LJ From Netherlands, joined Nov 1999, 4683 posts, RR: 0
Reply 3, posted (13 years 2 months 1 week 5 days 12 hours ago) and read 1626 times:
The number is little bit a joke. AZ reckons they post an EBITDA (earnings before intrest, taxes, depreciation and amortisation) profit of EUR 100mio Anyone with a little finance knowledge will see that AZ isn't as profitable as they would like to portray. Moreover if both the depreciation and the amortisation were last quarter around EUR 82mio . But then again, if they were really profitable they didn't need any cash from the Italian government.
Myself From Belgium, joined Feb 2001, 207 posts, RR: 1
Reply 4, posted (13 years 2 months 1 week 5 days 9 hours ago) and read 1601 times:
Agree with you LJ,
EBITDA becomes more and more criticized as an accounting method, and can hide a lot of things.
In FCO, lots of AZ-wide bodies catching dust (747-200 and A300), AZ unable to sell them ?
They are losing more and more territory on their domestic market.
Their network and fleet planning is "terrible", as described to me by an AZ-insider and they are already coping with massive excesses in workforce, but unable to take adequate measures ( union opposition or lay-offs too expensive).
The recent Government Aid (let's call things by their real name) has not exactly increased their popularity, and the small scandal that two "friends" of top-managers were hired during a complete "hiring-stop" could add to the frustration of the Italian taxpayer.
Big questions :
1. Will AF be able to clean up the Italian "casino" ?
2. Will the Government accept losing grip on its "flag-carrier" ?