In the present study, the first and second law of thermodynamics have been used to analyze in detail the performance of a double absorption (lift) heat transformer operating with the water–lithium bromide mixture. A mathematical model was developed to estimate the coefficient of performance (COP), the exergy coefficient of performance (ECOP), the total exergy destruction in the system (ΨTD) and the exergy destruction (ΨD) in each one of the main components, as a function of the system temperatures, the efficiency of the economizer (EFEC), the gross temperature lift and flow ratio (FR). The results showed that the generator is the component with the highest irreversibilities or exergy destruction contributing to about 40% of the total exergy destruction in the whole system, reason why this component should be carefully designed and optimized. The results also showed that the COP and ECOP increase with increase in the generator, the evaporator and the absorber–evaporator temperatures and decrease with the absorber and condenser temperatures. Finally, it was observed that the COP and ECOP are very dependent of the FR and the economizer efficiency (EFEC) values. Also the optimum operating region of the analyzed system is shown in the present study. Copyright © 2009 John Wiley & Sons, Ltd.