Dp Aircraft I Share Discussion Threads

[bandit99] 09/1/2024 11:17

I thought there was no residual value here, so why is share price rising?

[vega44] 08/6/2022 19:37

Has anyone seen details of the bonuses being awarded to the non-executives here (on top of already generous base fees?

[texaschaser] 27/5/2021 11:47

owch. when zero?

[apollocreed1] 18/11/2020 23:17

I am struggling to understand why DPA took on loans from banks when they should have instead used shareholders funds to purchase the planes.

I've just been looking at these websites - assuming they are accurate and up to date then there is still a market for Boeing 787-8 planes.

hxxps://www.statista.com/statistics/273941/prices-of-boeing-aircraft-by-type/


Data is as of October 2020.

[robizm] 27/5/2020 18:03

If the loans are paid off then yes but who would buy them as there will be loads of planes put up for sale

[apollocreed1] 25/5/2020 16:51

But can DPA not repossess their aircraft and resell them to another buyer in future if the market improves?

[robizm] 22/5/2020 12:19

The loans are secured on the planes so if both airlines go bankrupt would we keep the security deposits and maintenance reserves. They will not pay a dividend for years just hoard cash.

[pimsim] 21/5/2020 17:45

Norwegian Air share compensation

So reading between the lines they have been given 154,189,712 shares at a conversion price of NOK4.24919 which effectively implies a loss of roughly $66m in future rental payments. We know that they won't get anything for the 12months from Apr 20 to Mar 21 (not sure about March 20?) amounting to $29.85m so implies annual rental from April 21 will be down approx $7m for each of the following 5 years. Assuming Norwegian Air lasts that long!

Surprised they have ended up with 5% of total issued share capital of Norwegian? I wonder if the other creditors negotiated a better deal?

[pejaten] 19/5/2020 09:14

thai have now filed for bankruptcy.

[robizm] 15/5/2020 15:14

Someone wants out at any price.

[robizm] 14/5/2020 10:02

Did not see that bit as don’t own these yet. Am in Dna Dna2 and aa4 with a loss of £3k so far as bought too early. Market cap of £30 million now but how low will all the airplanes lessors go is the question.

[pimsim] 14/5/2020 08:55

ROBIZM, I don't think so. The whole point of the debt for equity swap is to reduce the obligations of Norwegian to creditors and lessors.

The section related to Norwegian states:

All of Norwegian's payment obligations until 30 June 2020 are to be waived to the extent that they have not already been met; and from July 2020 to March 2021 a 'power by the hour' arrangement will instead apply. Under this arrangement, Norwegian will only pay lease rentals in respect of the two assets which it has leased from the Company to the extent that they actually operate them.

- The 'power by the hour' arrangement will come to an end on 31 March 2021. Thereafter Norwegian will make monthly lease payments to the Company again, at a reduced rate to that which has applied to date, reflecting the downward pressure on market rates for lease rentals that is widely anticipated in the aftermath of the Covid-19 crisis.

- In addition to monthly lease rental payments the Company will receive equity in Norwegian, with the number of shares to be calculated by reference to the monies which are being waived and/or forborne by the Company as a result of the 'power by the hour' arrangement and the reduced monthly rental amount from April 2021.




There is a section further down regarding deferred payments but this relates to DPA deferring payments to it's banks NOT to Norwegian:

"Repayments of principal due during the period from May 2020 to March 2021 will be deferred, and the profile of debt service for the period starting from 1 April 2021 will be adjusted to reflect the proposed reduction in Norwegian's monthly lease payments. All deferred amounts must be repaid by 30 June 2025 at the latest (with prepayment permissible without charge)"

[robizm] 14/5/2020 07:35

Compensation would go to the airlines as they still have to eventually pay the full lease amounts owed spread over a few years. Norwegian 2 Boeing’s have been parked since May 2019 and Thais Sept 2019 and don’t know when engines will be sorted but assuming covid is not helping.

[irishmatt] 13/5/2020 19:06

Good point. Any idea what level the compensation is at though

[pimsim] 13/5/2020 19:00

Interesting point.

I assume, up to now, Norwegian have been entitled to the RR compensation since they have had to make the monthly lease payments but can't use the planes. If they are moving to a 'power by the hour' payment from July and obviously won't use the planes while the engine issue remains does that mean DPA will be entitled to compensation from RR until the engines are fixed. If so, it actually helps to have the planes out of action!

[valhamos] 13/5/2020 08:15

No dividends for a while. I retain my original stake. There has to be some value here if the company maintains the support of its lending banks. The complicating factor has always been the compensation arrangements from Rolls Royce for planes not being used because of engine problems and how that impacts current plane values.

[robizm] 13/5/2020 08:11

All 4 planes are currently parked due to engine problems. Norwegian 737 are all parked as well. That is what got them into this mess whether they get out will depend on covid 19.

[irishmatt] 13/5/2020 07:45

The arrangement with Thai seems ok but not sure on the equity swap with Norwegian. It was coming and it could have been worse I guess

[robizm] 04/5/2020 16:59

According to the telegraph debt restructuring completed. 95% wipe out for the airline shareholders. Shares due to lessors and bond holders for converting just under 1 billion dollars of debt to equity. Wonder how that affects dpa

[robizm] 03/4/2020 10:19

Knew they have to stop the divi.I bought a few at 19c.

[robizm] 31/3/2020 10:17

They have said they can’t pay and Thai airways are struggling. Can they survive without lease income. They have 3 months deposits so can keep the wolf from the door for a bit but no dividend I reckon.