O Leary up for a 23% rise, some neck how dose he do it?

Run_to_da_hills

I cannot understand this guy, he seems to do everything arseways, like buying planes just after 9/11 when everyone else wanted to get rid of them,

Just last week we hear of doom and gloom about the airline as their shares plummeted almost 50%, rising overheads, a big slip up in not hedging fuel, etc and now just reading that he is getting a 23% rise, how dose he do it? Dose this guy have something else in mind to deserve this?


http://www.iht.com/articles/2008/08/01/business/01ryan.php

kowloon

Pocket change I say.

Mossy Monk

The man is a genius.

hussey

Dose (biochemistry), the quantity of something that may be eaten by or administered to an organism, or that an organism may be exposed to. Quantities of nutrients, drugs, and toxins are referred to as doses.

.

Sherifu

Mossy Monk wrote: »

The man is a genius.

FACT!

phantom_lord

Run_to_da_hills wrote: »

I cannot understand this guy, he seems to do everything arseways, like buying planes just after 9/11 when everyone else wanted to get rid of them.

um, u say he does everything arseways, and give an example of where he managed to pick up a few hundred planes at a huge discount?

doonothing

Sherifu wrote: »

FACT!

FACT!!!

Gary ITR

Run_to_da_hills wrote: »

I cannot understand this guy, he seems to do everything arseways, like buying planes just after 9/11 when everyone else wanted to get rid of them,

Just last week we hear of doom and gloom about the airline as their shares plummeted almost 50%, rising overheads, a big slip up in not hedging fuel, etc and now just reading that he is getting a 23% rise, how dose he do it? Dose this guy have something else in mind to deserve this?


http://www.iht.com/articles/2008/08/01/business/01ryan.php

Yes he is an idiot because single handedly drove down the price of flying all across europe and has made billions of euro for ryanair............ (Note the sarcasm)

EKRIUQ

Run_to_da_hills wrote: »

I cannot understand this guy, he seems to do everything arseways, like buying planes just after 9/11 when everyone else wanted to get rid of them,

I think that was the point, nobody wanted them and Ryanair got huge discounts for them.

kraggy

The bonus pertains to the last financial year, in which, Ryanair made a profit of c.380 million euro.

It is the current financial year that the losses are forecast for. The results of this year will not come out until next March.

Guy:Incognito

kraggy wrote: »

The bonus pertains to the last financial year, in which, Ryanair made a profit of c.380 million euro.

It is the current financial year that the losses are forecast for. The results of this year will not come out until next March.

Dont be using you logical withcraft here. The OP doesnt appreciate it. :pac:

projectmayhem

Run_to_da_hills wrote: »

I cannot understand this guy, he seems to do everything arseways, like buying planes just after 9/11 when everyone else wanted to get rid of them,

buying planes then was a smart move. you buy planes cheaply when everyone's crapping themselves, then wait for the industry to pick up again and low and behold, you have all the good planes and as such, can apply some big economies of scale math to how to charge customers, and appear cheaper then everyone else.

Run_to_da_hills wrote: »

Just last week we hear of doom and gloom about the airline as their shares plummeted almost 50%, rising overheads, a big slip up in not hedging fuel, etc and now just reading that he is getting a 23% rise, how dose he do it? Dose this guy have something else in mind to deserve this?


http://www.iht.com/articles/2008/08/01/business/01ryan.php

seems a bit odd alright, but so what? it's a private company. i'd be more concerned by the recent hike in wages for TD's... the CEO of any private company can do what they want with their wages, it doesn't take from my pocket... o'leary can give himself what he wants as long as i keep getting next-to-nothing flights around europe.

Fishyfreak

The man is a genius, remember when he bought a taxi plate so that he could drive to work in the bus lane?

He is the driving force behind cheap air travel in Europe.

The first batch of Ryanair plains were bought without window blinds and it saved the company thousands ffs. Who else would have thought of doing that?

GENIUS.

Armadillo

23% of what though......

bottletops

Sherifu wrote: »

FACT!

+1

promethius

And now he's now in the process of putting lots of the planes he famously bought cheaply on ice for the short term, some genius....... a plane you're not using is expensive at any price

genericgoon

As said before that bonus is based on last years impressive results and his wages have been forzen inline with the wage freeze imposed across the company. He made a mistake by not hedging while oil was at 100 dollars which has cost them but in the great scheme of things he has shown incredible business acumen at Ryanair which should be rightfully rewarded.

jesus_thats_gre

phantom_lord wrote: »

um, u say he does everything arseways, and give an example of where he managed to pick up a few hundred planes at a huge discount?

