The question I ask myself, Bombay HF is whether Bahrain can afford it, and even if they do, whether it would be responsible for the Government of Bahrain to throw good money after bad into an unprofitable airline.
I don't know where you are from, but in my home country, people would be quite upset if Government wasted money on prestige projects that did not bring at least $1 return for each $1 spent. In many countries, Governments only subsidize airlines when it truly provides a good return, such as big tourist income, or because the cost of transport would be so high or unavailable that it is necessary to be able to make the country function. Bahrain is one of "poorest" countries in the region in terms of not having the size of petroleum reserves that it's neighbors did, and tourism potential, IMHO, is very limited. Even IF it did, would it be responsible governance to spend the wealth of these resources (all of which have a finite limit-- even in countries like Saudi Arabia or Qatar) on something that will give no meaningful returns-- I mean, should money be squandered on shiny jets for a big unprofitable airline, or would they be better spent on schools, hospitals, and development of emerging alternative industries with better promise? The resource wealth of a nation is also the inheritance of the future generations-- so the responsibilities are even greater-fold.
For that reason, I think it is a responsible approach being taken. Not everything has been tried yet, and IMHO, it is too early for the Bahrainis to "cry uncle" and write-off Gulf Air as a basket case. GF has potential if fixed properly-- plenty of examples of profitable airlines whose business has little to do with bringing pax or cargo to their home countries.
Last edited by Panama Jack; 10th Apr 2007 at 10:09.