Future business hard to predict profit or loss.

We knew one company making with profit(low-cost flyer) but big big huge debts ( with many purchase of planes).

Another company making with loss(premium flyer) but less debts( less planes investment).

For low cost flyer, it targets consumer market while premium flyer, it target corporate(niche) market. Different demands/markets.

Anyone know to calculate the "break-even" to get number of passengers with cheap air tickets, BUT its big big debt ratio of this company?
The interest for paying the huge debts will ate up the profits in long run.

This post has been edited by netmask8: Dec 23 2012, 09:00 AM

Bought many planes and debts in high USD ??

Lastest BREAKING NEWS ===>>> http://www.cnbc.com/id/102782915

Bought too many aeroplanes with debts in USD. If USD going higher next year, as USA FED going to raise interest rate,
high interest payment will eat / cut their operating profit. Hence, in the short-medium time, avoid counters that have
huge debts in high currency exchg rate. Some more, its HQ moved to Indonesia and it reports their earning / pay taxes there.
Got difficulty to raise BONDs / IPO in ASEAN to fund growth and get more fund cover existing debt holes.

Dropped below IPO price. Debts and interest rates in USD, some more, bought many planes, but no new routes?

This post has been edited by netmask8: Aug 24 2015, 10:43 AM