Wazua
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Kenya Airways...why ignore..
Rank: Chief Joined: 1/3/2007 Posts: 18,078 Location: Nairobi
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obiero wrote:VituVingiSana wrote:obiero wrote:Ericsson wrote:KQ will make the biggest loss in Kenya's corporate history.
I foresee minimum loss ksh.18bn before tax.
This will wipe out all the retained earnings and company will now be technically insolvent Pepo mbaya. Wit the sale of four planes and the 'unfortunate' sale embakasi land, do you think what you have written is possible?? 1) Are the planes being 'retired' leased or owned by KQ? 2) If they are owned by KQ, what is the estimated selling price vs the Book Value? If the BV is higher than the Selling Price then KQ has to book a loss for the difference. 3) If the planes have loans and these loans are equal or greater than the Selling Price, then KQ gets ZERO cash from the sales. 4) Has KQ sold the land in Embakasi? If the process is ongoing then KQ cannot apply the proceeds/profits in FY 2014-15. No. 1 & 2 are rhetorical, but I ask: 3)if the proceeds from sale are used to reduce debt. Is it a bad thing?? 4)The land sale agreement though incomplete/ongoing can be provided for in the accounts Why are 1 & 2 rhetorical? I do not follow KQ as closely as you do. Please answer the questions so it can help the rest of us understand KQ better. Good for KQ if it can reduce the debt but these are cheap loans. Anyway, lower debt = lower finance costs. If they can sell the planes at Loan Values. Anything less than that means KQ has to find the cash for the difference! No, when you are selling something prudence (sensible auditors) doesn't allow you book profits for a deal not done. What KQ can book - if the deal is signed - the deposit if it is non-refundable. Until the land is under contract, and the Buyer doesn't have a way out without breaching the contract, KQ cannot book profits for a 'future sale' of the property. Prudence (IFRS) expects profits are booked when the likelihood of getting paid by the Buyer are very high. To be safe, one books profits AFTER the cash is received. When you buy a ticket from KQ to fly in May 2015, it does not book the 'potential profit' from the sale in FY 2014-15 but the fare/proceeds are booked as a Liability until you fly when it moves into Revenue for the then current period (FY 2015-16). 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: 18,078 Location: Nairobi
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obiero wrote:loading up still. will only rest when I reach 200,000 shares.. im not blind to the troubles being faced at the moment but I am certain that a 180 degree turn around shall come, soon. Possibly before 2018 Are you pumping KQ up so you can make the smart decision & dump?   Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Veteran Joined: 11/15/2013 Posts: 1,977 Location: Here
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obiero wrote:whenever I tell you about inside issues please do not question my information.. oneni sasa.. Yes frofet! Your portfolio looks better now  was worried at 90%+ KQ. Everybody STEALS, a THIEF is one who's CAUGHT stealing something of LITTLE VALUE. !!!
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Rank: Elder Joined: 6/23/2009 Posts: 13,487 Location: nairobi
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Boris Boyka wrote:obiero wrote:whenever I tell you about inside issues please do not question my information.. oneni sasa.. Yes frofet! Your portfolio looks better now was worried at 90%+ KQ. Fear not brother. I have decided to go long haul on KQ. Everyone knows for sure, it will post a loss in its FYR as at 31.03.2015.. I am picking the bottom, since it cant possibly go lower than KES 8 per share
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 23,800 ABP 6.45
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Rank: Elder Joined: 6/20/2012 Posts: 3,855 Location: Othumo
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obiero wrote:Boris Boyka wrote:obiero wrote:whenever I tell you about inside issues please do not question my information.. oneni sasa.. Yes frofet! Your portfolio looks better now was worried at 90%+ KQ. Fear not brother. I have decided to go long haul on KQ. Everyone knows for sure, it will post a loss in its FYR as at 31.03.2015.. I am picking the bottom, since it cant possibly go lower than KES 8 per share Kwani this portfolio keeps changing everyday Thieves
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Rank: Member Joined: 7/3/2014 Posts: 245
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Did I just hear ngunze state on national tv that KQ is hedging up to 80% of their fuel budget and their bill is higher than current fuel prices. In the world of securities, courage and patience become the supreme virtues after adequate knowledge and a tested judgment are at hand.
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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KQ is technically very week. Price is about to collapse with a rebound no where in sight. Decided to cut my losses on my speculative KQ holdings in put the money in a more promising stock. Life is short. Live passionately.
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Rank: Veteran Joined: 11/15/2013 Posts: 1,977 Location: Here
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sparkly wrote:KQ is technically very week. Price is about to collapse with a rebound no where in sight.
Decided to cut my losses on my speculative KQ holdings in put the money in a more promising stock.
 Very wise decision. By that 2017/18 of @obiero (if luck arises) you will have recovered the loss and made handsome gains in some other stocks. Everybody STEALS, a THIEF is one who's CAUGHT stealing something of LITTLE VALUE. !!!
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Rank: Member Joined: 7/2/2014 Posts: 123
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TheGeek wrote:Did I just hear ngunze state on national tv that KQ is hedging up to 80% of their fuel budget and their bill is higher than current fuel prices. kq should do away with hedging that has consistently made them losses. and anyway who couldn't guess fuel prices were going down with all these oil deposits discovery everywhere. ,
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Rank: Elder Joined: 7/21/2010 Posts: 6,180 Location: nairobi
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This man admitting he is paying his workforce with debt money,how long can he do that?? "Don't let the fear of losing be greater than the excitement of winning."
