BA's record losses

Summary
22 May 2009

British Airways has announced record annual losses of more than $600 million, its worst performance since it was privatised in 1987. BA's chief executive says he sees 'no signs of recovery anywhere'.

Reporter:
Alex Ritson

British Airways planes
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The figures from British Airways were expected to be bad - but not this bad. They are also in sharp contrast to the airline's performance last year when it made more than a billion dollars in profit.

The airline is blaming two factors: firstly, the cost of fuel which was at near record high at this time last year, and secondly, the credit crunch which is affecting many airlines.

Even more ominous are the comments from BA's chief executive, Willie Walsh. He says this is the harshest trading environment the company has ever faced and he can see no reasons for things to improve in the near future.

Alex Ritson, BBC News

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Vocabulary
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the figures from
here, the financial state of, the accounting data about the company's profits or losses
in sharp contrast to
very different from
performance
here, the way in which a company does its job that is judged by its effectiveness (e.g. how big a profit the company has made)
profit
when someone (here, a business) gets more money from what they do than they spend to be able to do it
at near record high
almost the highest ever
ominous
suggesting that something bad is likely to happen
the harshest trading environment
the most difficult economic situation in which to conduct business
faced
had to cope with