3SOF

Higher oil prices do affect the stock market [cutting into consumer purchasing power and may be slowing the economy]. However, stronger economy my withstand and rising oil prices lead to the twin benefit of development of alternate energy and reduction in demand.

Usually Airlines stock trade inversely to rising oil prices.

But of late the market sentiment is quite bullish which may result in overlooking the increase. I think after predictions of oil skyrocketing to 100 by Goldman Sachs earlier this year, I think we still have a bargain on oil

Gas prices are falling here in LA.

Hi All,

Northwest Airline Corp shares plunged nearly 12 %, will this bad news can able to relinquish the uptrend of FLYI?

Your quote is very much appreciated!

Cheer yeah!

FLYI Yahoo Headline:

http://biz.yahoo.com/usat/050614/12935333.html?.v=4

USATODAY.com
Bumpy takeoff, but still flying
Tuesday June 14, 10:32 pm ET

Many doubted it would survive this long. But here is Independence Air (NasdaqNM: FLYI - News)- to the surprise of skeptics - still hanging in a year after it began flying as a scheduled airline.
It hasn't been easy for the airline, which, until last year made its money by flying feeder routes under contract for industry giants United and Delta. Whether it can keep flying remains to be seen.
The airline has been hemorrhaging money, and profit is nowhere in sight. Its corporate parent, Flyi, is on notice that its stock might be delisted for trading below $1 a share at times. It also has needed deep concessions from creditors earlier this year to keep its planes aloft.
From its base at Washington Dulles airport, Independence Air flies to 44 cities, most of them east of Mississippi River.
In addition to surviving, the airline has registered some other successes. Its planes are flying fuller, and its operational performance, including baggage handling, has improved, government reports show.
"I feel encouraged. I really do," Flyi CEO Kerry Skeen said in a recent interview, assessing his creation, which turns 1 year old Thursday.
But skeptics say the odds continue to be against the airline, which broke its links to the big airlines when United, in bankruptcy since 2002, cut its contract payments to the company then known as Atlantic Coast Airlines.
"Skeen was visionary in recognizing there was no future as a United regional carrier," said Mike Boyd, an aviation consultant. "But last year has been a total abject failure." Boyd cites a flawed route strategy, low fares set in some cases at $29, and reliance on smaller regional jets, which are expensive to operate on a unit basis. Boyd says Independence Air could fill every seat on every flight and still not make a profit.

Taking off

Skeen picked a tough time to start an airline. Independence Air's maiden flight on June 16, 2004, took off as the industry was reeling from excess capacity and climbing fuel prices.
Taking a chapter from Southwest Airlines, Skeen sought to morph Atlantic Coast, which had no separate brand identity when it flew as United Express and Delta Connection, into a hip, no-frills airline. Its blue "i" logo, with pictures of stylish young people pursuing outdoor activities, seemed ubiquitous in its chief East Coast markets. Its heavy spending helped it spread its message of "tender, loving" customer care. It delivered the message in various formats - cocktail napkins, kiosks at malls, mobile billboards and broadcast pitches from celebrities, including rock legend Chuck Berry.
Skeen expresses no regrets about starting an airline and says it has yet to show its full potential. A bankruptcy filing was a likely alternative when United cut its payments to Atlantic Coast.
Independence Air has all along said it needs several quarters of operation to prove its mettle, Skeen says. It didn't break free from its obligations to the large airlines until last October, he points out.

Measure of work

Atlantic Coast was one of the industry's worst performers in the three categories measured by the government: flights canceled, customer complaints and mishandled baggage. But Independence Air ranked first or second in each the first quarter, Skeen says.
More people are flying the airline, too. The percentage of filled seats shot up to 72.9% in May from 45.7% in January as it continues to undercut competitors in price.
If Skeen is deeply worried, he isn't showing it. He declined to discuss bankruptcy warnings filed with securities regulators. "We don't prove (the critics) wrong until we start making money for shareholders. We're still a long way from that, but we think the needle's moving in the right direction," Skeen says.
Independence Air found some breathing room in January, when it restructured its leasing agreements with creditors. The restructuring called for eliminating 29 regional jets. By next month, its fleet will consist of 58 regional jets and 12 new Airbus A-319 planes, which seat 132.
The restructuring saved Independence Air from having to immediately pay $70 million in lease payments, and permanently changed its strategy.
The company plans to use the new Airbus planes to launch flights from the Dulles hub to additional large cities. It's branched beyond its East Coast focus and now provides transcontinental service to cities including San Diego and Los Angeles.
Par Investment Partners, its second-largest shareholder, asked Skeen earlier this year to revert to being a regional flight supplier to United.
Ed Shapiro, vice president at Par Investment, said resuming as a United contract flier would have been "less bad" than launching a new airline, a strategy he calls "poorly conceived and poorly executed."
Independence Air did bid on United's new request for proposals for a supplier, but United chose another airline.
Skeen declined to comment on any possibility of partnering with other companies, except to say all options are open and that he'll "consider anything" to increase shareholder value.
Independence Air has few options for survival as an independent airline, says consultant Boyd.
Its initial strategy of flying to too many large cities with regional jets proved to be flawed, he says. It should consider cutting back flights to large cities such as Orlando and Detroit, he says. It might be better off focusing instead on less-competitive markets, such as Grand Rapids, Mich., and Fort Wayne, Ind. Even that might not guarantee its survival, he says.


