Thursday, 28 August 2014
Last updated 13 hours ago
Jun 18 2012 | 1:25pm ET
Appaloosa Management chief David Tepper’s recent airline purchases have taken off.
The distressed investing specialist invested in both US Airways Group (up 135.1% year to date) and Delta Airlines (up 27% YTD) in the first quarter.
Tepper added 7,419,026 US Airways shares in the first quarter at an average of $7.40, according to MSN Money, bringing his total holding of 10,657,243. The stock began rallying in late January, as the company announced it Q4 2011 earnings (a net profit of $21 million) and a possible takeover of the bankrupt American Airlines holding company, AMR.
As for Delta, Tepper bought 6,740,189 shares in Q1 2012 at an average price of $9.80 per share after selling off his stake in Q4 2011. MSN said Tepper took unusual steps to hedge fuel costs in Q2 by buying a refinery, which could save the company up to $300 million annually.
Delta Airlines also began rallying early in 2012, announcing GAAP fourth-quarter 2011 net income of $425 million (compared to $19 million in Q4 2010). Its net income for 2011 was $1.2 billion, excluding special items.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...