Posted by BN_menang > 2016-11-17 17:56 | Report Abuse

So USD strengthening not all bad?

Posted by 股海無涯 > 2016-11-17 18:56 | Report Abuse

USD strengthen again MYR definitely is bad for AA, but not as bad as MANY investors read and feel in the financial report. other than borrowing, there is Fuel, MRO Expenses, interest which is paying in USD, which will giving pressure on AA margin. however, with good load factor and reasonable pace of expansion, i do not c the problem as bad as 1-2 years ago. actually other than exchange rate, i am quit positive on other factor.

Posted by ronnietan > 2016-11-17 20:40 | Report Abuse

What about the question of the 42% of USD loans not hedged?
Unrealised forex losses are just "book numbers" but when repayments r due, the numbers are real at current RM rates.
RM could be higher then, or lower, no one knows, so we've a scenario at current rates.

Posted by Air_Asia > 2016-11-17 20:44 | Report Abuse

When is unhedged USD payment due date? Is it this mth, next mth, next year or ?

Posted by ronnietan > Nov 17, 2016 08:40 PM | Report Abuse
What about the question of the 42% of USD loans not hedged?
Unrealised forex losses are just "book numbers" but when repayments r due, the numbers are real at current RM rates.
RM could be higher then, or lower, no one knows, so we've a scenario at current rates.

Posted by ronnietan > 2016-11-17 20:47 | Report Abuse

If sale proceeds from the leasing arm are retained, it would offset the enlarged USD loans.
But what if the proceeds are dividend out for the owners to repay their own loans?
And if BNM remains silent on Tony's application for USD loans, and his AirAsia stake's not increased, will he still sell leasing?

Posted by MuttonCurry > 2016-11-17 21:14 | Report Abuse

Wait for results ... insider tells me market may not like the latest news on AWC. Nothing else matters even if by some remote chance AA does better than their last results (which i doubt)

It is still a good counter with rich cash flow ... though

Posted by Daniel Yap > 2016-11-17 22:23 | Report Abuse

Good sharing. Home work very important. To all Airasia same boat bro and sis. No worries. U can compare Aax and Airasia previous financial report, the effects on usd strengthen is not that serious. My estimate Aax coming qtr report easily net profit rm50mil-80mil , Airasia estimate net profit on coming qtr report easily can hit rm300mil and above.

Posted by ronnietan > 2016-11-17 23:55 | Report Abuse

What about Q4, if USD closes at RM4.40?