Angry Rebel, you have made exactly the right point. RYR made that excellent profit from what are believed to be the lowest yields in the business. BA made less that that from what are widely believed to be the highest yields in the business. A point I did not make in my earlier post was that throughout BA's period of retrenchment and debt reduction Virgin have expanded. They seem to have concentrated on the leisure market and have found plenty of growth there. BA have concentrated on the premium market and have found conditions to be very sticky. Every monthly business report they release seems to say that market conditions are challenging. But RYR, EZY ZB, AB etc report booming conditions. Who is right? BA have certainly done an excellent job in reducing debt and improving profits but where is it leading? Is there really a future for the stunningly expensive long haul first class product? Is there really a future for Club Europe?
I suspect that Willie Walsh will vigorously challenge these outdated product concepts that have dominated BA for so long. If so that company is in for a long period of dynamic change.
I have friends and relatives who work in BA and thry do not seem to grasp the fact that within a couple of years both RYR and EZY will outcarry them in pax number terms and probably in profitability as well.
I think that BA is one of the most efficient long haul airlines: it is certainly the biggest but its marketing does not seem to be in line with customer demands and expectations. Its short haul product seems to be completely lost.