Virgin Blue paying cash for their fuel?

[Nigelinoz]

Very clever Mr P, you could have a new career with Boeing but you would need to get rid of those 9 seats in the nose unless you want people sitting on the co-pilots lap..

[QF009]

I don't buy it.

Virgin Blue might have had a hard few months but I'd think their financial situation is sufficiently stable to allow them to get fueled via credit lines.

They'd have to be in a near-bankrupt state, ala the final days of Swissair, to be paying cash for fuel.

[jakeseven7]

i think this may be just a joke!?

[chrisb]

Maybe they're putting it all on the Amex to get extra QF points before the 31st

[medhead]

I don't see how paying cash for fuel would:

a) save money - its the same fuel for the same cost
b) indicate that there is a problem with virgin - if they are have cash flow problems then they don't actually have the cash to pay for the fuel. I would assume that a company in the final death throes would betrying to use credit to overcome any cash flow problems.

Maybe the fuel company has refused to extend credit to virgin, but that's highly unlikely and it would cost them a lot more in paying console operators to collect the cash at each airport.

[NM]

In the interest of full disclosure, I think it is important to note the following:

The original poster of this thread, flying1977, regularly posts to this forum from an IP address that appears to come from Qantas. The opening post in this thread appears to have initiated from an IP address at Qantas.

flying1977 has been asked to clarify any relationship with Qantas in order for their posts to be understood in context. No clarification has been received.

I invite flying1977 to identify any relationship with Qantas and to provide clarification regarding the source of the rumour posted in this thread. This same invitation was provided privately earlier in the day.

[simongr]

I don't see how paying cash for fuel would:

a) save money - its the same fuel for the same cost
b) indicate that there is a problem with virgin - if they are have cash flow problems then they don't actually have the cash to pay for the fuel. I would assume that a company in the final death throes would betrying to use credit to overcome any cash flow problems.

Maybe the fuel company has refused to extend credit to virgin, but that's highly unlikely and it would cost them a lot more in paying console operators to collect the cash at each airport.

AS I pointed out above in some circumstances if you are having credit problems you might be forced to pay cash or COD.

[medhead]

AS I pointed out above in some circumstances if you are having credit problems you might be forced to pay cash or COD.

Yeah, that's right but only if your have issues with the creditor and they are insisting on cash payments. What I didn't express very well was that a company in finanical trouble (not just credit problems with one supplier) is highly unlikely to have the cash on an ongoing basis to actually make the cash payments.

If DJ are sustainably paying cash for fuel that tells me they have heaps of cash flow, not that they are about to go bust.

[stryker]

I invite flying1977 to identify any relationship with Qantas and to provide clarification regarding the source of the rumour posted in this thread. This same invitation was provided privately earlier in the day.

Is there nothing Qantas won't stoop to?

Obviously gouging Australians isn't enough.

[ANstar]

Is there nothing Qantas won't stoop to?

Obviously gouging Australians isn't enough.

Perhaps an attempt to scare consumers before the 31st march points no choice deadline.