Silverjet Share Discussion Threads

[granville2] 30/4/2008 12:35

He speaks nonsense but he has a fanatical following!! LOL

[generalmac2] 30/4/2008 10:53

I am myself2

"Many people want to pay £600 return to Newark but the airline needs to charge a lot more than £1200 to break even."

This is a nonsensical statement. Of course people would want to pay only £600 return to Newark but is NOT on offer.

[i am myself2] 30/4/2008 10:08

The new investor will not wish to take a massive risk yet let most of upside go to existing shareholders. If $75m was put in then it would be done at a massive discount to the existing shareprice so that the new money buys almost all ownership. The share cannot magicaly become worth 100p as the number of share keeps going up massivly .

[naplion] 30/4/2008 09:45

25 million , folowed by 75 m, and will be envloved in marketing and expansion!! sounds like a bid to me in the near future . specially that he is in dubai too with all the fuel and connection he has as an arab in the gulf and middle east . he is more lilely to be a prince any way. does any one think the same . dubai is known for centre of business in the middleast , so to add a nusiness airline makes sense , it might even end up subsidised by the ua goverment, any views ?

[nicebut] 30/4/2008 09:35

What makes you think that?

[mrtravels] 30/4/2008 09:30

Silverjet will go to £1.00 in a rush before the year is out.

[i am myself2] 30/4/2008 09:27

Many people want to pay £600 return to Newark but the airline needs to charge a lot more than £1200 to break even. The product may seem great to users but is not viable. So far they may have burned £60million in Just over a year. Can you see Mr Hunt going in the Dragons Den. The statement implies they have almost run out of money already. The money was earmarked for expansion.

I am happey for those who ignor reality to lose more money.

[drewz] 30/4/2008 09:25

"Every time a post is aimed at him you come flying out of the woodwork to his defence!"

Because I appreciate the legitimacy of his analysis and I despise the idiocy of your ignorant bullying in trying to drive such legitimate bearish analysis off the board. You lout.

[elephants drunk] 30/4/2008 09:19

nah, you can`t tell me they don`t pass them on for a fee

[drewz] 30/4/2008 09:15

As already stated above, the £600 fares are for travel industry employees, not available to the public.

[granville2] 30/4/2008 09:13

drewz - are you illiterate? Read the post again and recognise its not for your benefit or are you his mouthpiece? Every time a post is aimed at him you come flying out of the woodwork to his defence! Are you his lawyer or maybe the same person? Anyhow, mind your own bloody business and speak when you're spoken to.

[elephants drunk] 30/4/2008 09:10

more importantly which `bucket shop` sells a trip for £600

[drewz] 30/4/2008 09:09

Granville2 - are you economically illiterate?

Iammyself2 and Mike Stoddart have called it absolutely correct - without this cash the airline is bust - as an investment it is still a basket case.

The only 'plonkers' here, if there are any, are those naively saying pile in because SIL is 'cheap' as if cheap = a good investment.

[drewz] 30/4/2008 09:00

Well done LH for securing the necessary cash to keep SIL flying. Placing at 17p is a good deal for shareholders all considered.

They are still going to be teetering on the brink of insolvency for some months yet, and as the RNS states the mystery UAE Investor may be required to inject another $75m diluting existing shareholders yet further.

As an investment it still ranks as 'not with a very long bargepole' but at least they have a decent chance of keeping the business intact through this industry down-turn which is brilliant for consumers and for competition.

[i am myself2] 30/4/2008 08:56

"Silverjet's working capital has deteriorated and its residual reserves are limited."

At the end of last year they had a £22m cash injection. It sounds like most of that cash has been burned. Another £12.7 million would go the same way. It is also very possible that the deal will not happen. EOS has said it had secured $50million in the week before it went under. After the memorandum of understanding (MoU)is signed the possible bidders should have access to the books. In fact the MoU is part of the process and could bind parties to keep mum. I have been very accurate so far. I have always though SIL would take some time to go broke. If the bidder backs out then SIL would be dead in days but if £12.7 is put in then I could last till winter. The last investor paid 60p/shares now the offer is 17p.