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Rank: Elder Joined: 6/23/2009 Posts: 13,487 Location: nairobi
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mlennyma wrote:This man admitting he is paying his workforce with debt money,how long can he do that?? Hehe. That was embarassing. But what did u expect him to say?? my only problem with the interview is when he said 'we do not need a bail out at the moment'.. that means he believes we can get there
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 23,800 ABP 6.45
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Rank: Chief Joined: 1/13/2011 Posts: 5,964
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ike wrote:TheGeek wrote:Did I just hear ngunze state on national tv that KQ is hedging up to 80% of their fuel budget and their bill is higher than current fuel prices. kq should do away with hedging that has consistently made them losses. and anyway who couldn't guess fuel prices were going down with all these oil deposits discovery everywhere. A credibility issue arose to me btwn the annual report & bloggers, whereby the last annual report indicated 51% hedge to Mar. 2015. So when were the 80% hedges done? Since I'd like to rely more on the annual report.. At 80% hedge then it means for every 100 bob KQ spent on fuel it is now spending 90 bob? A wild guess of efficiency of the 'youngest fleet in Africa' of 15% gives 67.5 bob. Heh, the fuel drop is/was the easiest trick in the book. Now, it will take deep scalping. Those new routes better be worth the hustle. Let's see.
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Rank: Elder Joined: 6/23/2009 Posts: 13,487 Location: nairobi
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Cde Monomotapa wrote:ike wrote:TheGeek wrote:Did I just hear ngunze state on national tv that KQ is hedging up to 80% of their fuel budget and their bill is higher than current fuel prices. kq should do away with hedging that has consistently made them losses. and anyway who couldn't guess fuel prices were going down with all these oil deposits discovery everywhere. A credibility issue arose to me btwn the annual report & bloggers, whereby the last annual report indicated 51% hedge to Mar. 2015. So when were the 80% hedges done? Since I'd like to rely more on the annual report.. At 80% hedge then it means for every 100 bob KQ spent on fuel it is now spending 90 bob? A wild guess of efficiency of the 'youngest fleet in Africa' of 15% gives 67.5 bob. Heh, the fuel drop is/was the easiest trick in the book. Now, it will take deep scalping. Those new routes better be worth the hustle. Let's see. Btw, ngunze admitted that they have leeway to hedge upto 80%, not that they had hedged by that margin
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 23,800 ABP 6.45
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Rank: Elder Joined: 6/23/2009 Posts: 13,487 Location: nairobi
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King G wrote:obiero wrote:Boris Boyka wrote:obiero wrote:whenever I tell you about inside issues please do not question my information.. oneni sasa.. Yes frofet! Your portfolio looks better now was worried at 90%+ KQ. Fear not brother. I have decided to go long haul on KQ. Everyone knows for sure, it will post a loss in its FYR as at 31.03.2015.. I am picking the bottom, since it cant possibly go lower than KES 8 per share Kwani this portfolio keeps changing everyday Everyone here knows I liquisated KCB.. I am highly liquid :)
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 23,800 ABP 6.45
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Rank: Chief Joined: 1/3/2007 Posts: 18,078 Location: Nairobi
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I missed that interview. Any links? 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: 18,078 Location: Nairobi
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obiero wrote:Boris Boyka wrote:obiero wrote:whenever I tell you about inside issues please do not question my information.. oneni sasa.. Yes frofet! Your portfolio looks better now was worried at 90%+ KQ. Fear not brother. I have decided to go long haul on KQ. Everyone knows for sure, it will post a loss in its FYR as at 31.03.2015.. I am picking the bottom, since it cant possibly go lower than KES 8 per share It could not go below 20, then it could not go below 18, then it could not go below 15, 14, 12, 11, 10, 9... and now 8. 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: 18,078 Location: Nairobi
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obiero wrote:King G wrote:obiero wrote:Boris Boyka wrote:obiero wrote:whenever I tell you about inside issues please do not question my information.. oneni sasa.. Yes frofet! Your portfolio looks better now was worried at 90%+ KQ. Fear not brother. I have decided to go long haul on KQ. Everyone knows for sure, it will post a loss in its FYR as at 31.03.2015.. I am picking the bottom, since it cant possibly go lower than KES 8 per share Kwani this portfolio keeps changing everyday Everyone here knows I liquisated KCB.. I am highly liquid :) KQ is at 8.60 ... cheaper than ever! Load up. Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 6/23/2009 Posts: 13,487 Location: nairobi
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VituVingiSana wrote:obiero wrote:King G wrote:obiero wrote:Boris Boyka wrote:obiero wrote:whenever I tell you about inside issues please do not question my information.. oneni sasa.. Yes frofet! Your portfolio looks better now was worried at 90%+ KQ. Fear not brother. I have decided to go long haul on KQ. Everyone knows for sure, it will post a loss in its FYR as at 31.03.2015.. I am picking the bottom, since it cant possibly go lower than KES 8 per share Kwani this portfolio keeps changing everyday Everyone here knows I liquisated KCB.. I am highly liquid :) KQ is at 8.60 ... cheaper than ever! Load up.
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 23,800 ABP 6.45
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Rank: Elder Joined: 12/4/2009 Posts: 10,657 Location: NAIROBI
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And the loss will be bigger than ever Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
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Rank: Elder Joined: 7/21/2010 Posts: 6,180 Location: nairobi
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obiero wrote:mlennyma wrote:This man admitting he is paying his workforce with debt money,how long can he do that?? Hehe. That was embarassing. But what did u expect him to say?? my only problem with the interview is when he said 'we do not need a bail out at the moment'.. that means he believes we can get there he could not talk of a bailout on a national television, the panic resulting to such a bladder could have wiped out any remaining hopes, going under is usually a well hidden secret by managements until hell breaks loose,in fact in most cases its creditors who move in.imagine a company without cash reserves?? "Don't let the fear of losing be greater than the excitement of winning."
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