RE:RE:POSSIBLE FEDERAL ASSISTANCE NEXT WEEK? I do have a few questions: AC has to roughly 8b in cash. Roughly 10b of debt. From everything I can tell, business travel accounted for 65-70% of profits. I'm curious, how will the debt servicing happening?
time will tell I guess. Good luck all.
WeedTheNorth wrote: AC or any airline doesn't deserve a bailout. Airlines aren't needed at present in a large way and there is certainly no need to make current shareholders the shareholders after the pandemic. Let it go bankrupt and see who owns it in a year and a half when travel actually begins again. Shareholders holding airline stocks are fools, its the bondholders who will own it in the end.
Starsearcher80 wrote: Globe says Air Canada has high hopes for Jan. bailout 05:02 The Globe and Mail reports in its Friday edition that the federal Liberals lured Michael Sabia to the Finance Department on expectations the former corporate boss could build bridges between the worlds of politics and business during a nation-defining pandemic. The Globe's Andrew Willis writes that Mr. Sabia's engineering skills now face their first test, to hammer out a support package for Canada's airlines. Given the current chasm between the government and the airlines, it will have to be a big bridge. In early November, then-transport-minister Marc Garneau raised expectations on all sides. He promised ticket refunds and preservation of regional flights, which are priorities for many voters. On Monday, Mr. Garneau moved on, and former Liberal backbencher Omar Alghabra is now in the hot seat as Transport Minister -- and there is still no package. Enter Mr. Sabia, who stepped in as deputy minister in late December. While the Transport Department ultimately owns the file, responsibility for negotiating an agreement falls to Finance mandarins. Several industry sources, who confess to being eternal optimists, predict the new Transport Minister may have something to announce before parliament reconvenes on Jan. 25.