You're right on all points EI-BUD.
This is also a perfect illustration of the dangers of entering into long term relationships with (typically) bigger carriers with deeper pockets. Flybe know the ins and outs of operating the Scottish routes, have all LGN historical operational data, and know just what the pressure points are.
In this day and age when the flying public have been taught that 'cheapest is best, Mr Hinkles has his work cut out for him to convince them that they get what they pay for ---- or not, once Flybe tire of the whole game, leaving routes wholly unserved. They are contracting these days, after all, moving back to their primary routes only, so what kind of future is there for continued service of the Scottish routes?