kapton - as far as I am aware, FLM had some financial difficulties and eventually lost their AOC. I am happy to be corrected though if anyone else knows exactly why they suddenly were no more.
As for they way things were, I based my decisions on the operating carrier and at that stage had no problem with FLM. I found their crews to be efficient, the aircraft quite reasonable and the service up to expectations. I had (and still do not have) any inside knowledge of how Manx2 themselves performed within their back offices but from a passenger view they and their contracted staff performed above expectations.