[whiteboard] 30/4/2008 08:32

In 'I Am Myself2' defence. At least he didn't say which year SIL would go bust. LOL

My faith in SIL management has been justified today. Things are certainly looking much better with this funding, and that their other two major rivals now no longer exist. Godd luck SIL and all who invest in her.

[stluke] 30/4/2008 08:18

I dont think SIL are out the woods yet but they have gone a big step in the right direction today, some good numbers next week will help.

[generalmac2] 30/4/2008 08:15

Well I was wrong with the last sentence of my last posting. The future looks good now. A few on this board will be really upset this morning and that is just as satisfying as the good fortune of SIL.

[granville2] 30/4/2008 08:04

I am myself2 - you look a right plonker now!! LOL

[stluke] 30/4/2008 07:31

Well with the direct competition out the way and now additional funds being made avaiable looks like silverjets chances of survival have gone up this morning and just a quick word for Mr Hunt, it is now clear why you went off the radar for a while well done raising additional finance to put in a airline couldnt have been easy, could well receive some further good news next week as passenger numbers have been strong this month and going forward are the best they have been.

[generalmac2] 29/4/2008 17:27

'take_that'

Prior to the departure of EOS SIL was carrying 75 - 95 passengers per flight to Newark and a little less to Dubai. They should improve those figure post EOS hence
my £150000.
Drewz will not come up with the whereabouts of the £600 tickets. It seems affiliates have had special offers at this price in the past, they are not available to Joe public.
However today's trading 50,000 Sells 300,000 Buys and the share price falls. Not good.

[stluke] 29/4/2008 15:10

A couple of snippets of interest, i have a feeling the next few days could become very interesting,

Bookings for Luton-based carrier Silverjet were 117% up on their all-time daily record yesterday after the failure of Eos. The chief executive of the all-business carrier, Lawrence Hunt, told businesstravelworld.com that the airline is picking up a lot of customers affected by the failure of Stansted-based Eos over the weekend.


Asked about the airline's viability given Eos' filing for bankruptcy in the US courts and Maxjet's demise last Christmas, Hunt said: "We now have a clear run at the market. We have a very different business model from Eos, most notably in pricing. They were averaging around £2,500 a ticket while we are averaging £1,200 a ticket."

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Silverjet bosses confident own future won't land in bankruptcy
A Luton to New York business flyer is cashing in on the demise of one of its transatlantic rivals.

Silverjet offered tickets on its flights to the US to customers of Eos after the American airline filed for bankruptcy.

But the Luton-based company is confident it won't go the same way as it now finds itself in a class of its own.

Spokeswoman Louise Greidinger said the executive flyer was not bothered by yet another airline crashing.

"We're looking for additional investment," she said.

"Lawrence Hunt (chief executive) is hard at it and we're confident we'll be able to announce something soon.

"We're a different proposition. We're incredibly confident that we're going to grow and grow."

[exile] 29/4/2008 12:13

Drewz...where do you look ? for the 600 return flight?

[take_that] 29/4/2008 12:06

So the complete cost to SilverJet for a return trip to New York is approximately 66.6 (2/3rds full) x £1,200 = £80,000.

Would be interesting to know the average ticket price. Bearing in mind that the price people pay is made up of Passenger Service Charge, Airport Tax etc therefore the ACTUAL revenue generated from a ticket sale will be considerably less than the face value of the ticket.

[drewz] 29/4/2008 11:51

29 April 2008) [Travelmole]
Silverjet boss Lawrence Hunt has denied reports that the sole remaining business-only carrier is seeking a takeover.
The Financial Times reported on Monday that Silverjet was in "urgent negotiations with potential investors in the search for a rescue takeover deal".
Hunt said: "I do not know where that has come from. We are almost at break even. We raised more money in December and we are operating three aircraft at almost 70% capacity."
He conceded Silverjet's prices remain below the average £1,200 one-way fare the carrier requires to make money on aircraft flying two-thirds full. But he said: "We have put prices up 20% since we launched and we are not far off."
The demise of Eos would cut the business-only capacity to New York by 250 seats a day, added Hunt.