To: wideawake
Informative...is AMR doing well enough to not need the cash from the convertible? With American Eagle sales up significantly...are they liquid enough?
To: MeneMeneTekelUpharsin
Informative...is AMR doing well enough to not need the cash from the convertible?I doubt it.
I'm sure they can survive, but no airline is really in a position to turn down extra liquidity.
What I understand is that the terms offered by the underwriters were unacceptable to AMR, AMR was even willing to guarantee the bonds on an unsecured basis and still couldn't get to the right price.
I don't think there's any information here that necessarily bodes either well or ill operationally for AMR.
That's my speculation given the publicly available information. You can take it with a grain of salt if you wish - I'm making no recommendation of any kind.
6 posted on
08/05/2003 7:10:12 AM PDT by
wideawake
(God bless our brave soldiers and their Commander in Chief)
To: MeneMeneTekelUpharsin
This offering is a "shelf registration"..I believe, IOW, not sold to investment bankers, who then resell it to the public...in a sense, the company is acting as its own investment banker..so, if ANY bad news comes out within a few months...AMR gets sued up the wazoo for providing false info, holding back on pertanent financial data, whatever, take your pick....in the post-Enron world, this is the new reality..
9 posted on
08/05/2003 8:59:13 AM PDT by
ken5050
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson