![]() |
Did you see those big, bold headlines (on CNN and elsewhere) talking about Delta’s “whopping” losses? Most of them were along these lines: “Delta Reports $6.39B Quarterly Loss”. $6.39 billion! But, wait. The “realoperating”loss is just…$274 million. Substantial, yes, but nowhere near billions. The other $6.1 billion or so “paper loss”is the “drop” in their expected stock price after coming out of bankruptcy (called a special item - I would say a very special item). A quick review of the airlines 1st quarter losses of 2008 (and, Southwest’s profits):
Reminds me of the screaming headlines from last month that claimed Southwest was supposedly flying unsafe planes. They weren’t. But the headlines garnered a lot of attention, which apparently was all that mattered. |






No Comments »
No comments yet.
RSS feed for comments on this post. | TrackBack URI
Leave a comment