I was hoping the OP was being sarcastic. In fact, I am going to assume that they were until they post again..

Not only did he buy the planes for dog cheap, he later sold any planes that they didn't need to other airlines for a massive profit.. The man is a genius...

jesus_thats_gre

promethius wrote: »

And now he's now in the process of putting lots of the planes he famously bought cheaply on ice for the short term, some genius....... a plane you're not using is expensive at any price

Lol, so he should have been able to forsee the current economic climate 7 years ago?

Surely, the fact that every major airline is doing the same, means that every airline CEO is an idiot?

Begrudgery and Ireland/Boards.ie goes hand in hand.

promethius

Surely, the fact that every major airline is doing the same, means that every airline CEO is an idiot?

Not every other major airline ordered a huge number of planes as Ryanair did.

phantom_lord

no they just filed for bankruptcy.

phantom_lord

those planes have been used for the last few years to generate huge profits, bit deal if he has to mothball them for a few winter months.

suckslikeafox

the fact is that Ryanair are the best equiped in Europe to deal with the bad times

OPENROAD

suckslikeafox wrote: »

the fact is that Ryanair are the best equiped in Europe to deal with the bad times

Very true and they could possibly be in a very good position when things pick up.

suckslikeafox

Maybe a little off topic but its gonna be really interesting to see what he does re Air Lingus over the next year or so. Theres gonna be a lot of mergers and acquisitions in the industry if the general economy stays the same and it would be very like him to try and take advantage of the situation

chump

The big slip in not hedging?!?!

DO PEOPLE UNDERSTAND HEDGING?

It is betting on the price of something.

So it's a bet and the price reflects the RISKS and the cost charged by those offering the MARKET for it.

Hedging is typically used to eliminate spikes in working capital requirements and to allow cash flow budgeting.

It is fundamentally betting on prices.

So he didn't make the right bet and he's regarded as a gambler?

For NOT hedging?

Fkking annoying listening to people besmirch a ridiculously successful CEO for not placing a bet.

castie

Fishyfreak wrote: »

The man is a genius, remember when he bought a taxi plate so that he could drive to work in the bus lane?

He even bought the license in Kildare cause its the cheapest place to get one apparently.

GENIUS!

jesus_thats_gre

promethius wrote: »

Not every other major airline ordered a huge number of planes as Ryanair did.

Not every major airline needed to order a huge number of planes either...

I have not seen anything to suggest that the purchase of the planes has caused Ryanair any short term problems? All I have heard is that moving their whole fleet to a single model of plane would dramatically decrease the over cost of servicing their fleet and reduce the overall time needed to service them or turn them around between flights.

The fact that Ryanair have become one of the biggest airlines in the world in such a short time sort of suggests that most of the decisions that they have made have been wise.

Either way, the example that the OP used of buying planes after the events of 9/11 as proof of his poor management abilities was an extremely poor one.

abitlonely

Armadillo wrote: »

23% of what though......

Indeed, $hag all. The guy made €1m or so last year, i'm sure he'd get a
lot more elsewhere.

chump wrote: »

The big slip in not hedging?!?!

DO PEOPLE UNDERSTAND HEDGING?

It is betting on the price of something.

So it's a bet and the price reflects the RISKS and the cost charged by those offering the MARKET for it.

Hedging is typically used to eliminate spikes in working capital requirements and to allow cash flow budgeting.

It is fundamentally betting on prices.

So he didn't make the right bet and he's regarded as a gambler?

For NOT hedging?

Fkking annoying listening to people besmirch a ridiculously successful CEO for not placing a bet.

Hedging is used to reduce risk. It's not a gamble if what you're, say,
buying futures in, you actually need.

What he did was gamble. Top man overall though

Steyr

Quite simply, the man is a Genius, and long may it last, if they ever go Transatlantic that would be the business. Well done Michael O'Leary.:)

Hitchhiker's Guide to...

Run_to_da_hills wrote: »

I cannot understand this guy, he seems to do everything arseways, like buying planes just after 9/11 when everyone else wanted to get rid of them,

Just last week we hear of doom and gloom about the airline as their shares plummeted almost 50%, rising overheads, a big slip up in not hedging fuel, etc and now just reading that he is getting a 23% rise, how dose he do it? Dose this guy have something else in mind to deserve this?


http://www.iht.com/articles/2008/08/01/business/01ryan.php

this is so full of fail.

/guessing you don't work in business

Havermeyer

Mossy Monk wrote: »

The man is a genius.

I concur. Only idiots will argue.

Hitchhiker's Guide to...

chump wrote: »

The big slip in not hedging?!?!

