Wazua
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Kenya Airways...why ignore..
Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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sparkly wrote:littledove wrote:https://af.reuters.com/article/commoditiesNews/idAFL8N1TO1B9Kenya Airways will resume aviation fuel hedging in the second half of this year after price volatility drove up its costs, the airline’s CEO said on Friday. The proposal would enable Kenya Airways to increase its fleet from 32 to 55 and start flying to 20 new international destinations by 2022, an official government document seen by Reuters showed. The two statements above should worry kq shareholders alot. Hedging can again backfire, buying new planes almost double the current number needs billions KQ cannot make an economic profit as long as it is exposed to competition in the international market place where national airlines are heavily subsidized. KQ can't compete with gulf airlines getting free fuel or European carriers getting loans at negative interest. To make a profit, GOK should give KQ a monopoly on uplifting passangers and cargo from Kenya. E.g. if KQ flies to London, GOK should not allow any other airline to pick from Kenya. But how come KQ used to be profitable
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Member Joined: 11/7/2017 Posts: 186 Location: Nairobi
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sparkly wrote:littledove wrote:https://af.reuters.com/article/commoditiesNews/idAFL8N1TO1B9Kenya Airways will resume aviation fuel hedging in the second half of this year after price volatility drove up its costs, the airline’s CEO said on Friday. The proposal would enable Kenya Airways to increase its fleet from 32 to 55 and start flying to 20 new international destinations by 2022, an official government document seen by Reuters showed. The two statements above should worry kq shareholders alot. Hedging can again backfire, buying new planes almost double the current number needs billions KQ cannot make an economic profit as long as it is exposed to competition in the international market place where national airlines are heavily subsidized. KQ can't compete with gulf airlines getting free fuel or European carriers getting loans at negative interest. To make a profit, GOK should give KQ a monopoly on uplifting passangers and cargo from Kenya. E.g. if KQ flies to London, GOK should not allow any other airline to pick from Kenya. If all countries only allowed their airlines to pick passengers from their country how would that work...?! Planes would need to fly empty to pick passengers from their designated countries...!
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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obiero wrote:sparkly wrote:littledove wrote:https://af.reuters.com/article/commoditiesNews/idAFL8N1TO1B9Kenya Airways will resume aviation fuel hedging in the second half of this year after price volatility drove up its costs, the airline’s CEO said on Friday. The proposal would enable Kenya Airways to increase its fleet from 32 to 55 and start flying to 20 new international destinations by 2022, an official government document seen by Reuters showed. The two statements above should worry kq shareholders alot. Hedging can again backfire, buying new planes almost double the current number needs billions KQ cannot make an economic profit as long as it is exposed to competition in the international market place where national airlines are heavily subsidized. KQ can't compete with gulf airlines getting free fuel or European carriers getting loans at negative interest. To make a profit, GOK should give KQ a monopoly on uplifting passangers and cargo from Kenya. E.g. if KQ flies to London, GOK should not allow any other airline to pick from Kenya. But how come KQ used to be profitable Paper profits from creative accounting including but not limited to; 1. Fuel hedging profits 2. Sale and leaseback of assets 3. Advance recognition of revenue (recognising ticket sales for tuture travel as earned) 4. Under recognition of liabilities from delays and cancellations. Economic profits on the other hand are self evident. An economically profitable firm: 1. Grows its NBV at a rate equal to or higher than general economic growth; 2. Generates free cash flows to replace or upgrade assets; 3. Pays an increasing dividend or maintains healthy cash reserves for acquisitions 4. Debt if any is maintained at low levels Life is short. Live passionately.
