Some of the problems cited include slump in premium demand, cargo and the weakness of the sterling. There will be once again restructuring of the company.
It really is a shame. A record profit last year, a loss this year. Obviously their share price has fallen even further adding more strain to the BA-IB merger. I think BA will need to use the next upswing in the economy to diversify away from their dependence on LHR and North America. I suppose every airline is taking a hit right now, but not as bad. I believe AF-KLM expects to break even on full-year results, even after reporting a loss in their most recent quarter. I'm not up-to-date on LH's postion. This could be that just like the UK economy generally lags behind the US by 6-12 months, the Eurozone economy lags behind the UK a further 6-12 months so maybe worse times to come for European carriers. Though I think LH and AF-KLM are better prepared for downturns.