DLH 3rd quarter figs make interesting reading, clearly much of the increase loss is fuel related, i understand that bmi does not have a robust fuel hedge position and is therefore more vulnerable to fuel price. With the strong 3rd quarter fig on the US economy this should strengthen the dollar and hopefully some of the money sloshing around holding the fuel price up will move back to $ as well, figures on iron ore prices also hint at a further slow down in China & India which again will dampen oil demand.
It is now very clear that APD is affecting sales on short haul routes within the UK.This coalition Government has got it badly wrong on its aviation policy, taxing people out of visiting the UK (well going home afterwards) with the Olympics coming up in a country that builds some of the worlds best Jet engines & wings shows a worrying lack of insight and the new Minster of Transport Justine Greening hates LHR, its like the old days of Babara Castle in charge of transport and couldn't drive!! FFS
bmi's Middle East & African routes should start to recovery next year, unless Damascus implodes, in any event given the scale of losses i can't see a white knight with very deep pockets anytime soon, but with Regional rumoured sold and baby en route to pastures new at least the management can focus all their energy on sorting mainline out.
I would just re brand all of bmi short haul routes as SWISS at least that way the buying public would have some idea of what they are getting, the product on bmi mainline is very good.