Virgin results Vs BA
A direct comparison is unfair given the relative size of companies but there are a few reasons to be concerned about BA's long term future.
Virgin report an INCREASE in premium pax while BA record that economic conditions have had a significant impact on this market segment and record a significant REDUCTION in premium. Undoubtably Virgin have more leeway to adjust margin as their overheads are proportionatley lower than thos eof BA who have failed to successfully restructure and are lumbered with a historically expensive business model.
I would seriously question whether BA will be able to claim back those premium pax that have apparently switched allegiance - perhaps that's why they are removing First and reducing the size of premium section in all new A/C.
Could BA still become the Aeroflot of the western world?