Million $misek

Discussion in 'United Airlines | MileagePlus' started by js787, Aug 13, 2012.  |  Print Topic

  1. js787

    js787 Silver Member

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  2. NYCUA1K

    NYCUA1K Gold Member

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    ...or maybe he would like to spur an improvement of the company's fortunes by projecting confidence...?
     
  3. Flyer1976
    Original Member

    Flyer1976 Gold Member

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    He needs a tax write off come April...
     
  4. Sedosi

    Sedosi Gold Member

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    He's giving it away to his housekeeping staff in lieu of Christmas bonuses.
     
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  5. Captain Oveur
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    Captain Oveur Gold Member

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    Poor Kettles.....looks like the price of TOD upgrades will be going up.
     
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  6. sobore
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    sobore Gold Member

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    Smisek Just wants to show he can make one bad decision after another. :p
     
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  7. estnet
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    estnet Gold Member

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    LOL
     
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  8. BuckleandBoots

    BuckleandBoots Silver Member

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    Seems like he bet on a win-win.

    It's another good day to be in the money business...
     
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  9. desamo

    desamo Gold Member

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    Ehh, I see it as a strategic move to show confidence, and I don't think he's planning on losing money.
     
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  10. tommy777
    Original Member

    tommy777 Co-founder

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    If he's not planning on loosing money, he should probably not invest in an airline ;)
     
  11. desamo

    desamo Gold Member

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    True, and I'm also a big fan of not keeping most of your money in your career industry, but it's different for people who are at the top.
     
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  12. Captain Oveur
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    Captain Oveur Gold Member

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    Double-edged sword. On one hand, exactly as you describe. On the other hand, it must be nice to write a check for one million bucks like that while the company is doing everything it can to trim the labor costs.
     
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  13. desamo

    desamo Gold Member

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    This Forbes profile's interesting.

    To put it in context, he effectively put his bonus back into the company.
     
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  14. General_Flyer
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    General_Flyer Gold Member

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    After several million in paycheck...
     
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  15. radonc1951

    radonc1951 Gold Member

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    Most executives have bonuses which include stock options (both restricted and not) so it is indeed unusual for CEOs to pick up stock in their own company on the open market. Most of the time, stock purchases are made using the options granted them (usually at a favorable price) and then unloaded at market producing a nice gain.

    I suspect that the CEO has a positive outlook on the company's fortunes. That doesn't mean I am going out and buying UA stock;)
     
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  16. SFOtoORD

    SFOtoORD Silver Member

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    Thread title is unnecessary. Something that belongs over on that other board. This is actually a relatively good bit of news if the guy thinks the airline has some real upside.
     
  17. NYBanker
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    NYBanker Gold Member

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    It is a welcome sign to see senior executives making optional investments into their company. Those investments don't always turn out well, but it is nice to see a further alignment of interests with the group that everyone is working for.
     
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  18. kwai
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    kwai Gold Member

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    Thaksin Shinawatra was in the US last week. Perhaps $MI/J had a conversation with the billionaire fugitive PM about money.
     
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  19. MDDCFlyer

    MDDCFlyer Silver Member

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    Or maybe he is planning on leaving and know what that would do to the share value. :)
     
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  20. js787

    js787 Silver Member

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    Apparently Smisek is not alone....from Barrons

    "In a buying spree over Aug. 9 and 10, six executives at United Continental (ticker: UAL) including the chief executive, chief financial and chief operating officers displayed confidence that the company is headed for a takeoff and bought 123,100 shares of the airline for $2,226,815"

    Full article: http://online.barrons.com/article/S...87490631817220.html?ru=yahoo&mod=yahoobarrons

    As most market mavens will tell you this is a pretty bullish sign--multiple insiders buying at the same time. Many reasons for insider sales, but only one for insider buys.
     
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  21. marcwint55

    marcwint55 Gold Member

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    so very true. even Warren Buffet lost his rear end investing in an airline.
     
  22. marcwint55

    marcwint55 Gold Member

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    I've seen many insiders buy stock only to have the company go out of business afterwards. Sometimes they are blinded by their egos.
     
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  23. Scottrick
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    Scottrick Gold Member

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    Or maybe he drove the company into the ground first so he could buy these at a lower price. They're near the bottom of a 52-week range that peaked just under $26 a share.
     
  24. HeathrowGuy
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    HeathrowGuy Gold Member

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    How dare some of you question the wise moves of the dear respected Supreme Leader Jeff Smisek! The d.r.S.L. is steadily moving to possess and assert the totalitarian control over United that his greatness singularly deserves to wield. There is no one more worthy of owning all equity in The World's Leading Airline than him.
     
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  25. Sedosi

    Sedosi Gold Member

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    With all of the controversy surrounding executive bonuses of late this is probably the explenation that survives Occam's razor.
     

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