Warner losing money on every Blu-ray sold?

[Zaphod]

I was just curious, does anyone know what the cost of production is for a studio to produce one unit of any given Blu-ray title?

I was just sitting at work (nothing better to do I guess) and wondering...when I purchase titles directly from Warner, how are they making any money off the Blu-ray title itself? I mean, let's say I purchase 4 catalog titles with the 25% off coupon (making each approx. $14.96). On top of that they all are pre-orders with varying release dates. On top of that the order also qualifies for free shipping.

Now I don't know about everyone else, but EVERY title I order with the free shipping comes UPS Next Day Air. I know there are commercial rates for shipping UPS, and for next day they typically start at around the $5-$6 range. So at this the price in shipping alone for four different titles on four different dates is at least $24.00. Now you figure in the cost of production (whatever that may be), and it seems they are selling these at a loss if not close to breaking even.

Now I know they can subsidize due to the ridiculous profits from DVD sales, but it just seemed interesting to me at the time...