think about it like this, Qantas and other major airline...

think about it like this, Qantas and other major airline companies are reducing or cutting routes around the world.

imagine if you owned and airport and maybe 2% of the revnue fell because less planes were landing, ie whats happening now with some routes closed. thats what i think people/shorters are focusing on.

they are probably thinking, s*** if the airlines are cutting back what are car users going to do and therefore shorting it.

the issue with that is that the use of the roads is inelastic, ie people need to use them. what i think you might see is that the road users at the fringe dont use their car as much and therefore there may be a reduction in traffic numbers, but only a slight reduction but the market is pricing in big falls.

in relation to the debt, the issue with TCL is the re-gearing strategy they did 2yrs back. this was designed to boast the divs and there has been some broker talk that when they go to refinance that the asset values might not be as high as expected and therefore the re-gearing will mean lower divs in the future.

so TCL has the prospect of lower divs effecting it more than usage, but the usage issue with the oil prices has been a double whammy.

i sold out TCL at $7.45 around 12 months ago and i when it went to over $8 i regretted it. seeing the price now i try and palm it off as skill but i can't belive TCL was almost $5 yesterday and CEU hit $1.06 today.

you would think some of these highly paid fund managers would buy stocks like this rather and putting so much cash in BHP and RIO, but my experience with fund managers is that they usually only think 5 mins into the future not 5 yrs. a perfect example is Telstra, they all s*** canned it when T3 was coming out and it is one of the best performing stocks this year.