@ valuegrowth: May I know how to do valuation on AAC base on future aircraft? These items are off balance sheet. So I can translate like this way: If you buy new aircraft from Airbus, maybe cost you 50M per planes, but if you get it from AAC, it may only cost you 35M. Now AA sell it to you in 48M. So the extra 13M will contribute to profit to AA and book under this deal. 13M x 100 planes = 130M? Is it do valuation like this way?

even MAS perform 90% loading factor in Dec. It's hard for AA to perform worsen than MAS. lol..

Summary of Bloomberg Interview:
1. Happy with the bid price
2. Expected to receive binding bid by March 2017
3. Large portion of these money will distribute as dividend, subject to the board approval.

I hope it will announce very soon and I believe that is before CNY. EPF is one of the major shareholder for AA. I suspect that they know more information that we do and keep accumulated before AAC announcement. Anyway, jz wild guess. lol.

@ Cindy Ling, I have different view on this. The PP from TF need 1b ringgit cash and TF need to loan it from bank now. He need cash to payoff the loan so that it minimize the personal interest charges. If wanna expand AA, AA can loan from bank. If I'm TF, i will prefer interest charges in on AA but not to his personal account. TF need div more than us. Just my 2 cent. lol

Target price @ 28 Feb = RM3.00, C-34 will worth 0.33. With current price 0.155. It's more than double. lol.. Wish me luck and all the best to AA investor.

I have some C-34, that why I wish that they can announce it before the expiry date @ 28 Feb..

@ sharktank
i tot 5th Dec already present to Board. I may miss interpret it. Ai.. Fast fast announce la.. I wan RM1.00 Dividend.. lol..

yes. Must pay it within 60 days. End of Jan should be the dateline.

@ supersaiyan3 : I tot AAC is in final progress already. AA only need to decide which offer is going to take nia? So mainland companies no need to do extra work already, just wait AA reply nia.
Am I wrong?

There are more than 10 offers for AAC, I strongly believe that the selling price for AAC will reach above 1.1B USD.
Market cap for AA is below 7B Ringgit now. Imagine that if AAC worth 5B Ringgit, can you believe that AA core business only worth 2B ringgit? Include the private placement 1B ringgit and I believe AA can produce at least net operation profit 1.0B ringgit. Big cap company with expected PE=3. So far I cannot any others stock can beat AA on the future prospective.

it is good if the latest run up is due to AAC sale. Mean that AA received an offer better than expected (1B USD). Ang gong po pi is 1.2B USD pls...

@cruger12345, then who dump it actually? local fund? but their target price is quite high.

@Icon8888, retailer can short one ar? lol

But so far I cant find any news related to bidding price for AAC. Anyone here got any news to share?

Am I the only one who target at least 3.5? please dont stop at 3.00

Volatility of price on AA is out of our control especially retailer like us. I jz hope that AA fast fast announce the selling price of AAC and get at least 1.2B USD. Then distributed RM1.00 per share as dividend.

Any news that I miss out? bidding price for AAC?

Valuegrowth & Cruger12345, can I join the discussion if you all go to somewhere else to discuss about AA? I'm newbie and may not have much input on this, but I would like to gain some knowledge from u all, hope u all dont mind. lol

Buy more AA at price 2.4 and C-34 at price 0.15. I dont follow big picture. I follow this quote:" “Be Fearful When Others Are Greedy and Greedy When Others Are Fearful". Happy investing.

This is typical kiashu and kiaxi attitude. Master of taichi.

@ Icon8888, totally agreed with you. Like telling others your mum is women and your dad is man. lol

I think will declare as bonus before 1Q 2017. Just gam gam with the payment of private placement.

I will expect 1.2b usd for winner of AAC. 1.0 bil usd is only meet the expectation. lol..

Only aware that announcement for winner of bidding on AAC is only for board member. lol. Any board member or insider news to share here?

Your big picture, win-win plan etc etc is like telling us that your mother is women. Try to provide more valuable input. If not just keep silent and earn your money quietly.

This is the problem of this forum. You cannot filter the comments. Skip the spammer like you is very tiring.

@cruger, thanks. I also think that without selling the AAC is fine to me. But I wish they can sell off AAC. AAC is something REIT to me. So the PE for AAC should be around 15-20. Spin-off sound better a deal to me at this moment.

@Icon8888 Agreed that without AAC sale, this price is not expensive. I also din sell any. Even reach RM3.00 I also wont sell. lol

@cruger12345 Do you have any clue on AAC selling? Suppose to announce winner of bidding today, right?

Ai.. really sad to view comment here. Have another account with "big picture". Y i3 dont have filter option?

