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That there's no profit is something I've seen repeatedly, including written by Warren Buffet. So my question is where does the capital they burn through each ye
by ovi256 14y ago
That there's no profit is something I've seen repeatedly, including written by Warren Buffet. So my question is where does the capital they burn through each year come from ? What kind of magic business is this where companies are eternally taking losses yet still around ?
Is someone giving them money to burn ?
- corford 14y agoUnfortunately, explaining this will take more than a sentence and it's 00:30 where I am and I need to sleep. But in a nutshell, the whole industry relies on a heady mix of stupid investors, money launderers and state backing. The only people that make money are the brokers (as in most industries...).
- krakensden 14y agoBut there's a lot of money in running the things: http://www.slate.com/blogs/moneybox/2012/10/01/american_merger_with_us_airways_ceo_tom_horton_gets_a_huge_payday_if_it_can_be_avoided_.html http://www.slate.com/blogs/moneybox/2012/10/01/american_merg...