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Msg ID: 2735667 Air Methods- Something to think about +4/-4     
Author:BigT
7/14/2022 1:55:57 PM

Here is the latest data (along with data from a year ago) about Air Methods' bond prices/yields.  The bonds were issued to buy the company a few years ago (this is not the total debt, just $500M).  Note the drop in price from $95 (with a yield of 9%) to $62.25 and the increase in yield to over 28 percent.  Clearly, the "smart" people think this is a very risky bond.  This should be considered in negotiations.  I am not a company shill, but you need to be aware that you can kill the goose that laid the golden egg (such as it is).  A company has to survive in order to employ people.

 

 

Price

Yield

7/14/2022

Trade

$62.25

28.24

7/14/2022

Trade

$62.00

28.42

6/30/2022

Trade

$65.38

25.83

6/30/2022

Trade

$65.90

25.47

6/30/2022

Trade

$65.50

25.74

6/30/2022

Trade

$65.75

25.58

6/29/2022

Trade

$66.77

24.84

6/29/2022

Trade

$66.75

24.85

6/29/2022

Trade

$66.44

25.06

6/29/2022

Trade

$66.44

25.06

6/28/2022

Trade

$66.98

24.69

6/28/2022

Trade

$67.50

24.35

6/28/2022

Trade

$66.86

24.76

6/23/2022

Trade

$68.24

23.83

6/22/2022

Trade

$67.94

23.98

6/22/2022

Trade

$67.94

23.98

6/22/2022

Trade

$68.00

23.93

6/15/2022

Trade

$68.30

23.66

6/15/2022

Trade

$69.00

23.22

6/14/2022

Trade

$68.50

23.52

 

 

 

 

7/20/2021

Trade

$94.25

9.84

7/20/2021

Trade

$94.50

9.75

7/20/2021

Trade

$94.50

9.75

7/20/2021

Trade

$94.25

9.84

7/20/2021

Trade

$93.80

9.99

7/20/2021

Trade

$93.77

10.00

7/20/2021

Trade

$94.00

9.92

7/19/2021

Cancel

$94.25

9.84

7/19/2021

Correction

$94.25

9.84

7/19/2021

Trade

$94.50

9.75

7/15/2021

Trade

$95.93

9.28

7/14/2021

Trade

$95.75

9.34

7/14/2021

Trade

$95.35

9.47



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Msg ID: 2735673 Air Methods- Something to think about +3/-2     
Author:Not my problem
7/14/2022 3:07:07 PM

Reply to: 2735667
Translation? Accept the lowest wages in the industry, forego moving to the competition, and be happy that AMC is making it to pay you just enough to stay in business.


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Msg ID: 2735677 Air Methods- Something to think about +3/-1     
Author:Barney Style
7/14/2022 3:14:00 PM

Reply to: 2735667

Can you put this in HS drop out helicopter pilot speech? Air Methods is in the red or close?



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Msg ID: 2735692 Inflation affects the bond market.. What about +3/-1     
Author:Other companies??
7/14/2022 6:51:48 PM

Reply to: 2735667

Have you compared the bond/yield of other helicopter EMS companies? Four factors affect the bond market including interest rates, inflation, and credit rating. Other companies are probably experiencing the same trend.

  • Bonds are subject to interest rate risk since rising rates will result in falling prices (and vice-versa).
  • Interest rates respond to inflation: when prices in an economy rise, the central bank typically raises its target rate to cool down an overheating economy.
  • Inflation also erodes the real value of a bond's face value, which is a particular concern for longer maturity debts.
  • Because of these linkages, bond prices are quite sensitive to changes in inflation and inflation forecasts.


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Msg ID: 2735807 Air Methods- Something to think about +1/-0     
Author:Not really true
7/15/2022 6:54:21 PM

Reply to: 2735667

This doea not give a good overall picture. You need to factor in the stock market/ economy, inflation, and interest rates. Factor all that in, everything looks bad. AMC also did a record number of flights last year with the company openly admitting the NSA is NOT affecting them as much as they thought 



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