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Kenya Airways FY 2014 loss of 4.8bn!!!
VituVingiSana
#51 Posted : Thursday, June 26, 2014 7:22:54 AM
Rank: Chief

Joined: 1/3/2007
Posts: 18,347
Location: Nairobi
I always refer to this blogpost whenever I even feel the slightest urge to buy KQ
http://coldtusker.blogsp...-rights-issue-2012.html
And then I am cured.

Also http://coldtusker.blogsp...ther-kenya-airways.html

And I am glad @obiero did not jump out a plane without a parachute that opens Laughing out loudly Laughing out loudly Laughing out loudly
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Kausha
#52 Posted : Thursday, June 26, 2014 8:31:22 AM
Rank: Member

Joined: 2/8/2007
Posts: 808
Nobody is hating on the company we are just rubbishing management and board because numbers are what they are. Safcom stock was rubbished because of the way the stock was trading notwithstanding the evergreen numbers. Investors got frustrated by how the stock would be dumped in the market by Morgan stanley and their ilk despite good numbers. In the airways case we have not even discussing the stock trading pattern we are discussing fundamendos! Fundamendoz ziko down because of management and board. You don't fix revenues. In the real sense of the world KQ already charges premium rates and is making losses which is another inherent weakness which can be exposed anytime. I keep asking where is this dreamliners will go and make more money that KQ has not been to. CDG was already closed. Reopening it worries me. Perhaps Beijing or Shanghai may be. Key argument is management is not ontop of their business and the numbers have been telling us that for a very long while.

2012
#53 Posted : Thursday, June 26, 2014 8:37:07 AM
Rank: Elder

Joined: 12/9/2009
Posts: 6,592
Location: Nairobi
Yaani KQ searched all around the world for Naikuni's replacement only to settled on their COO Mbuvi Ngunze?

How can he offer solutions to problems he helped create?

BBI will solve it
:)
Angelica _ann
#54 Posted : Thursday, June 26, 2014 8:39:29 AM
Rank: Elder

Joined: 12/7/2012
Posts: 11,935
2012 wrote:
Yaani KQ searched all around the world for Naikuni's replacement only to settled on their COO Mbuvi Ngunze?

How can he offer solutions to problems he helped create?


Ati head hunting.. laughable at best! Head hunt internally. Sorry for guys trapped in there!
In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
streetwise
#55 Posted : Thursday, June 26, 2014 11:14:14 AM
Rank: Veteran

Joined: 6/23/2011
Posts: 1,740
Location: Nairobi
If I remember my strategy professor right if the company id doing well you may prompote from internal, when doing badly then you need outside help.
VituVingiSana
#56 Posted : Thursday, June 26, 2014 11:28:24 AM
Rank: Chief

Joined: 1/3/2007
Posts: 18,347
Location: Nairobi
@Kausha

1) Unless KQ plans to leverage on connections via Air France/CDG but I see few advantages over KLM/Schipol from where KLM flies all over the world [esp European destinations + North America]. I do not understand why CDG over Germany or Italy for the tourists. Though do not discount the lucrative Francophone market [including Burundi, Congo, Mauritius] as well as Lusophone [Mozambique, Angola] without strong airlines & connections.

2) Beijing [government + tourist traffic] is on the cards but Guangzhou will get first crack with the larger planes eg 777-300 thanks to the business/cargo traffic onwards to West Africa.

3) The 767s are being systematically withdrawn and replaced by the 787s. Primarily to European destinations. JHB will also see 787s as soon as the 787 #2 is ready.

All that said... Intra-African travel is mostly about price NOT comfort so the 3-3-3 config is not as profitable as a 3-4-3 config. If someone wants more room, they can buy a Premium Economy seat!

I am staying away until I can review the progress, if any, in 2015.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
jawgey
#57 Posted : Thursday, June 26, 2014 11:48:20 AM
Rank: Member

Joined: 1/13/2014
Posts: 398
Location: Denmark
Let people stay away and offer us discounted prices to accumulate then when everybody starts to scramble for a piece, they help push up the price(I offload like half my holding to them and recoup my initial investment) and we are all happy. smile
Seeing is believing
Kaffir
#58 Posted : Thursday, June 26, 2014 12:23:25 PM
Rank: Member

Joined: 5/8/2008
Posts: 77
It is clearly not a well run company. I travel alot in the region and have always used them, but of late i have doubts about its capacity to make money. For example, i travelled to JHB and back in the past 2 weeks. On the outbound flight, we left 4 hours late after they 'had to find an alternate pilot' - no explanations, just 'sorry for the late departure'. Most people i was with were swearing it off. I missed my connection in JHB to Manzini and had to spend a night in JHB - at their expense. On return, i arrive at JHB and am informed the flight is cancelled, and i was bundled onto the next flight. Again, many fellow travellers were swearing it off!. If you are bleeding potential clients, on such an important route, how do you intend to fill those seats in the nice new planes? Now, i only consider KQ as a last resort airline - where there are no alternatives (irrespective of ticket price). Im sure there are many like me, who travel alot but grudgingly use KQ. I feel for its investors. Its just like Uchumi - a brand burning through its goodwill like a hot knife through butter!
Aguytrying
#59 Posted : Thursday, June 26, 2014 5:53:28 PM
Rank: Elder

Joined: 7/11/2010
Posts: 5,040
@ kaf now calculate and find 'x' the common denominator.
The investor's chief problem - and even his worst enemy - is likely to be himself
Sufficiently Philanga....thropic
#60 Posted : Friday, June 27, 2014 10:58:45 AM
Rank: Elder

Joined: 9/23/2010
Posts: 2,225
Location: Sundowner,Amboseli
Trading at 9.50 ATM
@SufficientlyP
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