UAL Corp (UAUA)

fierroots (< 20) Submitted: 1/14/08 7:00 PM : Start Price: $32.74 UAUA Score: 51.44

UAL has a management team whose business model is predicated on oil prices of $45-$50 a barrel. No business model can work at $100 or more a barrel, and still keep costs within the purchasing power of the average man on the street. The only way around this is to gouge the business traveler, who mow picks up the tab for the economy passenger. All that is needed is another 9/11, or another war, or another SARS, and there wont be enough business to keep ALL the airlines flying. That's why Tilton and Brace are bending over to do a deal, so they can take their big payoff and leave.

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