RE:RE:RE:Expectations BA - Globals 7500So what do you think they will do?
Here's the situation. Alstom deal will net BBD somewhere between $3-4B. Over the next 24 months, they have $5B in LTD to pay. Operations will barely cover the interest payments, if that. How do you handle this without restructuring?
Jim
BBDB859 wrote: Hey Pablo.
The elephant in the room will be taken care of. They have to take care of it. They can't survive otherwise. They went after easy money in the JB market. Now they have to pay it back. They made a lot of mistakes just to survive. But they have to pull themselves out of this situation and do it as fast as they can.
The interest to service this JB debt is just killing them. You know that better others here.
I like EM too. But you know who the problem is. It's the "Idiot Heir".
Are they at the point of restructuring the shares? I don't think so. I
don't think they will restructure them period. It's very riskey.
What I do think is that this company will grow with new products eventually. But right now, they have to focuss on the pure play. BA has to be profitable on it's own. Before they can get into other ventures.
The only thing to watch for right now is, to see what they'll do with the Billions coming from the closing. Cheers
859
PabloLafortune wrote: We shouldn't be surprised. This division has always been pretty good and EM was the right man for the job. I've been around a few large companies, you learn to figure out who's good and who's not and you could tell that EM was in his element here. How he is performing thru this COVID crisis reinforces this view. I also believe the best is yet to come operationally.
Its the rest that remains to be seen - closing BT sale to Alstom, will the capital/shares be restructured and if so will it be viewed positively or negatively by the market, do they need to diversify from business jet or will pure play work, and of course the elephant in the room - the debt and interest thereon.