Lufthansa indicates scale of BMI's losses in 2009

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Lufthansa has given an indirect indication of the overall financial performance of UK subsidiary BMI last year.

Chief financial officer Stephan Gemkow says that, if BMI had been consolidated for the whole of 2009, Lufthansa would have recorded a €278 million ($382 million) operating loss.

But its consolidation only since 1 July 2009 means that Lufthansa posted an €11 million equity loss in the first half of last year, and a €78 million operating loss in the second half.

BMI has generated revenues of €541 million since consolidation. Lufthansa expects the carrier to make another operating loss in 2010.

Lufthansa is restructuring BMI but Gemkow stresses that this "does not mean anything" in terms of BMI's future within the German company.

"A review is currently taking place with the company's new management on whether integration with the Lufthansa Group makes sense over the long term," says Lufthansa.

Gemkow states that the restructuring will either provide Lufthansa with a valuable addition to its portfolio or a more attractive asset for sale.