International Consolidat... Share Discussion Threads

[buywell3] 28/9/2020 08:36

On BUY thread

buywell predicted over 2 months ago

50M cases worldwide by Nov 5th

100M cases by Jan 1st 2021

500M cases by end of july 2021


Circa 50% of the world will NOT agree to take any new rushed vaccine
So that much vaunted hope is now a dead duck as is long term herd immunity

Those are the macros IMO that make the Travel Sector = Bargepole

[albert3591] 27/9/2020 18:23

Hope it works out ok fella but it’s gonna be a tough call with these airlines at the moment,but really longer term I feel.

[careful] 27/9/2020 18:13

yes, this is only for irresponsible gamblers who like long odds.
when the fun stops, stop and all of that.
you would have to be an idiot to buy these.

talking of idiots, I bought in at 92 on friday.

[albert3591] 27/9/2020 17:56

Careful,what’s happened in the last 7 months,who can say anything about the next 3 years.You wouldn’t be able to do that in normal times.

[loganair] 27/9/2020 17:50

m1 - The Qataris believe they are Gods chosen people as anywhere in Qatar if you stick you finger in the ground oil and gas comes up and to keep this feeling going they need to keep as many passengers going through Doha as possible.


When a Qatari company is being privatised, for example listed on the local stock market at 40 Riyals per share and only local Qataris can buy the shares, 12 months later any resident of Qatar is allowed to buy the shares now prices at 80 Riyals. Another 12 months later then anybody is allowed to buy the shares which are now at 120 Riyals.

Local Qataris believe they are the world best investors as they bought shares at 40 Riyals which just 24 months later are now trading at 120 Riyals. However the unimpaired truth is that this privatised company was worth 120 Riyals in the first place and the Qatari Government privatised the company at 1/3rd its true value to local Qataris so the local Qataris could feel good about themselves and their abilities as stock investors.

[careful] 27/9/2020 17:34

it is simple.
IAG have raised enough cash to survive for about 3 years or more.
they will downsize the business and make it leaner.
..then who knows the survivors of this troubled industry may do well.

the share price has collapsed 80%.
a punt on a covid vaccine, and surviving the biggest danger of all, a Boris Johnson government.

[albert3591] 27/9/2020 17:22

After what was said about ezj,can anyone really believe airlines are the place to be,I look forward to reading the spiel as to why people should pay hard earned cash into such companies.No doubt rampers will find a form of words,but they will now be found out quite easily.

[m1k3y1] 27/9/2020 17:14

Logan....thanks but they are losing substantial sums of money with this strategy.
it makes no sense to me and it appears that their balance sheet shows it isn't working either.

[loganair] 27/9/2020 16:11

Qatar Airways has been busy in recent years buying shareholdings in other carriers to help boost traffic through its Doha hub, a strategy that has become more pressing after it was hit in 2017 by a blockade from Saudi, Emirati and Bahraini airspace following a political dispute.

[m1k3y1] 27/9/2020 15:54

OK, can someone please explain.
Qatar lose in excess of 50% of share capital and has been given support from the Qatari Government.

BUT, they then say they will support the IAG rights issue which is going to cost them circa 690m euro at 25.1% of 2.75B euro.

So, in reality, it is the Qatari Government who are buying into the rights issue, not Qatar Airways ?

But can anyone please explain why ?

[sikhthetech] 27/9/2020 15:42

exactly, directors selling their rights doesn't inspire confidence for shareholders.
Surely they would have known this?


m1k3y125 Sep '20 - 09:42 - 20106 of 20149
0 3 0
So, how can directors be advising that taking up rights at 0.92 cents is good for the Business when they aren't doing it themselves ?

[loganair] 27/9/2020 14:53

Qatar Airways received a 7.3 billion riyal ($1.95 billion) lifeline from the Qatar government after losing 7 billion riyal.

The lifeline was provided to Qatar Airways after annual losses exceeded 50% of share capital and was later converted into new shares, said the airline’s financial statement.

The true impact of the crisis on Qatar Airways is unclear as global lockdowns continued beyond its financial year-end.

[gaffer73] 27/9/2020 09:57

It's a sad state and I remember kicking myself for selling at 525p last year when these went over 600p again.

[gaffer73] 27/9/2020 09:54

Absolutely no chance of returning to 600p. With no end in sight and cash burn levels high net debt will continue to rise. Add the extra shares from the RI and even if things return to pre covid levels, which is unlikely, this will struggle to make 300p. Can see 60p possibly 50p if things don't improve fast.

[costax1654x] 26/9/2020 23:11

The group's net debt has climbed 38% over the past year to nearly €10.5 billion ($12.5 billion).

[costax1654x] 26/9/2020 23:10

IAG, which also owns Aer Lingus and Vueling, unveiled a record operating loss of nearly €1.4 billion ($1.7 billion) in the first half of 2020. It also took a €2.2 billion ($2.6 billion) hit relating to the early retirement of BA's Boeing 747s and Iberia's Airbus A340s. The group has canceled or deferred nearly half its scheduled aircraft deliveries through 2022.Passenger traffic in the second quarter fell more than 98% compared with the same period last year. Revenue in the quarter was down nearly 90%."Our industry is facing an unprecedented crisis and the outlook remains uncertain," CEO Willie Walsh said in a statement. "However, we strongly believe that now is the time to look to the future and strengthen IAG's financial and strategic position," he added.Qatar Airways is the group's largest shareholder with a 25.1% stake. IAG said Qatar would support the capital increase, implying it will provide nearly €688 million ($817 million) in new funds.

[costax1654x] 26/9/2020 23:09

That's worrying

[costax1654x] 26/9/2020 23:08

IAG does not expect global passenger demand to return to 2019 levels before at least 2023. British Airways has already announced plans to cut up to 12,000 jobs, more than a quarter of its workforce, and is retiring its entire fleet of Boeing 747s four years ahead of schedule.

[spacedust] 26/9/2020 21:48

Agree EI will get some rya at 5p levels

[ccr1958] 26/9/2020 17:13

Thx EI on my monitor.. and makes sense.

[essentialinvestor] 26/9/2020 16:40

The recent RYA bond issue was 4 X oversubscribed. They can raise cash very easily

and will absolutely clean up when any type of normality resumes.

If RYA is available again near the March or May lows 2020, grab a few imv.