Sal-e, I think you are being bit of an optimist if you think that this summer the company with be better than last year.
From a revenue (i.e what money the company gets), last year, with a fleet of 34 aircraft, the network average load for the summer months was around 77% (if my memory recalls).
This year with a fleet of 30 aircraft (inc. 3-4 spares), we flew with 70% load.
If I am not mistaken, we flew less passengers than last year with reduced capacity. Having been in this business for a fair while usually if you reduce your capacity, your load factor goes up not down.
You then have to add in the fact the the local competition is just trashing the market with cheap fares, so you don't have much chance to up the yields.
So, the revenue will be much less than last year.
For costs, GF will have a lower operating costs as it has 30 planes in the fleet and has been reducing staff. But one factor that will negate all this is the cost of fuel. GF does not hedge and will be paying market rate for its oil. Less oil will be needed than last year as less flying but the cost per barrel I believe is higher this year.
So less revenue and more costs = big loss.
