shorting the airlines into bankruptcy?

Quote from S2007S:

What will happen to the industry if most airlines go bankrupt?


Im looking at AMR for another swingtrade down below $5.00.


I just cant see all airline going bankrupt, people still have to fly.
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short oil....long airliners. you should start a news letter. maybe buy LUV or something profitable if you want to buy an airliner. hell they should get more business if these other guys get face plowed by oil.
 
Quote from S2007S:

The government would bailout the top airlines from going bankrupt, there is no way they would let 2 or 3 major airlines go bankrupt.
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You must be ( without a doubt ) the DUMBEST person on ET.

How many major Airlines have gone BK since 2002?
Care to count?

Did the U.S. government save UAL, US Air, Northwest, and Delta from going BK?
Of course not.
:eek:
 
Quote from S2007S:

The government would bailout the top airlines from going bankrupt, there is no way they would let 2 or 3 major airlines go bankrupt.
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Why not? The US has far too many airlines. It's not as if they make any money.
 
Quote from flytiger:

Crandall said on CNBC the Govt needs to treat them as Utilities. Not a bad idea. You have to have them, and they can't make money. What other solution is there?
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If you "have to have them", then they will be able to turn a profit.

We are not talking about the sole surviving global airline here. We are talking about dozens of high-cost, inefficient, incompetently run airlines that can't even be bothered to hedge their main input cost, a large price rise in which has the chance to put them out of business.

Most US airlines *deserve* to go broke. The airline industry would be far more stable, efficient, and profitable, if it coalesced into an oligopoly of maybe 5 or 6 major firms. That is the pattern common in many industries with large costs, such as autos. There are economies of scale as well, so the customer may well benefit - it's not as if customer service could get any worse, short of planes dropping out of the sky.
 
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