10 replies to this topic

[NYC]

Is taking out bonds at the beginning of a game to finance leases a good idea? Or is it just a waste of money?

[Luft]

When I first took out bonds to finance my airline that had mysteriously fallen down in O2 (RuhrFly) I was at first afraid that I wouldn't be able to earn back the money in time. This was my first airline in AE, JSYK. Honestly, five years passed, and I didn't even notice that the bonds had been repaid.

[Mobeer]

Take out between one and three $5m bonds. Use these to lease new planes. As the previous poster said, by the time they come to be repaid $5m will seem like nothing.

[ChiJohnAok]

Just be sure not to take out too many bonds early on.  Each time that you take a bond, you reduce your credit rating, which also reduces the # of planes that you are allowed to lease.  If you take out too many bonds you may find out that you have already leased the maximum # of planes allowed and therefore cannot lease any more planes until your credit rating has sufficiently risen.

[jay tampi]

I pesonally think. using bonds are only make your airline bankcrupt (when you in first opening airline).,.

[NYC]

OK, thanks, so I have taken out total $10,000,000 in bonds and now my credit rating is CCC. When I reach my max of 20 leased planes, how to I raise my credit rating?

[crazynerd]

I'm a new player too so I'm not too sure, but it seems my rating goes up every month. I've taken a $5m bond at the beginning, and my finances have always been positive, so maybe that's it. Just stay positive and don't miss payments, and the rating probably goes up.

[Rob b]

I always take out 2 5mil bonds straight away. It will effect your rating but will let you expand. If it prevents you leasing more aircraft just leave  the game for 12hours and all will be ok.

[NcascadeAIR]

As long as you are Cash Positive, it will grow.

[Maestro69]

OK, thanks, so I have taken out total $10,000,000 in bonds and now my credit rating is CCC. When I reach my max of 20 leased planes, how to I raise my credit rating?

 

A credit rating of CCC can be raised increasing your DOP accordingly to the aircraft you have leased/bought in your airline and the game sees that you are getting revenue and profit. Probably take a month, AE game time, to start seeing some sort of improve in regards to that.

[Book Siberia]

Before taking out bonds, 1st make sure you have filled most or all the 140 hours allotted to your initial starter plane by placing them on your desired routes. Then inspect your routes page to see what your dop is/will be.


Conceptually since there are 24 days in a game month, that dop x 24 is the amount of dop you will accumulate for the whole month (provided no one crashes your route and places enough flights to place you and that other player in contention along that route). That money is the source of payment for all the costs (maintenance, gate leases, employee wages, employee training costs. etc) you will incur during that month. Any excess of total dop less all costs shows up as a cumulation of cash.

If you wait to lease new aircraft on day 2 or day 3 after starting, your existing cash will grow a bit (if your dop is positive),and that little bit of extra cash might be enough to lease 1 additional aircraft.

take out 2 $5,000,000 loans, and order a mix of airplanes having 1 and 2 week delivery dates. Place all planes received along routes as soon as possible so that your cumulative dop expands to allow you to meet all costs easily.

It is likely that at the end of the 1st month, your cash balance will shrink - due to the 6 month advanced lease payout per plane ordered.
This is okay, as long as your dop is positive, and your total valuation is growing daily.

Also, note that the tradeoff is that once you have taken out the loans, your bond rating will stay depressed during the 2nd month. This means that you will be unable to order additional aircraft until the 3rd game month, and then only if your dop is positive abd total valuation is rising day by day.

But that's okay - by aggressively ordering and placing planes on routes up front, you are setting an accelerated pace of dop expansion, which means sooner or later you will obtain more planes than most players do, and of course if you put them up immediately, you maximize your dop ramp up.

Hope that helps!