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British Airways Posts Loss for YearMay 21, 2010 By: Jena Tesse Fox
More woes for Britain's flag carrier: According to the New York Times, British Airways reported a net loss of $614 million for the year that ended March 31, compared with a loss of $516 million a year earlier. The deficit— the airline’s largest since being privatized in 1987— came amid an 11 percent drop in revenue, to $11 billion.
The British carrier said Friday that it expected to break even in the current financial year as a steady recovery in business travel bolstered revenue and aggressive cost-cutting efforts continued despite strong resistance from labor unions.
The news came a day after the union representing 90 percent of British Airways’ 13,400 cabin crew members warned that it would resume plans for a five-day strike beginning Monday if a dispute over a wage freeze and staff reductions had not been settled.