shifting, vested vulture parties ... too much politics with AA and MAS.

u never know what shit will fall on these 2... i wudn't want to pay for their actions.

some will survive, even stronger when all blows over.
the man has done his homework.

anyone done same homework on AA or MAS?!!

Highly possible to happen 😁

Playing golf with higher up does have perk 😋

there's little birdy saying that government might take over the debts own by AA something like that.. transfer into some SPV...

there's also another news mention about taking company private (but personally I don't think it's would happen.. huge debt who want to take private )

what u heard is what u hear all the time.... becos that is what happens whenever someone needs bailing!!

epf is the only real fund with real money... the rest, all infected.

50 cents stock. Airline will be the last industry to recover

AK aircrafts leasor are foreigners; lease default is unlikely to cause systemic risks to local banks.

The gomen may offer some relief but there is no justification for tax payers to take up AK debts.

There is a high possibility for D7 to clip its wings.

Can anyone explain to me why this stock has not tanked? It is still holding above 0.50 - who and what  is holding it up??

to me it should be less than 0.40 because of the debt and the fact that all the planes are gounded.

but when i look at the stats, i can see there are more buyers than sellers which means someone is keeping the price up

which doesnt make sense to me

2.50     

why AA is not 10 sen? here we go...

Wild speculations... imo.
Not to say never or not possible but some thoughts...

1.Khazanah owns major stake in MAS. Over 69%. Khazanah owns nothing in AirAsia.

Can Khazanah bail out both airlines? Why should it bailout out AA when it has such a huge stake in MAS?

2.Tony and side kick alone owns 60%+ in AirAsia. 60% plus.
Think about it. All the speculators is hoping that the gov bailout 2 person while many in the country, esp the small business are collapsing?

To make matters worse is when one thinks about it. Especially how Tony and his sidekick enlarged their shareholding because of that one private placement recently. And after that special privileged placement of shares, AirAsia gave out obscene special dividends. Think about it...

3. Most of the planes had been sold to the lessor company. So what kind of assets does AA have really? Lease liability is over 12 billion.... Well they used to owe banks in similar amounts...

4. Rest of the stakes are ikan bilis size. EPF is no longer a substantial shareholder.... Again a bailout makes no sense the country is basically bailing out 2 person..... Anyone ok with this?

5. Rights issue... this is probably the logical way to go. But then... is this the way? Would Tony say this is the way. He and his sidekick owns more than 60%... Would they and could they afford to do the rights way?

Rights issue is different meat. It requires topping up more money for a badly managed company. If a speculator bets say 10 million on AA. The rights issue might require the speculator to double their bet to 20 million... And the obvious question is could they afford it and would they be OK betting 20 million in it, more so the rights issue would require the speculator to be committed to the bet for a much longer period of time?

Side note... witnessed occasions where local investors lost mega millions due to rights issue! Cavaet.

6. The other option of course is to placed out a new block of shares. Any takers?

7. The area of focus is really their hedging. Said it to many times already.....

1.Khazanah owns major stake in MAS. Over 69%. Khazanah owns nothing in AirAsia.

Can Khazanah bail out both airlines? Why should it bailout out AA when it has such a huge stake in MAS?

Not sure can or not; but as others have mentioned, AA has helped many industries and boosted economies of M'sia.
They bail MAS for obligation; they'd bail AA for Malaysians IF they could.




2.Tony and side kick alone owns 60%+ in AirAsia. 60% plus.
Think about it. All the speculators is hoping that the gov bailout 2 person while many in the country, esp the small business are collapsing?

As we all know, it's who you know, not what you know. 
Small businesses can also get all the help they need if they know you-know-who.


4. Rest of the stakes are ikan bilis size. EPF is no longer a substantial shareholder.... Again a bailout makes no sense the country is basically bailing out 2 person..... Anyone ok with this?

Most of us are also not ok with bailing MAS and many other companies, and yet ........
so, it defies logic. 

airasia up because of oil prices up?