Wazua
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KQ in 2010-11 (Boom, Bust or Blah)
Rank: Elder Joined: 6/27/2008 Posts: 4,114
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@VVS; I feel you on the issue of hiring foreigners. KQ needs to take a strategic decision to employ more foreigners from countries where it flies. That will make good business sense; same way that BBK & SCB, for example, employs Kenyans [and other nationalities] at the London head offices. KQ is no longer just a Kenyan company. It is very international and it must must begin looking the part. Perhaps, in future it might even need to drop the name "Kenya Airways" and go for a neutral one, say "KQ Airways"... Nothing is real unless it can be named; nothing has value unless it can be sold; money is worthless unless you spend it.
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Rank: Chief Joined: 1/3/2007 Posts: 18,224 Location: Nairobi
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mukiha wrote:@VVS; I feel you on the issue of hiring foreigners. KQ needs to take a strategic decision to employ more foreigners from countries where it flies. That will make good business sense; same way that BBK & SCB, for example, employs Kenyans [and other nationalities] at the London head offices.
KQ is no longer just a Kenyan company. It is very international and it must must begin looking the part. Perhaps, in future it might even need to drop the name "Kenya Airways" and go for a neutral one, say "KQ Airways"... People forget that 90% of KQ's business is 'foreign' meaning to/from destinations OUTSIDE Kenya... Almost 100% of 'new' growth will be from foreign destinations... Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Veteran Joined: 8/30/2007 Posts: 1,558 Location: Nairobi
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Erm. On the pilots front, there is a WORLDWIDE SHORTAGE OF QUALIFIED CAPTAINS. The problem is not reLly pilots per say, it'sCAPTAINS.....FOS can be churned out pretty quick. Getting expats to help out would be A. Difficult to get the right people ie qualified with the necessary experience and B. even if you hypothetically did find these people, it would be extremely expensive. I'm not going to disclose what an average KQ Capt. Takes home however companies like FLYDUBAI are looking for qualified pilots ESP captains and are offering alot of money per month(figures can be found on their website). Just a note, the pilots that I know are still in Kenya not because the cash is great but because they like the life in Kenya and afterall it is home and u can make a decent living, as companies like the aforementioned are paying alot more if it were just all about the benjamins.
Btw, Kq does have expat cabin crew and pilots...there are the Thais, ghanaian, cameroonians, Ugandan, Zambian, Tanzanian and rwandans too.
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Rank: Elder Joined: 9/25/2009 Posts: 4,534 Location: Windhoek/Nairobbery
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The only people who deserve their salaries to be increased are the hedging staff...KQ makes money without flying thanx to the oil hedges...overall i have held into KQ for about 8 month without breaking even...i have forecast an end year EPS of 7-8 bob thus making my price target of 80+ bob realistic...
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Rank: Chief Joined: 1/3/2007 Posts: 18,224 Location: Nairobi
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@Horton - KQ senior pilots $200k+, New pilots start at $48k to $80k depending on the aircraft they are rated t fly... As for the Crew... there are not ENOUGH crew members from the countries KQ flies to... Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 8/4/2010 Posts: 8,977
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VituVingiSana wrote:@Horton - KQ senior pilots $200k+, New pilots start at $48k to $80k depending on the aircraft they are rated t fly...
As for the Crew... there are not ENOUGH crew members from the countries KQ flies to... Have you flown via Bangkok-Guangzhou-Hong Kong route. The crew shortage is very evident to cater for everyone en route to these destinations. Also the use of old planes along this long route with only one technical stop over at Bangkok onward to Guangzhou or Hong Kong is a bit wanting...
Anyway I'm still bullish on KQ and as long as 45 is still a buyers magnet level.$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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Rank: Chief Joined: 1/3/2007 Posts: 18,224 Location: Nairobi
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hisah wrote:VituVingiSana wrote:@Horton - KQ senior pilots $200k+, New pilots start at $48k to $80k depending on the aircraft they are rated t fly...
As for the Crew... there are not ENOUGH crew members from the countries KQ flies to... Have you flown via Bangkok-Guangzhou-Hong Kong route. The crew shortage is very evident to cater for everyone en route to these destinations. Also the use of old planes along this long route with only one technical stop over at Bangkok onward to Guangzhou or Hong Kong is a bit wanting...
