Do LH seriously think that they can 'sell' BMI? I struggle to see it myself.
In the past 13yrs, (according to another site) the largest annual profit that BMI made was £29.6million in 2006 however, the last 3.5yrs have not been kind. In 2008, losses topped £153.9 millions, in 2009 losses topped £190.6 million. Last year they lost £124.5 million and in the first 6 months of 2011 losses have hit £108.5. So in 3.5yrs, BMI have lost a staggering £731.4 million
The rub is this, BMI would need to have 25 consecutive years of their highest grossing year (2006) simply to repay the losses amassed over the last 3.5yrs.
Whilst I think it possible that LH may find someone to take BMI, I am reminded of the fact that when Flybe took BAConnect (losing circa £30million per year) from BA, they did so for a token £1, and a gift of approx £155 million from BA to ease the turnaround of the business.
Personally, I think it will be LH digging deep into their pockets whether they sell it or not!
Last edited by JobsaGoodun; 22nd Sep 2011 at 20:48.