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Another financial bailout? Airlines on the brink of disaster?


Airline bailout ?  

39 members have voted

  1. 1. Airline bailout ?

    • No, let them sink or swim
      30
    • Yes, we need them to survive
      9
    • I'm confused
      0


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It seems that people were happy for our Government to spend £billions bailing out Icelandic Banks. They were also happy for our Government to spend £hundreds of millions propping up the Korean motor industry with the car scrappage scheme. But when it comes to helping a British company that employs thousands of British workers and has paid £billions in taxes to the UK economy, that is a step too far.

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It seems that people were happy for our Government to spend £billions bailing out Icelandic Banks. They were also happy for our Government to spend £hundreds of millions propping up the Korean motor industry with the car scrappage scheme. But when it comes to helping a British company that employs thousands of British workers and has paid £billions in taxes to the UK economy, that is a step too far.

 

Good point, well said:thumbsup:

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soooooooooooo tell me something- How are they 15 billion in debt over this? They have taken everyones money (its not like people pay for their flights after they get back) and they havent used any fuel or even moved. They should be in profit.

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soooooooooooo tell me something- How are they 15 billion in debt over this? They have taken everyones money (its not like people pay for their flights after they get back) and they havent used any fuel or even moved. They should be in profit.

 

People like me have the option to reschedule my flight or refund

 

They still have staff to pay

They get charged large fee's for thier aircarft parked up at foreign airports.

 

There will be loads of other costs too that we don't know about.

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Act of God is a specific exclusion you wouldn't want in insurance against "mass grounding of aircraft by a geological event".

 

I would of course take the insurance company to court and have them prove it was an act of God, as opposed to a normal, everyday event (volcano erupting).

 

The term is Force Majeure. It is already being used by suppiers of jet fuel for the cancellation of supplies being shipped to this country.

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As I anticipated the airlines are beginning to put together their demands for a compensation from the government. The cost of the shutdown is being put at more than a $billion by the WSJ and $1.7bn by the Guardian.

 

Bizarrly Lord Adonis (Labour's Transport Minister) seems to be saying that it was handled badly. I thought that Labour's policy was to have a pre-determined investigation before apportioning blame to somebody else?

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It seems that people were happy for our Government to spend £billions bailing out Icelandic Banks. They were also happy for our Government to spend £hundreds of millions propping up the Korean motor industry with the car scrappage scheme. But when it comes to helping a British company that employs thousands of British workers and has paid £billions in taxes to the UK economy, that is a step too far.

 

I don't recall the Government bailing out the Icelandic banks, in fact we enacted anti terrorism legislation against Iceland.

 

Hence the Icelander's reluctance to bail out British investors and stupid councils.

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The airline industry could make up the losses in a month by charging £1 more on every seat. Call it a "volcano levy". If they charged properly for tickets in the first place they wouldn't be on the brink of collapse with every little thing that happened. The majority of the Uk's businesses coped this winter through the countless snowy days on end of reduced productivity due to staff absence, school closures and reduced footfall. If the airlines didn't run to such tight margins in the first place things would be OK.

 

They've only themselves to blame, the 6 P's - Proper preparation prevents p*** poor performance!

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