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Tuesday, November 29, 2011

Excess Baggage?

 The only excess baggage I can see is the unions.

 "IN BUSINESS, virtue is not always rewarded. Ford briefly gained some kudos among politicians and the public for being the only one of Detroit's big three carmakers not to file for bankruptcy in the wake of the financial crisis, but is now stuck with higher costs than its rivals. The same is true of AMR, the parent company of American Airlines, one of the few big American carriers which hitherto has resisted using the bankruptcy laws to rid itself of liabilities towards shareholders, creditors and its pension scheme. Continental has gone through bankruptcy twice (1983 and 1990), as has US Airways (2002 and 2004). However, when your reporter recently met a senior figure at American Airlines, he said that much as the company was keen to continue honouring its debts, "maybe the final chapter is not written yet"."

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