Over the long term I understand no airline has made money. The loco phenomenon may change this - we dont know yet.
But what it suggests is that the industry as a whole is non profit making and its merely a matter of timing as to when you make the profits or losses. That being the case, whatever strategy you follow - you lose.
BA have to run for cash, given how fast they are burning it quite simply they will fail if they dont turn it around. All else goes out of the window, survival is all. Worry about the fall out if you are still around to worry about it.
But I still find it bizarre a company in this case BA offered benefits and rewards to their best customers and then constantly revoked the benefits and alienated those same prime customers when the times were good.