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Old 7th November 2009 | 11:13
  #1226 (permalink)  
F14
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Joined: Feb 2008
Posts: 182
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From: italy
The problem with BA is it's a Dinosaur. Starting from an advantageous position as a former Flag Carrier they failed to keep the brand fresh. In my opinion the multi coloured tail fiasco was the beginning of the rot of recent years.

Successive CEOs have been unable to tackle the big issues and now the company is a basket case.

Unless huge cuts to services are made and only profitable sectors remain, in 2 years it's over. Moving everthing to Madrid or cutting the payroll by half will slow the amount of cash being burnt.

BA's best hope is that they can survive the recession and stay liquid. Currently the UK government could help them by cutting departure taxes and reviewing security arrangements to make LHR more attractive to pax.

I foresee, about half the present operation this time next year and probably another rights issue. Those who think the government will bail BA out are mistaken.
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