Pinnacle Airlines (PNCL) joins AMR in seeking bankruptcy protection, becoming the 43 U.S. carrier to do so since the Sep. 11 attacks. Pinnacle, which has assets of $1.5B and liabilities of $1.4B, will halt its United Express services by Aug. 1, but its Continental Express and Delta Connection units will continue.
Shares of Pinnacle Airlines (PNCL -5.7%) take an immediate tumble after a dire-sounding letter from CEO Sean Menke to employees is leaked to Bloomberg News. "On the current path, our financial position will continue to worsen at an alarming rate; we need to act immediately."
Shares of Pinnacle Airlines (PNCL -6.5%) stumble hard after taking on a harsh downgrade from Dahlman Rose to Sell from Hold. Analysts with the firm see operational losses running through H1 2012 and say the carrier may need to restructure itself.
The FAA wants airlines to check their Boeing 757 (BA) jets for corrosion on movable tail parts, which, if left alone, could cause pilots to lose control of their aircraft. The proposal would affect over 700 planes at U.S. carriers and hundreds more at foreign airlines.