I have a fair number of friends at regional and would hate to see them out of work, but look at the business model.
A small regional jet that is not fuel efficient with regard to pax carried
A route network that has diminished year on year
A reliance on wet lease contracts
A small minded insular management(albeit mostly gone now) that was more interested in maintaining the Aberdeen management than real integration and cost savings that could be realised by closing the ABZ office.
The London city route is a non starter, they tried that from LBA with a wet leased turbo prop because they wouldn't operate the 135 into there. I think they gave that route about 10mins to turn a profit then pulled it.
They pulled out of Paris because mainline pulled out even though loads were good.
I could go on. As for the statement about crews not being suitable, that's rubbish, there are some really good guys there who stayed to be home every night with the family rather than go to bigger companies with airbus or Boeing fleets.
Regional management never really moved on from the high priced business ticket pax in small numbers and the rest of the industry has moved with the market in the real world.
I do hope someone with deep pockets and true vision gets hold of regional and turns it into the regional airline it deserves to be, but if Lufthansa have washed their hands of it, then I think the future is truly bleak.