3 ms·
Yes, investors have to accept the loss, not the govt. A new budget carrier will arise in a few months, buy any IP they need from the liquidators for a small fee
by angry_octet 7y ago
Yes, investors have to accept the loss, not the govt. A new budget carrier will arise in a few months, buy any IP they need from the liquidators for a small fee, and re-hire 50% of the old staff straight away.
Provided COVID-19 doesn't get going again next winter.
- frank2 7y agoI am pretty sure COVID will strike again next winter.
- pbhjpbhj 7y agoI'd say "will still be active". Look at MERS, SARS, H1N1, ..., active for much longer than I'd imagined; AFAICT in those cases the crises left the news long before they stopped being a widescale medical issue that needed special interventions. MERS peaked in 2014 (and 2015, 2016, ...), but there are still cases.
- anovikov 7y agoWhat happens if they do not "accept" the loss? It will just happen to them. They will lose cash, that's it.
- kmonsen 7y agoWhen the stock get wiped out anyone holding the stock will loose their money. Those people are called investors and will loose anything they invested. They do not have a choice. They bought a stock for something, and now it is worth 0 and will never be worth anything ever again. There are of course other options in restructuring etc, but investors can always face the possibility of loosing all the money they have invested.
- anovikov 7y agoThat's exactly what i said. Some guys will just lose their money. It no way means that airlines that went bankrupt will be physically destroyed: no one will scrap the planes or machine-gun the pilots. They will all be flying again the day the demand rebounds and COVID restrictions lifted, just under new legal entities.