Most Airlines To Become Bankrupt Due To Covid-19, As Travel Restrictions & Cancellations Ground Planes

[Ct3833]

8 hours ago, Playtime said:

Perhaps their fixed cost and staff salaries are much lower. ?

the aircraft depreciation alone is enough to kill any airlines.  SIA writes off $1bil  of depreciation per year, I do not have the breakdown but i dare the bet majority of the depre come from aircraft.  just like our cars, but in much much larger  number even without COE. .

Edited March 17, 2020 by Ct3833

[inlinesix]

37 minutes ago, Ct3833 said:

the aircraft depreciation alone is enough to kill any airlines.  SIA writes off $1bil  of depreciation per year, I do not have the breakdown but i dare the bet majority of the depre come from aircraft.  just like our cars, but in much much larger  number even without COE. .

Each plane cost about USD100m.

[Jusnel]

14 hours ago, Ct3833 said:

the aircraft depreciation alone is enough to kill any airlines.  SIA writes off $1bil  of depreciation per year, I do not have the breakdown but i dare the bet majority of the depre come from aircraft.  just like our cars, but in much much larger  number even without COE. .

SQ planes got market value for other airlines to buy over.  Usually still very new for resale.   SQ doesnt keep old planes, like how our COE system work. 

[Watwheels]

14 hours ago, Ct3833 said:

the aircraft depreciation alone is enough to kill any airlines.  SIA writes off $1bil  of depreciation per year, I do not have the breakdown but i dare the bet majority of the depre come from aircraft.  just like our cars, but in much much larger  number even without COE. .

Sure or not? SIA is a listed company.

[Soya]

21 hours ago, Picnic06-Biante15 said:

Lucky SIA did not buy over MAS ....  

Of all national carriers. Think MAS will be the first to go ... 

Already having $$$$$$$$ problems even before the COVID-19 discovered. 

With what's happening right now, MH shld have closed shop liao. It's like cutting off what little bit of oxygen that's left

If still around after this crisis, means all these request to top up $$ maciam laoma fake resign liddat

 

[Enye]

14 hours ago, Ct3833 said:

the aircraft depreciation alone is enough to kill any airlines.  SIA writes off $1bil  of depreciation per year, I do not have the breakdown but i dare the bet majority of the depre come from aircraft.  just like our cars, but in much much larger  number even without COE. .

erm....dep won't kill

insufficient ebitda to pay off the loan and interest will

unless is mcf standard full cash or got big cash mountain as back up

😬😅

[inlinesix]

3 minutes ago, Soya said:

With what's happening right now, MH shld have closed shop liao. It's like cutting off what little bit of oxygen that's left

If still around after this crisis, means all these request to top up $$ maciam laoma fake resign liddat

It will still be there like Laoma resignation.

[Soya]

1 minute ago, inlinesix said:

It will still be there like Laoma resignation.

Yeah probably. They won't kill off the cronies ATM

 

[inlinesix]

3 minutes ago, Soya said:

Yeah probably. They won't kill off the cronies ATM

Not just that.

They can’t slam PH selling off some of the assets.

[Ct3833]

19 minutes ago, Watwheels said:

Sure or not? SIA is a listed company.

trying to understand too.

https://www.singaporeair.com/saar5/pdf/Investor-Relations/Annual-Report/annualreport1819.pdf

 

[Ct3833]

18 minutes ago, Enye said:

erm....dep won't kill

insufficient ebitda to pay off the loan and interest will

unless is mcf standard full cash or got big cash mountain as back up

😬😅

i am not saying SIA will fail but i mean the situation will hit their bottom line. Depre wont kill that is when operating revenue continue to come in, but when operating revenue decline to a threshold, depre will become a big burden. Of cause everything count, it is not just depre alone, it is why they are asking staff to go on leave. 

[Soya]

Depreciation helps to offset the corporate taxes so it's not exactly a bad thing

 

[Enye]

9 minutes ago, Ct3833 said:

i am not saying SIA will fail but i mean the situation will hit their bottom line. Depre wont kill that is when operating revenue continue to come in, but when operating revenue decline to a threshold, depre will become a big burden. Of cause everything count, it is not just depre alone, it is why they are asking staff to go on leave. 

erm..dep is a non cash item, why would it be a big burden?

that dep line is more for tax purposes

but never mind lah, u are the boss

😬

[Soya]

16 hours ago, kobayashiGT said:

Coronavirus: SIA to slash capacity by half, will 'urgently take steps to further cut costs'

One way for SQ to cut cost is to reduce the amount of cloth used for the sarong kebaya. Maybe use half enough liao

Suggesting on behalf of the concerned MCF tikos of course

 

[kobayashiGT]

8 minutes ago, Soya said:

One way for SQ to cut cost is to reduce the amount of cloth used for the sarong kebaya. Maybe use half enough liao

Suggesting on behalf of the concerned MCF tikos of course

 

Later they cut cost by social distancing.

You will see this thing serve you drinks.

[Jamesc]

25 minutes ago, Soya said:

One way for SQ to cut cost is to reduce the amount of cloth used for the sarong kebaya. Maybe use half enough liao

Suggesting on behalf of the concerned MCF tikos of course

 

This is also a green solution.

Less weight on board means less fuel used on flight.

Need to do it to save the planet.

Edited March 18, 2020 by Jamesc

[Soya]

1 hour ago, Jamesc said:

This is also a green solution.

Less weight on board means less fuel used on flight.

Need to do it to save the planet.

Reduce cost AND carbon footprint at the same time? The brilliant mind of Jamesc never ceases to amaze

Ok reduce even more cloth!

 

 

[inlinesix]

1 hour ago, Enye said:

erm..dep is a non cash item, why would it be a big burden?

that dep line is more for tax purposes

but never mind lah, u are the boss

😬

This only applies to Singapore.