Air Canada: Its All About Cash | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Most Recent Daily Episodes

Episode Date

Airborne-Monday

Airborne-Tuesday

Airborne-Wednesday Airborne-Thursday

Airborne-Friday

Airborne On YouTube

Airborne-Unlimited-05.06.24

Airborne-NextGen-04.30.24

Airborne-Unlimited-05.01.24 Airborne-AffordableFlyers--05.02.24

Airborne-Unlimited-05.03.24

Wed, May 27, 2009

Air Canada: Its All About Cash

Every Penny Counts...

Air Canada, which sits on the brink of a possible second bankruptcy in six years, has received some good news. The Toronto Star reports Canada's largest airline has reached a preliminary agreement with a credit-card processor that will reduce the amount of cash Air Canada is required to keep on hand.


 
When airlines suddenly go under, and can't deliver the flights for which credit card companies have already paid, consumers can demand refunds, and the card companies eat the bill. For protection, credit card companies insist that airlines have at least a minimum amount of cash on hand, or face having payments for tickets withheld by the card companies until the flights are provided. The impact on an airline's cash-flow is a big deal.

Air Canada's deal reportedly lowers the cash requirement from 900 million to 800 million dollars, but the airline isn't out of the woods yet. Air Canada reports current cash reserves of just a billion dollars, and has 1.25 billion in debts and pension fund contributions coming due this year.

FMI: www.aircanada.ca

Advertisement

More News

ANN's Daily Aero-Linx (05.04.24)

Aero Linx: JAARS Nearly 1.5 billion people, using more than 5,500 languages, do not have a full Bible in their first language. Many of these people live in the most remote parts of>[...]

NTSB Final Report: Quest Aircraft Co Inc Kodiak 100

'Airplane Bounced Twice On The Grass Runway, Resulting In The Nose Wheel Separating From The Airplane...' Analysis: The pilot reported, “upon touchdown, the plane jumped back>[...]

Aero-News: Quote of the Day (05.04.24)

"Burt is best known to the public for his historic designs of SpaceShipOne, Voyager, and GlobalFlyer, but for EAA members and aviation aficionados, his unique concepts began more t>[...]

Aero-News: Quote of the Day (05.05.24)

"Polaris Dawn, the first of the program’s three human spaceflight missions, is targeted to launch to orbit no earlier than summer 2024. During the five-day mission, the crew >[...]

Read/Watch/Listen... ANN Does It All

There Are SO Many Ways To Get YOUR Aero-News! It’s been a while since we have reminded everyone about all the ways we offer your daily dose of aviation news on-the-go...so he>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2024 Web Development & Design by Pauli Systems, LC