What happens if you order an aircraft and pay your 40% deposit, but when it comes to delivery time you do not have the money to pay the balance...
Sami comes and visits you in the night....
... and the word is that he's been reallllllly lonely programming 1.2
:o ... and the serious answer is?
You can of course get in to the red figures a lil... It happened to me only once but I really do not remember how much I was allowed to lend as "instant debt" from the bank. Anyway, I went red of 2mln USD, nothing special...
Currently the plane IS still delivered, you'll just go in red then. Which can lead to bankruptcy in some days if it's not fixed.
(and yes, I will also come to haunt during the night, naturally..)
So I could go USD100million into the red on my 60% shortfall on a 747-400... how long would the game give me to get back into the black, assuming that I am making profit week after week... ? Perhaps the fear of a visit from Sami should be enough of a disincentive :D
Quote from: Jimbo on April 20, 2010, 08:07:13 PM
So I could go USD100million into the red on my 60% shortfall on a 747-400... how long would the game give me to get back into the black, assuming that I am making profit week after week... ? Perhaps the fear of a visit from Sami should be enough of a disincentive :D
why not just get a loan on that plane and pay off your debt?
Doh! Yes of course... thanks
if you're in big red, not sure if the bank are willing to lend u that much~
Quote from: Pai on April 20, 2010, 09:56:50 PM
if you're in big red, not sure if the bank are willing to lend u that much~
They seem to let you if you have the collateral.
In the same notion: Is there a warning when nearing bankruptcy? I am in the reds quit usually, but only a couple hundred thousands up to maybe two millions. But when I leased three planes yesterday, opened routes accourdingly and put those routes in advertisment, I am now deeply in the reds. I will recover - no doubt - since I usually only advertise two to three months for a new route to give it a good start, but I do not want to go bankrupt in the meantime.
ATM, I could take out a loan that would put me back in black, but I rather wouldn't and just sit it out - but only if there is a warning before the bank declares me bankrupt. Otherwise, it's too much of a risk.
From my understanding, you only go bankrupt if your company value goes into the high negatives, cash has nothing to do with bankruptcy.
If you were to take out a loan, your cash would be in the black but your company value would decrease by the amount of the loan
Interesting, so I might be doomed, or not, let's see. Is there a warning before bankruptcy? I might try to at least switch off the advertisement when I get the warning.
Yes, there are clear warnings of that, with time to correct the situation.
Ok, thanks!
You have six days time after the first warning to improve your situation. If you're making profit, it doesn't matter if you're in red.
Well, since I just got an email saying exactly that, I can now be happy that I now know! :-)
Wait, darn, I am almost bankrupt! Maybe no reason to be happy at all.
Why is it when I order 2 aircraft a few minutes (real time) apart, one on a 3 year lease and one on a 4 year lease, that the second one gets a production slot 3 months later than the first, and there are plenty of green production slots in between. I cant seem to change the delivery date....