Sterling still losing money

Swedish low-price airline Fly Me’s proposed partner, Sterling, is still losing money.

According to the airline’s owners, Iceland’s FL Group, the company lost some 2.6 billion Icelandic kronur (264.4 million Swedish kronor), during the year’s first quarter, says TT.

FL Group completed the purchase of Sterling during the first quarter and shows no comparable figures for 2005.

But according to the company, both the results and the passenger growth were better than the expected.

FL Group’s other airline, Icelandair is also losing money. Results before taxes show a loss of 677 million kronur (69 million kronor) during the first quarter, down 368 million kronur (37.5 million kronor) compared to the first quarter last year.

Last week Sweden’s Fly Me said it was in discussions with Sterling regarding a merger.