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Rank: Elder Joined: 3/29/2011 Posts: 2,242
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sparkly wrote:obiero wrote:sparkly wrote:littledove wrote:https://af.reuters.com/article/commoditiesNews/idAFL8N1TO1B9Kenya Airways will resume aviation fuel hedging in the second half of this year after price volatility drove up its costs, the airline’s CEO said on Friday. The proposal would enable Kenya Airways to increase its fleet from 32 to 55 and start flying to 20 new international destinations by 2022, an official government document seen by Reuters showed. The two statements above should worry kq shareholders alot. Hedging can again backfire, buying new planes almost double the current number needs billions KQ cannot make an economic profit as long as it is exposed to competition in the international market place where national airlines are heavily subsidized. KQ can't compete with gulf airlines getting free fuel or European carriers getting loans at negative interest. To make a profit, GOK should give KQ a monopoly on uplifting passangers and cargo from Kenya. E.g. if KQ flies to London, GOK should not allow any other airline to pick from Kenya. But how come KQ used to be profitable Paper profits from creative accounting including but not limited to; 1. Fuel hedging profits 2. Sale and leaseback of assets 3. Advance recognition of revenue (recognising ticket sales for tuture travel as earned) 4. Under recognition of liabilities from delays and cancellations. Economic profits on the other hand are self evident. An economically profitable firm: 1. Grows its NBV at a rate equal to or higher than general economic growth; 2. Generates free cash flows to replace or upgrade assets; 3. Pays an increasing dividend or maintains healthy cash reserves for acquisitions 4. Debt if any is maintained at low levels Very True. Even a small trader would tell you, the way they know if they are making a profit is the cash in the till at the end of the day. The rest is normally accounting gymnastics- accruals, deferred income/tax, prepayments, hedging, puts, options, the list is endless. "Things that matter most must never be at the mercy of things that matter least." Goethe
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Rank: Elder Joined: 12/4/2009 Posts: 10,639 Location: NAIROBI
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Yaliyopita si ndwele tugange yajayo. The KQ of the past is gone.No need to spend too much talking about it. Let's talk about KQ of today and the future. Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
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Rank: Veteran Joined: 4/23/2014 Posts: 903
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mlennyma wrote:littledove wrote:https://af.reuters.com/article/commoditiesNews/idAFL8N1TO1B9Kenya Airways will resume aviation fuel hedging in the second half of this year after price volatility drove up its costs, the airline’s CEO said on Friday. The proposal would enable Kenya Airways to increase its fleet from 32 to 55 and start flying to 20 new international destinations by 2022, an official government document seen by Reuters showed. The two statements above should worry kq shareholders alot. Hedging can again backfire, buying new planes almost double the current number needs billions Kenol kobil should stay very far from this gumbler Remember your Quote :- "Don't let the fear of losing be greater than the excitement of winning.“You can get in way more trouble with a good idea than a bad idea, because you forget that the good idea has limits.” - Ben Graham
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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Ericsson wrote:Yaliyopita si ndwele tugange yajayo.
The KQ of the past is gone.No need to spend too much talking about it.
Let's talk about KQ of today and the future. Some investors quickly bury their heads under the sand when the uncomfortable truth is pointed out. Life is short. Live passionately.
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Rank: Member Joined: 5/29/2016 Posts: 898 Location: Nairobi
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sparkly wrote:littledove wrote:https://af.reuters.com/article/commoditiesNews/idAFL8N1TO1B9Kenya Airways will resume aviation fuel hedging in the second half of this year after price volatility drove up its costs, the airline’s CEO said on Friday. The proposal would enable Kenya Airways to increase its fleet from 32 to 55 and start flying to 20 new international destinations by 2022, an official government document seen by Reuters showed. The two statements above should worry kq shareholders alot. Hedging can again backfire, buying new planes almost double the current number needs billions KQ cannot make an economic profit as long as it is exposed to competition in the international market place where national airlines are heavily subsidized. KQ can't compete with gulf airlines getting free fuel or European carriers getting loans at negative interest. To make a profit, GOK should give KQ a monopoly on uplifting passangers and cargo from Kenya. E.g. if KQ flies to London, GOK should not allow any other airline to pick from Kenya. KQ can make profit. It has been doing so. Only corruption and mismanagement wipes out everything. If you add up what was lost, it is equal to the loss reported. If Mikosz stays for 5 years, you will see changes in KQ. The forensic audit unearthed massive looting, poor decision making leading to huge cashoutflows and even fuel being purchased at a price determined by the supplier.
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Rank: Member Joined: 5/29/2016 Posts: 898 Location: Nairobi
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This article gives a glimse of why KQ is struggling now. Fuel getting lost at the store - Just imagine The guy in charge of Procurement and the other one in charge of fuel were not sent away for nothing. http://www.theeastafrica...8194-qtvp0lz/index.html
Quote:The auditors, through forensic data analytics, also established that the jet oil issued from KQ’s stores was significantly higher than the actual consumption.
“Based on the recalculation, we could not account for $393,518 worth of jet oil due to the absence of supporting documentation for the stock issues,” the report states.