BWC, Im the one who say wont sell even the AA is 3.00. I jz feel tired to quarrel with you. Because my standard really cant understand your language. By the way,
1st: I'm not sifu
2nd: I'm not with any gang; I invest on my personal money only.
3rd: I'm not pro; so wont suggest buy or sell.

Read the report again and u know y depreciation below 1% is definitely not true.

But it's very hard to do nothing. Lol

I should learn from icon8888, jz close the eyes n wait the price to reach ur target valuation price. Lol

But i'm shock that BWC got follower. I just tiring to filter his msg here and don't expect he got follower. lol..

@onecall, good analysis, it's good idea to have a business like mental clinic now a days. Sure earn someone money gao gao.. hahaha.

Suddenly feel pity on him. Hard to imagine how is his real life. Maybe jz "hehehehe" all the days.

Sorry whey whey, sound like I scold u pula.. Haha..

Better use ur time to learn something useful. Keep spamming with big picture will not help u to earn more money.

Good try, delete previous msg n try confusing person. Lol.. This is the big picture

Feel weird when u Are questionable by an Idiot. Lol. .

@whey whey, erm.. I still can't fully get it. If approved, this is what we expected. If not approved, then it won't diluted which is good current shareholder. If wanna link the whole story, I may explain like this way: TF need the PP approved to proceed with the selling of AAC. If fail in PP may fail in selling AAC. This is what I can think off now but don't know make sense or not. Lol

I'm not too sure that he actually know what is he talking about or not. May lost track n need to check back own comments? Lol

Actually I don't quite understand why approval on PP will boost the price. Never doubt that the PP will go through. N current price is 2.7. If u are TF, will u pull it off? Lol.. I agreed with @valuegrowth, tf should pay us interest. Lol. Anyway, any sifus got any idea y the price boost at last minute? Window dressing? Jz for study purposes.

How to find out short selling position? Like how much and how many they short?

I'm very "admirer" for the person who can talk loud and act like he know everything but actually he know nothing. lol.. Almost everyone here know that I refer to who.

I vote for low pe. If high pe then won't look for AA, will go somewhere else like reit etc.

By the way, calvin use Icon8888 table in no3. Lol... highlighted cell is exactly same.

Because Bloomberg mis-calculated on the earning from AAC. So no one will believe it. Lol.. For example, ringgit is weak now. Yes, it's true. But if someone tell you the current exchange rate is RM8: 1 USD, will you believe the story? lol

I'm newbie in market so do correct me if i'm wrong. I just try to understand this article and I have few queries here.

1. I believe that 79billion is refer to undelivered aircraft. In accounting basis, you can book the undelivered aircraft as asset or debt if you not receive the item yet, am I right? From business sense perspective, if you item is not receive to operate your business yet, why you need to book it as debt which it does not cause u a single cent now?

2. Weaken in ringgit is definitely not a good thing to AA. But when we look back to Q3 2016 report, AA manage superbly on forex gain loss. For undelivered aircraft, it should book under the current currency and it's won't cause the forex gain loss. In term of margin, the may slightly cut in my view but as long as the business is growth with healthy profit margin, I does not foreseen any issue there in future.

3. AA is a low cost carrier, ALL the LCC business model is always work like this way. Take your Roll Royce as Uber taxi as an example. Your roll royce is worth 1M, depreciation is 5% per annum which is 50k, assume your expense (fuel, operational cost,etc) is 50k, interest is 50k per years. But u earn 200k for ticket (include luggage charge, sell food in car, lol). You still received handsome profit 50k. Profit margin should look like this way: operation profit / total revenue = 50k / 200k = 25% but not 50k / 1M = 5%.

4. Why undelivered aircraft involve in depreciation? It does not make sense.

5. Bloomberg is exactly true in my view and the calculation part is definitely wrong. Please refer to Icon8888 article. Numbers wont lie.
http://klse.i3investor.com/blogs/icon8888/110097.jsp

6. Repayment of borrowing to reduce debt. I do not see any problem on this. Sound good to me.

7. I never worried about cash position for AA as long as they can earn money. AA is always healthy in cash flow when they are in earning position. y? All your air ticket need to pay advance, right? lol.. This is the beauty for this kind of business.

8. I do not know where u can get this news such as TF is selling, etc. Thus, I cant prove it wrong but don't think that you can prove it right as well.. lol.

9. AAC selling is good but public does not value it as it was. Let say it worth RM1, but public (share price) only reflect it RM0.50. And now someone offer your RM1.40. I think is a good timing to spin-off. I do not few weird if AA have another AAC in few years later and spin-off again.

10. This fear sound a bit silly to me. It's like to avoid the car accident, so you better not to drive a all. Lol...