American Airlines to pay first dividend since 1980

[DonViejo]

Source: ASSOCIATED PRESS

FORT WORTH, Texas (AP) — American Airlines says it will pay its first dividend since 1980.

The company announced Thursday that shareholders will get a quarterly cash dividend of 10 cents per share. American will also spend up to $1 billion to buy back shares, which raises the value of remaining shares.

American Airlines Group Inc. made the announcement as it reported net income of $864 million in the second quarter, up from $220 million a year earlier. Excluding special charges, the profit was $1.5 billion, a quarterly record for American.

Airlines are prospering as mergers have reduced competition, making it easier to keep prices high. They’re also raising billions from extra fees. Few airlines pay dividends. Southwest Airlines pays one, and Delta Air Lines restored its dividend last year.

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Read more: http://www.salon.com/2014/07/24/american_airlines_to_pay_first_dividend_since_1980/

[Downwinder]

1. Amazing how bankruptcy cleans up the balance sheet.

[davidpdx]

2. That and gouging customers

$100 here and $100 there

[Psephos]

5. That is point of bankruptcy.

And the point of delivering dividends is to make a stock more valuable.

[Downwinder]

6. What was the final disposition of American's underfunded

retirement plans?

[Psephos]

8. You do understand that pension plans invest in stocks, right? n/t

[Downwinder]

9. I understand the difference between a funded and underfunded

retirement plan. Perhaps the USPS requirements should become standard.

[Psephos]

10. Yes, that is the heart of the matter.

By the way, I don't see much evidence that government is any different from corporations when it comes to adequately funding pensions. In many (or these days, most) cases, they do the least they can get away with.

Burning the future to stay warm in the present has become a national addiction.

Bad times ahead when the bill comes due.

[Downwinder]

11. My retirement disappeared in a Corporate bankruptcy 40 years ago.

[Psephos]

12. Ouch.

Seriously, that sucks.

Life has taught me that sure things aren't, and that promises are made to be broken. So I have charted my course with that in mind. I hope you have likewise navigated well.

[Downwinder]

13. I give thanks to FDR, Sam Rayburn, and LBJ for safety nets every day.

[Psephos]

14. Sam Rayburn!

Don't hear his name so often anymore...but we should.

[Downwinder]

18. There was a time...

When Texas Progressives led the Nation.

[Omaha Steve]

3. Just in time for 30,000 union workers in contract negotiations

http://www.democraticunderground.com/1014854228

[liberal N proud]

4. $25/1st bag, $50/2nd bag, $5/blanket, $5/pillow and $300/change fee

They are not making a profit from flying people but from feeing people to death.

[aint_no_life_nowhere]

7. I wish we had more options

like rapid rail, or as many passenger ships as before doing transatlantic runs. When I was young you could book a trip on cargo ships that offered cabin space and even cheap transport for your car. When I was young I went from Savannah, Georgia to Lisbon, Portugal on the SS Kenosha cargo ship. It was cheap, extremely interesting and relaxing, and I even took my 1960 MGA on board for a low price.

[happyslug]

16. Those Tramp Steamers still take on passengers and with the net it is easier

The main problem is they tend to have high costs in relations to other means of transport, but the price includes a cabin AND food. They also been known to skip schedule ports if they have no cargo for that port (all you get is "I am sorry but....).

I also suspect the prices cite don the net on top end, if you are careful you may be able to get a much lower rate, for everything but your food has to be paid whether they have a passenger or not, thus it is better to have a paying passenger then no passenger. The Crew, fuel Ship and most of the food have to be paid for with or without passengers. A passenger is just extra money, some cost preparing food, and maintaining the cabins but that is the only additional cost to the ship. Thus you can get some good discounts.

Please also note, with modern Containerized shipments, time in port is much shorter the it was as late as the 1960s. That is both good and bad, good in the sense the stay in a bad port will be short, but bad in the sense, the stay in a good port will be also short.

Some cites I found when I did a google search for Tramp Steamers:


http://www.shipsandcruises.com/freightertravel.htm

http://www.freightercruises.com/voyages.php#transatlantic

http://ww2.freighterworld.com/?folio=435329566&bkt=9657&gkwrf=http%3A%2F%2Fwww.shipsandcruises.com%2Ffreightertravel.htm

http://budgettravel.about.com/gi/o.htm?zi=1/XJ&zTi=1&sdn=budgettravel&cdn=travel&tm=41&f=00&su=p1097.10.147.ip_p284.13.342.ip_&tt=29&bt=0&bts=4&zu=http%3A//www.grimaldi-freightercruises.com/freighter/italia/Gfc%2520Program%25202007.pdf

http://budgettravel.about.com/od/cruisedealsdiscounts/ss/Freighter-Cruises-Can-Be-Cheaper-By-The-Day_3.htm

http://www.smallshipcruises.com/freighters.shtml

http://www.freightervoyages.eu/Voyages/I%20Mediterranean/I%20Mediterranean.htm

[Ahmed 1]

15. economy

This is good as evidence the economy is getting better.

[quadrature]

17. the problem with old companies is. old employees.

the cabin attendants of Crandall Airlines
joined the company in the DC3 days

[Omaha Steve]

19. Age discrimination?

Shame.