It is better for AirAsia to have a light balance sheet and to focus on what it does best... ie running a low cost airline..

SELL AND LEASE BACK... SELL AND LEASE BACK...

The sell and lease back.. if done successfully will solve the problem of high gearing and the forex headache with the USD loans...

The 150 airplanes to be sold..... in USD, of course... indeed are serving the purpose of a natural hedge against the USD loans taken to buy them....simply because they will be sold in USD

Yes yes with the very high USD : RM exchange rate, as high as possible please; now is indeed a good time to sell airplanes. Fantastic timing!

Tony appears to be on top of things...

USD as high as possible please!

If AirAsia has in fact hedged the non current portion which is due from 2 years upto 14 years then it is in fact speculating in derivatives...

My question is... How do you hedge something which is just even more than 12 months when you are not even able to see the trend for less than 12 months with a certain level of accuracy???

Under contact... What mean??

The one thing that may mess up AirAsias figures again would be the USD

31. Borrowings and debt securities

RM.... At 31/12/2014

Current 2,274,928,000
Non-current 10,453,090,000
Total Debt 12,728,018,000

As at 31/12/2014, AirAsia has RM 12.7 billions loans of which approximately 85% was in USD and 50% of this was hedged per its risk management policy

However, out of this only RM 2.2 billions were current ie due within the next 12 months........ and the current portion is the only portion where the forex risk is a "clear and present danger" which should be managed by hedging normally to reduce the forex risk exposure.

The rest amounting to RM 10.5 billions was long term with due date ranging from 2 years upto 14 years, as such, need not be hedged at all as its forex risk exposure is neither "clear" non "present" at all.

The point is the only portion that will really impart on the income statement and cash flow is the current portion at only RM 2.2 billions.

The forex translation gain/loss of the non current portion is really only in paper... and will swing from gain/loss throughout its tenure of upto 14 years.... and is inconsequential

The Wellingtons are keeping the faith too....

Looking more and more like OLH is doing the other sides a big favour...

All the waking up early for nothing : (

But keeping the faith....

Yes.... set the alarm clock early to wake me to key in ler... ; )

but by the look of it now... like they really have billions shares to sell o

Got it at 2.20 this morning....

Taking that 12,000+ lots at 2.06 at the top of the sell queue yesterday... as the sign of copulation liao

Hope I am right...

Even with the Wellington buying... the selling has been that fierce and the price has dropped that much....

Big big forces are selling.... Big big forces are selling...

Dear Wellington..... nice seeing you...

Still......

Create a false support to let the buy queue build up..... then dump

Selling done very professionally....



2,783,000,000 × 60% = 1,669,800,000 of foreign shareholders


Very roughly roughly 5% of them have sold off in past few days when the price kept dropping......

Are they done yet??


But...... I am rather sure they will try their best and make sure the cut loss price will never be touched... unless they are really really just wtf whatever just wanna get the hell of out of here

More people buying in anticipation....

One.. two.. three.. four... five... six... bubbles.... seen surfacing lazily... one day closer to good time

2,783,000,000 × 60% = 1,669,800,000 × 5% = 83,490,000

Very roughly roughly 5% of 'em foreign funds have sold off in past few days when the price kept dropping......

4th batch...... almost masuk longkang too

If they do a cut loss price for you tomorrow.................................. How?

Last minutes also dumped at 2.21..............................................

Shazza I have fate in AirAsia due to inconsequential forex loss.. low oil prices.. sale and lease back....

But till this 4 RM to 1 USD by year end thingy runs its course it may be smart to follow the Wellingtons and smartly step aside... but KIV closely

You Bought AA at 2.40+ ??

Can you feel the Wellingtons......?? think they have smartly stepped aside in the last 3 or 4 days

The relentless selling must be neutralised has got to be absorbed .................

HaHa

Hold on boys hold on!!!

I am with you!! I am with you!!

The difference today is.... more people around to buy... selling is just as furious

Local traders soaking it up.... left right right right left upper hook.... left swing.. hold on boys hold on!!!

It is the expectation of stronger USD... unwinding of carry trade.. capital reversal.. risk off... bla bla bla.. thing

And.... this thing has got to run its course

Up till now local traders hardly can take on the foreign funds.... ain't gonna be pretty

I am not adverse to AirAsia dropping again....

Buy lo... this is what we are waiting for


r°Moi Ya... threatening to be so... buy slowly.... not a good idea to queue

Still have bullet... when it goes there... I will be there
10/03/2015 12:15

RIP

Just that..... at this moment foreign funds just lumped everything with 1MDB and dump.. dump... dump

This is hurting my complexion : (

For me... it is simple

effect of forex in future... way into the future

effect of low oil prices immediate... even now

sweet eventually.... I am pretty sure I am pretty sure............ ; )

Sweet..... bitter................ sweet....... sweet eventually

I see it as an opportunity too..........................................................

I have had profit from AirAsia earlier.. that was why I already went in at below 2.40.... luckily the price dropped so fast... that I still have bullets now

AirAsia's foreign shareholders during good time was 60%.....

based on USD:RM...... 3.70 to 4.00... still 8% more for the RM to drop

Given this..... If you are foreign funds what would you do??

But based on USD:RM...... 3.70 to 4.00... still 8% more for the RM to drop

Based on fundamentals..... quite some time ago

Haha... quite some time ago................... if you are holding mid to long term

2.19 52 weeks low

when the buy queue at 2.19 built up to 7190 lots.... they dumped at 2.19 in one go

It is a good thing the price has fallen so fast..... too fast to buy

Ya.... there you go..... 7190 is big enough ler...............

me as well........................................................................................................................................

If the buy queue at 2.19 has built up big enough... then yes

AirAsia is really screwed... ???

Forces bigger than the Wellingtons are selling...

Forced selling of contra players too??

Posted by r°Moi > Mar 18, 2015 09:33 AM | Report Abuse X


Create a false support for the buy queue to build up... then dump

Create a false support for the buy queue to build up... then dump

Create a false support for the buy queue to build up... then dump


The selling has beeen very professionally done...

Remember... it is a bundled deal