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Rank: Member Joined: 5/29/2016 Posts: 898 Location: Nairobi
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This is the guy who was mismanaging jet fuel procurement. He even owns a petrol station. Brian Mbuti - Manager In-flight and jet fuel procurement. He was sent away. http://www.thecitizen.co...131240-q07772/index.html
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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Carol Musyoka (Musyoka's daughter), Esther Koimett(Biwott's daughter) and Dr Oduor(self made) join the KQ Board
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Elder Joined: 2/26/2012 Posts: 15,979
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obiero wrote:Carol Musyoka (Musyoka's daughter), Esther Koimett(Biwott's daughter) and Dr Oduor(self made) join the KQ Board Musyoka who? Koimett on behalf of treasury "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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muandiwambeu wrote:obiero wrote:muandiwambeu wrote:obiero wrote:sparkly wrote:obiero wrote:sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn..  A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ.. You own a 10 bedroom palace. Your neighbor takes over the palace but lets you keep the bathroom. The palace is indifferent but Mrs Obiero will not be amused, donge? Hehe. Omera. That's a nasty example. A better fit would be.. I used to own 24 bottles of wine worth KES 700 each but now I am told that due to other traders price adjustment I should consider that despite several broken bottles during transportation, my 2 remaining wine bottles are now worth KES 450 but that the dealer due to our long business relationship has offered a purchase of each new bottle at a subsidized price of KES 150 each. Further and more shockingly the dealer announces that all the old and next incoming shipment would retail at KES 852 as from 08.08.17. I think it's fair You do not hold the market by the balls @Obiero. You may set the price like its already set at kshs 5/= but trade at kshs 4/= bob market price. The market does not work with your EGM mad men's resolutions. The market is independent and very rational to give u adjustments for your crazy decisions. Look already for the Mr markets mood and see if you are catching a flu too  Hehe. Sasa mad men ni Michael Joseph au nani , hata uwekelee jina la st Theresa hapo, iwezi shine. Kama ni mbaya ni mbaya, the gentleman will soon or later confess this to be his second corporate blunder after giving free talk time to Kenyans. A good manager putting his good reputation before a business with bad reputation, only the managers reputation suffers.  for those who needed to always be reminded, let me remind wazua that after safcom with a total of 40bn shares, kq comes next for lack of other words at 30.171445258 bn shares and for clarity not kenya shillings after the employees share ownership programme that allocated 142.164588 worth 1.4bn at the date of announcement free of charge, further diluting minority shareholders without mercy. .   ,Behold, a sower went forth to sow;....
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Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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obiero wrote:I will respond to this post on 23.06.2018 and since @ovyo-ovyo did issue this date ovyo-ovyo, let me get some hard facts here for you to digest Net asset(N.A) N.A=5,806,000,000/ shares incl esop** 30,171,445,258 Number per share 5,806,000,000/30,171,445,258/= equating to 0.1924/= Approximately 20cents per share. The BIG quiz is why above twenty cents all the way to 11/=. No wonder kqlcs is eager to jettison this monkey totting a shotgun in a house of glass full of mortals ,Behold, a sower went forth to sow;....
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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muandiwambeu wrote:obiero wrote:I will respond to this post on 23.06.2018 and since @ovyo-ovyo did issue this date ovyo-ovyo, let me get some hard facts here for you to digest Net asset(N.A) N.A=5,806,000,000/ shares incl esop** 30,171,445,258 Number per share 5,806,000,000/30,171,445,258/= equating to 0.1924/= Approximately 20cents per share. The BIG quiz is why above twenty cents all the way to 11/=. No wonder kqlcs is eager to jettison this monkey totting a shotgun in a house of glass full of mortals Hehe. You are very funny
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Elder Joined: 6/23/2009 Posts: 13,475 Location: nairobi
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Meanwhile 827 KQ staff to be vetted by American Embassy in Kenya prior to USA flight green light
HF 30,000 ABP 3.49; KQ 414,100 ABP 7.92; MTN 15,750 ABP 6.45
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Rank: Chief Joined: 1/3/2007 Posts: 18,057 Location: Nairobi
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mlennyma wrote:littledove wrote:https://af.reuters.com/article/commoditiesNews/idAFL8N1TO1B9Kenya Airways will resume aviation fuel hedging in the second half of this year after price volatility drove up its costs, the airline’s CEO said on Friday. The proposal would enable Kenya Airways to increase its fleet from 32 to 55 and start flying to 20 new international destinations by 2022, an official government document seen by Reuters showed. The two statements above should worry kq shareholders alot. Hedging can again backfire, buying new planes almost double the current number needs billions Kenol kobil should stay very far from this gumbler KK sells fuel to KQ on a COD basis. Ohana said KK supplies fuel only to those international airlines that pay within the agreed timeframe. 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: 18,057 Location: Nairobi
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ArrestedDev wrote:This article gives a glimse of why KQ is struggling now. Fuel getting lost at the store - Just imagine The guy in charge of Procurement and the other one in charge of fuel were not sent away for nothing. http://www.theeastafrica...8194-qtvp0lz/index.html
Quote:The auditors, through forensic data analytics, also established that the jet oil issued from KQ’s stores was significantly higher than the actual consumption.
