IT IS HAPPY 25TH TO EMIRATES BUT IN THE CENTRE OF THE MEDITERRANEAN THERE IS AN ECONOMIC ODDITY AS MALTA’S ECONOMY SHINES BUT THE NATIONAL AIRLINE CARRIES A DEFICIT

Air Malta’s losses this year are expected to be “much worse” than the €31 million deficit announced for the year ending March 2009. The airline is believed to be losing money even on its Germany routes, where there is no significant competition from low-cost carriers. As a consequence Air Malta is bracing itself for a major restructuring programme, which will be brought forward after the airline registered its first-ever summer losses. These losses have resulted in the Maltese government engaging Ernst and Young (also in the process of advising BMI) to carry out a full review of Air Malta. Changes