Why PIA is incurring heavy losses?

Despite having all the facilities from Pakistani authorities and monopolistic prices on Hajj and Umrah operations, PIA made a loss of PKR 5 Billion in 2008, according to this report. It was 1.9 billion in 2007 (see news item)

The easiest way to destroy a business, especially service business, is not paying heed to customers complaints. The following is an account of Mr. Nasir, who is from Ralawalpindi and is based in Atlanta , GA. I leave the conclusion of his ordeal to the readers. This complaint from a consumer is evidence of the state of affairs at PIA.

I travelled out of United States on 27th January 2008 and purchased return ticket from this company to fly with PIA ( Pakistan International Airline ) ticket from Peak Time Express Inc., 5430 Jimmy Carter blvd, Suite nbr 110, Norcross-Ga-30093. My seats were confirmed when i started my travel. Approximately a week before my return date i went to PIA's Rawalpindi office in Pakistan and was told that my ISB-LHE segment and JFK-ATL segment are still in confirmed status but LHE-JFK segment has been cancelled. Upon my inquiry I was told that my travel agent has cancelled my LHE-JFK segment of travel. I called my travel agent from pakistan and he denied, saying he did not cancel my seat whereas PIA's PNR history shows agent code in cancellation on June 17th afternoon time. I have no concern wether PIA did this breach or this Travel agent, bottom line is that I faced the consequences of this unethical act and business malpractice causing me MENTAL STRESS and i had to beg lots of Airline people to get me on some flight so I dont face financial losses by missing my worktime, I had to spend lots of money travelling between different offices of PIA in Rawalpindi, Pakistan. I was given seat on 12TH July flight for LHE-JFK segment and re-adjustment on ISB-LHE AND JFL-ATL segments. In addition to this stress and unhealthy practice I had to Pay a big sum of money for travel class change from N to K class and CHANGE OF TRAVEL DATE, WHICH WAS NEVER MY FAULT. I would like to plead for justice and compensation for my mental stress and financial loss. I will provide whatever documents I have collected ,for in support of my case. Where should I go and ask for justic against this Airline and the Travel Agent? Please help and advice legally.