“Based on the recalculation, we could not account for $393,518 worth of jet oil due to the absence of supporting documentation for the stock issues,” the report states. Everyone but the Shareholders make money from KQ Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi
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muandiwambeu wrote:muandiwambeu wrote:obiero wrote:muandiwambeu wrote:obiero wrote:sparkly wrote:obiero wrote:sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ.. You own a 10 bedroom palace. Your neighbor takes over the palace but lets you keep the bathroom. The palace is indifferent but Mrs Obiero will not be amused, donge? Hehe. Omera. That's a nasty example. A better fit would be.. I used to own 24 bottles of wine worth KES 700 each but now I am told that due to other traders price adjustment I should consider that despite several broken bottles during transportation, my 2 remaining wine bottles are now worth KES 450 but that the dealer due to our long business relationship has offered a purchase of each new bottle at a subsidized price of KES 150 each. Further and more shockingly the dealer announces that all the old and next incoming shipment would retail at KES 852 as from 08.08.17. I think it's fair You do not hold the market by the balls @Obiero. You may set the price like its already set at kshs 5/= but trade at kshs 4/= bob market price. The market does not work with your EGM mad men's resolutions. The market is independent and very rational to give u adjustments for your crazy decisions. Look already for the Mr markets mood and see if you are catching a flu too Hehe. Sasa mad men ni Michael Joseph au nani , hata uwekelee jina la st Theresa hapo, iwezi shine. Kama ni mbaya ni mbaya, the gentleman will soon or later confess this to be his second corporate blunder after giving free talk time to Kenyans. A good manager putting his good reputation before a business with bad reputation, only the managers reputation suffers. for those who needed to always be reminded, let me remind wazua that after safcom with a total of 40bn shares, kq comes next for lack of other words at 30.171445258 bn shares and for clarity not kenya shillings after the employees share ownership programme that allocated 142.164588 worth 1.4bn at the date of announcement free of charge, further diluting minority shareholders without mercy. . Back to the issue of dilution. You buy one mzinga then the barman adds 20 litres of water. Now your 400 ml alcohol to the litre of a mzinga is reduced to 20ml. That is 2 tablespoons by the way. Life is short. Live passionately.
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Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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sparkly wrote:muandiwambeu wrote:muandiwambeu wrote:obiero wrote:muandiwambeu wrote:obiero wrote:sparkly wrote:obiero wrote:sparkly wrote:obiero wrote:muandiwambeu wrote:obiero wrote:Watch and learn.. A list of guys in a deep hole. Just because they have agreed to stop digging, does not mean they have a way out of the mess. Just because a driver as realised that a vehicle's brakes have failed does not imply a method to stop it down hill is devised, he may opt to abandon it and jump out as well. That's a very negative attitude. With a peaceful election, expect a phoenix moment One time you own 9.56% of a company then overnight you have 0.5%! If that is not shafting, i dont know what is. I believe that the restructure as explained in this document is the best way out for KQ.. You own a 10 bedroom palace. Your neighbor takes over the palace but lets you keep the bathroom. The palace is indifferent but Mrs Obiero will not be amused, donge? Hehe. Omera. That's a nasty example. A better fit would be.. I used to own 24 bottles of wine worth KES 700 each but now I am told that due to other traders price adjustment I should consider that despite several broken bottles during transportation, my 2 remaining wine bottles are now worth KES 450 but that the dealer due to our long business relationship has offered a purchase of each new bottle at a subsidized price of KES 150 each. Further and more shockingly the dealer announces that all the old and next incoming shipment would retail at KES 852 as from 08.08.17. I think it's fair You do not hold the market by the balls @Obiero. You may set the price like its already set at kshs 5/= but trade at kshs 4/= bob market price. The market does not work with your EGM mad men's resolutions. The market is independent and very rational to give u adjustments for your crazy decisions. Look already for the Mr markets mood and see if you are catching a flu too Hehe. Sasa mad men ni Michael Joseph au nani , hata uwekelee jina la st Theresa hapo, iwezi shine. Kama ni mbaya ni mbaya, the gentleman will soon or later confess this to be his second corporate blunder after giving free talk time to Kenyans. A good manager putting his good reputation before a business with bad reputation, only the managers reputation suffers. for those who needed to always be reminded, let me remind wazua that after safcom with a total of 40bn shares, kq comes next for lack of other words at 30.171445258 bn shares and for clarity not kenya shillings after the employees share ownership programme that allocated 142.164588 worth 1.4bn at the date of announcement free of charge, further diluting minority shareholders without mercy. . Back to the issue of dilution. You buy one mzinga then the barman adds 20 litres of water. Now your 400 ml alcohol to the litre of a mzinga is reduced to 20ml. That is 2 tablespoons by the way. And he proudly announces to his patrons that it's siesta time, jienjoy.... Nah. ,Behold, a sower went forth to sow;....
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Kenya Airways...why ignore..
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