Comments ??

Those portuguese or spanish rumors brought many people to this plane that didn't belong here.  Can't the SEC do nothing against these pumpers? If you don't know what I'm talking about you don't want to know ... just say there were fake news launched on a portuguese website that yesterday made FLYI close at $1.20 in after hours and open sharply higher yesterday. Of course, all the people that bought because of the fake news had to get out of the stock, so it even closed below it's new support level, $1.04.

Everybody thinks this company won't survive. But I see passenger numbers increasing month by month and when a company sells more and more quantity it's on a right track. Everyone can cut costs ... but it takes a good service to increase sales. I believe FLYI has a good service and I'm going to give the stock another chance, altough it closed below the $1.04 threshold, but I've explained why and that's not a reason to sell.

Got in last week at 1.01 i have spoken to some friends who have flown on these planes and are very happy. They have a new fleet and remember we are coming in to the months of High Flying. I am going to hold my position and see what happens through the summer.FLYI is in as many locations as Air Tran and they hold a nice variety of Smaller Airports and Higher volume Airports. In todays market it is all about price and i guess it is not only about charts but if a company can increase passengers each month i guess in their business they are doing alright.... Let me know if you disagree with my thoughts.... Thanks.

Sold FLYI with a 8% loss at $0.89. I can't understand why the stock is down so much, maybe I'm being foolish here, but rules and following analysis is more important than winning or losing in any given trade.

With oil all over the market I am not surprised if airlines stocks slip a bit. I sold my position yesterday for small loss.

Hi David,

I did sold as well mine on market opening. This is what I been expected as well due to oil spikes. But will there be no means for this stock to rebound? How long will it take to break the $1.00 barrier?

CHeer yeah!

From Singapore
(currently in Taipei)

Quote from: stocky on June 15, 2005, 07:53:20 PM
With oil all over the market I am not surprised if airlines stocks slip a bit. I sold my position yesterday for small loss.

but don't you think this stock is getting oversold right now because of the fake news and then yesterday because of oil prices rising?
even if it won't succeed to pass the 1.04, from 0.88 to 1.04 = 18% that's not too bad is it?

Hi David,

I just got an excerpt from the Yahoo MB. Will this create a total chage of the FLYI share price that would turn the FLYI to GREEN ?


++++++++++++++++++++++++++++++++++++++++++++++++++
Web Page : http://www.strombotne.com/

news scoop? or phake out... Posted on Monday 13 June 2005
Jornal de Negócios Online :: Empresas -
English News

The Portuguese State will buy FLYi Inc

Lisbon - A source from the department of transports said that the Portuguese state is very interested in buyFLYi Inc. The state company TAP -Transportes Aéreos Portugues could launch a takeover to FLYi Inc. This plan of the takeover of FLYi Inc is the same that TAP did with the Brazilian airlines VARIG. The same source said Portugal's TAP will supported its plan to invest in debt-ridden American airline and keep the loss-making national flag carrier flying. The source said the Portuguese State could notifie tomorrow the Portuguese National Securities Market Commission (CNMV) that it was willing to waive the condition of a 75% minimum acceptance level to which its public offer for the acquisition FLYi Inc shares was subject, taking into consideration that the response received will be sufficient to develop the business project pursued through the takeover bid. The Portuguese State will launch a takeover bid for FLYi Inc with the payment of 1,5 euros for each of the that responded to the tender offer, this initial offer could reach the limit of price of 1,85 euros for each share of the american company. The same source said the deal would not affect Portugal's public deficit and would allow FLYi Inc to maintain its domestic services.

Better start brushing up on that Portuguese!
Eu gostaria de uma cerveja por favor 

tags: flying

++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

Quote from: macaddictsg01 on June 18, 2005, 02:20:01 AM
...
I just got an excerpt from the Yahoo MB. Will this create a total chage of the FLYI share price that would turn the FLYI to GREEN ?
...

macaddictsg01,
Bashing and pumping is normal behavior in Yahoo MB. Let's keep 3stocksonfire.org board clean from trash!
BTW! This subject was already explained by David (fake news).

Quote from: macaddictsg01 on June 18, 2005, 02:20:01 AM
Hi David,

I just got an excerpt from the Yahoo MB. Will this create a total chage of the FLYI share price that would turn the FLYI to GREEN ?

Hi macaddictsg01,

Please read the first pages of this topic, where we uncover that fake news:

- http://www.3stocksonfire.org/trading/index.php?topic=610.msg2901#msg2901

- http://www.3stocksonfire.org/trading/index.php?topic=610.msg2895#msg2895

and: http://www.3stocksonfire.org/trading/index.php?topic=610.msg3164#msg3164

We encourage our members to always take a look before posting a subject and see if it's «old news on this board

best regards,

Hi Ramsburg,

Pardon me, I have seen that after I posted that fake news. It's my careless mistake...Cheers!


 

Quote from: macaddictsg01 on June 18, 2005, 07:30:13 PM
Hi Ramsburg,

Pardon me, I have seen that after I posted that fake news. It's my careless mistake...Cheers!


 

No problem