Originally Posted by zzz
BMI are losing in xs of £250m pa. Bmi have no assets apart from the slots and one A320; the rest are leased. The pension scheme is 80% invested in equities and is a total basket case (in fact worse than BA's NAPs scheme). They were v.close to being insolvent when Bishop exercised his Put option to sell it to Lufthy in 2008(?). That's why he had to accept less than he was due under the original deal he struck with Lufthy/Scandinavian (the company had to be solvent to exercise the option). They are bust!
Well that's wrong for a start.
bmi owns a lot more than one A320. It also has other assets too such as a fairly hefty share in NATS.
Lufty were forced to buy bmi for a reduced price and that lack of desire has really hurt bmi recently with no clear direction for company being disseminated by Lufty.
bmi are trading at a loss and have been for a while, which is of course unsustainable, but with a clear strategy from IAG and access to their coffers, then there is no reason why it couldn't return to profit in the future. It would take a lot of work and would need the backing of IAG to do it, but if the IAG strategy is to keep the company as a seperate entity and they invest in that, then bmi can get back to being a profitable organisation.
If anyone here says they know what the IAG strategy for bmi is, then they must be senior IAG management, as no-one and I am including the most senior people at bmi in this, know what the plan is going to be.
So everything that has been posted on here is just conjecture coloured with each poster's individual prejudices or beliefs. There is no fact here at all.