RE:Market Priced for Looming BankruptcyI get tired of hearing about the cash burn out of contex.
Half of that money has gone into property and equipment.
They are presently building aircraft that will be paid for in 2016 and although they have deposits it doesn't cover it all until delivery.
The ramp up will take a lot of money, however this will not be ongoing as deliveried begin in early 2016.
All the parts,suplies,engines and also the remainder of the FTP are expensive. Please don't project it as if it will occur every quarter.
79AU wrote:
Right or wrong, that's what's happening. With cash burn of $800M in the last quarter, and the company forced to already issue stock at near-all-time lows-- more right than wrong. Multi-year slim margins in BT and facing growing pressures from China. With the plan to carve out half of BT, the company has essentially put its entire future in the C-Series. The company may survive through a bailout/equity restructuring, or future boatloads of stock dilution, but that doesn't mean shareholders will. Bombardier needs to sell planes, and fast.