Anyway I'm still bullish on KQ and as long as 45 is still a buyers magnet level. KQ was supposed to have new 787s to replace the old 767s which is why they have the old 767s on this route. KQ is out of luck buying/leasing newer 777s as well... Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Veteran Joined: 8/30/2007 Posts: 1,558 Location: Nairobi
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@VVS... figures not quite correct...take it from me.... and lets leave it there :)
@Hisah, starting saturday its the B777Heavy to the far east and Lagos...something KQ call the orient express...
@ the deal....KQ has a whole fuel management department...basically it figures out Tankering policy etc. EG, If we were flying from Khartoum to Cairo, and then back to Khartoum, and we know that fuel in KTM is so much cheaper than Cairo(which it is) & if the Loadsheet(or weights) allow it, we carry fuel from KTM to CAIRO and back to KTM so that we dont have to refuel in Cairo. The department works out how much it will cost to carry that "extra weight" coz of the extra fuel carried and then see whether it is economically viable to carry the "through fuel" to CAIRO and back to Khartoum.
Normally, we carry the min fuel required by KQ policy, KCAA etc...in a nutshell to destination-from dest to alternate field and a few extra kgs for contingency (again the simplified version). Coz extra fuel is = dead weight, and u burn fuel to carry this dead weight....
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Rank: Elder Joined: 12/9/2009 Posts: 6,592 Location: Nairobi
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So assuming KQ management is unable to convince akina Atwoli to postpone the Friday strike, my prediction is we'll see KQ @30smthn.... What do you think?
BBI will solve it :)
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Rank: Veteran Joined: 8/30/2007 Posts: 1,558 Location: Nairobi
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Rank: Chief Joined: 1/3/2007 Posts: 18,224 Location: Nairobi
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Horton wrote:@VVS... figures not quite correct...take it from me.... and lets leave it there :) Gasp! You mean even higher???  I chose the wrong profession! Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 1/3/2007 Posts: 18,224 Location: Nairobi
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Horton wrote:I WOULD BUY AT 30 Since you are an on the ground with the knowledge jamaa... What is the max you wud buy KQ for? [Without the strike] Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 1/21/2010 Posts: 6,675 Location: Nairobi
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VituVingiSana wrote:Horton wrote:I WOULD BUY AT 30 Since you are an on the ground with the knowledge jamaa... What is the max you wud buy KQ for? [Without the strike] I'm thinking it looks attractive at 35bob.... I might just dig in if it gets there Mark 12:29
Deuteronomy 4:16
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Rank: Chief Joined: 8/4/2010 Posts: 8,977
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@Horton - Oh, that's nice if new machines are ready for business. I hope the entertainment units work ;-) That longhaul flight of many hours with a none working audio or video channel is such a torture. I'm still too poor to afford the 1st class comforts. @2012 - At that 30/- I'd be buying more unless something is very wrong with the firm's fundamentals. $15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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Rank: Veteran Joined: 3/16/2009 Posts: 1,464
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Good people,
After a 12 month fight bravely borne, I have taken my flight at 45.
It's an extremely PAINFUL( 32% )loss, but I just figured the worst days lie ahead.
Remember UCHUMI!!
Banks......here I come.
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Rank: Elder Joined: 2/7/2007 Posts: 11,935 Location: Nairobi
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@Pierce, What? Nothing great was ever achieved without enthusiasm.
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Rank: Veteran Joined: 3/16/2009 Posts: 1,464
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Njunge, Ni nini? Nimeuza ndege 
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Rank: Veteran Joined: 8/11/2010 Posts: 1,011 Location: nairobi
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Pierce wrote:Good people,
After a 12 month fight bravely borne, I have taken my flight at 45.
It's an extremely PAINFUL( 32% )loss, but I just figured the worst days lie ahead.
Remember UCHUMI!!
Banks......here I come. i bought at 60 and sold at 50 and headed to diamond and equity
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Rank: Elder Joined: 9/25/2009 Posts: 4,534 Location: Windhoek/Nairobbery
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Pierce wrote:Good people,
After a 12 month fight bravely borne, I have taken my flight at 45.
It's an extremely PAINFUL( 32% )loss, but I just figured the worst days lie ahead.
Remember UCHUMI!!
Banks......here I come. i think u just made a mistake u will regret not long but verry soon...i started buying at 52.5 now my average buying price is 46.7...Nov the 5th is not far away..
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Rank: Elder Joined: 7/21/2010 Posts: 6,191 Location: nairobi
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Am praying this counter stays down coz accesskenya is about to give me the ticket to board the boeing in a big way. "Don't let the fear of losing be greater than the excitement of winning."
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KQ in 2010-11 (Boom, Bust or Blah)
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