Originally Posted by
Cautious Optimist
Yes - if there was the means to make profit from other areas (which there is), you don't give up on something just because it isn't working now when it can be made to again in the long term...
I assume you are thinking along the basis that the airport is a loss leader? Which in accounting means that one business sector makes a loss so that the business can make more money overall. However, MME is not a 2l bottle of cola selling for 17p at a loss of a couple pence a unit to millions of shoppers so as to entice people to buy all their groceries there, henceforth making up for the loss of a couple pence a pop. But rather, is an airport serving 150,000 passengers a year and losing £2.5 million a year, to give that some context, last year on the straight-line regression basis, for every passenger served, it lost £16.67.
What, pray, is going to recoup £16.67 per person that will go into Peel's coffers? MME is not a loss-leader, just a loss maker.