BA nosedives deeper into the red
BRITISH Airways has revealed a steep loss for the April-to-June quarter after being hit by cabin crew strikes and disruption caused by the volcanic ash cloud from Iceland.
BA reported a pre-tax loss of £164m, larger than the £148m loss it made in the same period last year.
BA said the impact of all the disruptions was in line with previous estimates, of £250m in the quarter.
But it said total costs for the quarter were down 3.3% on a year ago.
Revenues at the airline were down 2.3%.
BA cabin crew who are members of the Unite union have gone on strike for a total of 22 days so far this year, including 15 in the reported quarter.
The ash cloud from the Icelandic volcano also caused airlines a headache, with UK airspace closed for six days in April as a result.
But BA maintained its outlook for the full year.
“While some economic experts are flagging the risk of a ‘double dip’ recession, the steady recovery continues and, on that basis, we continue to target to break even at a profit before tax level for the full year,” chief executive Willie Walsh said.
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