DO PEOPLE UNDERSTAND HEDGING?

It is betting on the price of something.

So it's a bet and the price reflects the RISKS and the cost charged by those offering the MARKET for it.

Hedging is typically used to eliminate spikes in working capital requirements and to allow cash flow budgeting.

It is fundamentally betting on prices.

So he didn't make the right bet and he's regarded as a gambler?

For NOT hedging?

Fkking annoying listening to people besmirch a ridiculously successful CEO for not placing a bet.

hedging is not "betting on prices". The very point of it is that its an anti-bet on prices. You are making price movements irrelevant.

btw hedging has been around since at least 1650 [google for Yodoya rice market in Japan]. There is even some suggestion that hedging existed in Jerusalem around the time of JC because there are some mentions of it in the Bible.

Fighting Irish

He's smarter and richer than you'll ever be, thats all you need to know

AshTrollyDolly

O ' Leary may be a genius.... he very much thinks outside the box... but I think he is the biggest knob that I have ever seen... I mean what eejit poses with a big a320 between his legs....like WTF?!?

abitlonely

AshTrollyDolly wrote: »

O ' Leary may be a genius.... he very much thinks outside the box... but I think he is the biggest knob that I have ever seen... I mean what eejit poses with a big a320 between his legs....like WTF?!?

the kind of eejit that gets people talkin about his company for the sake of a simple photo

Amalgam

Run_to_da_hills wrote: »

I cannot understand this guy, he seems to do everything arseways, like buying planes just after 9/11 when everyone else wanted to get rid of them.

O'Leary bought planes from Boeing when there was a downturn, things weren't looking too rosy for Boeing, regardless of 9/11.. Read about it here:

http://www.iht.com/articles/2008/04/24/business/invest25.php

It was a stroke of genius, more or less getting the planes for next to nothing.. and recently selling on some of that stock (second hand) at a profit.

I don't like him as a person, but I recognise his ability to make some pretty smart business moves.

Run_to_da_hills

Amalgam wrote: »

.. and recently selling on some of that stock (second hand) at a profit.

I believe Boeing were not impressed with this move, I also believe they see him coming when parts are needed for these planes

jesus_thats_gre

Run_to_da_hills wrote: »

I cannot understand this guy, he seems to do everything arseways, like buying

Please come back and post something to indicate that you were taking the piss!!

Airlines rarely reveal the scale of discounts reached with manufacturers, but Ryanair's accounts for the nine months to the end of December, when it bought 27 new Boeing 737-800s, indicate that it paid a maximum of €21.4 million for each plane.

That would have been about $30 million at the time and about 60 percent below Boeing's official $70.5 million list price.

Even discounting the cost of capital, Glynn calculates the aircraft Ryanair would buy or has an option to buy between now and 2012 are worth €2.3 billion more than the going rate.

Man is obviously a complete idiot.

Run_to_da_hills

jesus_thats_gre wrote: »

Please come back and post something to indicate that you were taking the piss!!



Man is obviously a complete idiot.

So it would have been in effect the US Government that helped Ryanair get off the ground by subsidising Boeing in the manufacture of these planes. It was a case of laying off thousands from the Renton plant if they refused that offer from O Leary.

jesus_thats_gre

What is your point?

How does that prove that he is anything other than an extremely shrewd business man?

allybhoy

Roundtower2 wrote: »

There is even some suggestion that hedging existed in Jerusalem around the time of JC because there are some mentions of it in the Bible.

That wasnt hedging, that was Juniper bushes....

IvaBigWun

Mossy Monk wrote: »

The man is a genius.

A cheeky, cheeky b@stard but thats half his charm. Him and O' Brien just have that x factor in business and Ive more than a bit of admiration for both.

Louis Walsh would be proud.

Cianos

Why don't Irish people begrudge him?

Run_to_da_hills

Cianos wrote: »

Why don't Irish people begrudge him?

The Irish tend to begrudge anyone that makes it.

jesus_thats_gre

This thread and the OP fails!

IvaBigWun

Cianos wrote: »

Why don't Irish people begrudge him?

Cos he wants us all to give/recieve blowjobs in first class. He is therefore ok

Cianos

Run_to_da_hills wrote: »

The Irish tend to begrudge anyone that makes it.

Yeah that's my point...he has 'made it', yet we all seem to like him

Run_to_da_hills

Cianos wrote: »

Yeah that's my point...he has 'made it', yet we all seem to like him

A lot of Irish people can't stand the sight of this guy but admire him for his neck, and would still travel on his planes.

The Everlasting

he's got balls of steel