Capacity slashed, planes grounded at Lufthansa
Lufthansa has reiterated its earnings outlook for 2009, despite reporting a net loss of US$340 million in the first quarter, down from the $58 million profit it reported during the same period last year.
The carrier will cut 30% of cargo capacity and ground six of its 19 freighters by the end of 2009, said Lufthansa CFO Stephan Gemkow, according to the Wall Street Journal.
On the passenger side, Lufthansa has already removed 1.1% of capacity and will ground 22 aircraft over the course of the year.
"The current crisis is putting a strain on our profits but our foundations are solid and we have the right instruments to take counter action," said Gemkow.
"Now we will see who is prepared and able to react effectively against these difficult conditions. Lufthansa is a strong company and can hold its course, even in difficult times," the Lufthansa CFO added.