Posted on 04/11/2017 10:35:28 AM PDT by Morgana
FULL TITLE: United Airlines' stock price falls 2.46% in trading on Wall Street wiping $550MILLION off the company's value after violent eviction of passenger
Investors on Wall Street appear to be ready to jump ship from United Airlines in the wake of the public relations debacle triggered by the forced removal of a passenger on Sunday.
Shares of United Continental Holdings Inc. fell over 3 per cent in early trading on Wall Street, wiping $800million off the company's value.
Just after noon local New York time, the stock recovered somewhat but was still hovering at a loss of 2.46 per cent - resulting in a devaluation of slightly over $550million.
In premarket trading on Tuesday, the share price dropped by 2.4 per cent, according to MarketWatch.
Investors currently peg United's market capitalization at $22.5billion.
The 2.4 per cent drop is an improvement over the 6-per cent drop in share price that had been reported in premarket trading hours earlier.
(Excerpt) Read more at dailymail.co.uk ...
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Most successful businesses do their best to win and keep customers.
United could not possibly have failed more miserably with this incident unless they had also shot the guy's dog.
Sloppy reporting/spin control The 4 seats for employees were not sold. They walked up and wanted those seats. Overbooked involves paying customers, not employees flying on assignment.
I have flown over a million miles. I am somewhat familiar with what right looks like. United screwed up.
You sticking by your very different scenario and acting like people can't use reason?
It was overbooked. It became overbooked when they took 4 seats away. There was fewer available seats than what was sold. It is immaterial that 4 of the seats were needed for their own employees. No one cares about the so call rules; rigged in the favor of the airline industry. . He was seated, and ready to fly, and they ripped him out of the chair to cover for their own incompetence.
I hadn’t seen the videos before this, but both videos are at the link. This poorly thought out policy may end up being more costly to the value of United Airlines than a crash.
You get another ticket for a later flight, but that $800 is definitely NOT worth $800. It's UAL Monopoly money - "street value" probably about $200.
Very funny, but that is NOT how it works. Everyone else refused to get off. And they computer picked HER name. So she has to go. She can smile all she wants, but she has to go.
Same with this guy. UAL didn’t just say “oh i’m sorry sir; you have patients you have to treat in Louisville, so we’ll just choose someone else”. His reaction was probably a bit childish, but the gestapo tactics were uncalled for.
They're allowed to get away with it because the airline industry has lobbyists who pay Congress-critters to influence legislation.
United Airlines even has its own PAC: http://docquery.fec.gov/cgi-bin/fecimg/?C00078261
I think you’ve nailed the problem. A “ticket” is a “contract”. A “rule” is not “law”
The core issue in this case is, as always, money. United bought themselves the right lobbyist (millions) so that when they felt like it (meaning “their” convenience) they can throw ANYBODY off their planes!
I guarantee you that IF they had announced that they would pay the first 4 people to get off the airplane $10,000.00 each there would have been people killed in the stampede to get off.
But, tightwad United only wanted to spend a couple hundred bucks to throw this doctor off the plane. Now they will spend hundreds of millions! And, they deserve it.
It's worse than that; it's UAL Monopoly money, can only be used on very specific flights, which you normally wouldn't want (like red eye flights). $1,000 UAL comp voucher "street value" is probably about $300-350.
Rush had on a pilot that said it’s his way or the highway because they have rules. I don’t know where these “rules” are posted, but if I’m a paying customer, I’m not leaving that plane either.
Acting like BLM is even less funny.
HaHahaha. Did you REALLY just post this on the internet? Wow.
That's the key point in my mind. It's one thing to show up at the airport and being told at the check-in desk that due to overbooking your seat has already been given to someone else. In this case he WAS ALREADY seated... meaning they had enough seats for everyone already seated.
They wanted to give preference to airline employees over a paying customer.
There are over a dozen daily non-stop flights from Chicago to Louisville, and untold more options for flights with one connection. Surely the employees could have still made it to Louisville without too much delay on some other flight... airlines always work with each other to accommodate situation like this.
Jump to conclusion. Never wait for the truth. Just indicates how stupid we have become.
Ok, lets cover this again. The offending company was NOT United Airlines. It was a CPA vendor.
Thanks I wondered how that worked.
And their destination was only a four hour drive away.
Marinate your brain in that for a while.
Would you trust them with your life?
“With employees this stupid it is only a matter of time before they manage to blow up the airplane because they decided that jet fuel and rocket propellant are the same thing. “
Considering they came from the public Schools you may have a point there.
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