Recently, the international aviation industry has been hit hard, a number of aviation departments announced that they are facing serious operational difficulties, including industry leaders. On April 8th Bloomberg reported that Lufthansa had announced that Lufthansa would adopt a series of break-in policies, including shrinking its fleet and shutting down its low-cost airline, Germanwings, to weather a downturn that could last for years.
Lufthansa will cut capacity at its German hubs Frankfurt and Munich airports, decommissioning 18 wide-body aircraft at one time, including six Airbus A380s scheduled for sale, while Lufthansa’s regional carrier Lufthansa will retire three Airbus A340s, Bloomberg said. In addition, Lufthansa will retire 11 Airbus A320 narrow-body aircraft.
In other news, Lufthansa’s Austrian Airlines and Brussels Airlines have also announced that they will gradually reduce the size of their fleets. As a result, the number of aircraft in Lufthansa’s plan to be decommissioned may exceed 40.
At the same time, Lufthansa also announced that it would close its low-cost airline, Germanwings, in an effort to reduce operating costs, while Eurowings, another low-cost carrier, would cut long-haul and long-haul flights. In the future, Eurowings will gradually retire its 10 Airbus A320 narrow-body aircraft.
“It will take months for global travel restrictions to be lifted altogether, and it will take years for global air travel demand to return to pre-crisis levels, ” says Lufthansa. “Currently, the Lufthansa Group is one of the largest aviation groups in Europe, operating approximately 700 aircraft of various types. Like other peers, Lufthansa is struggling to maintain the sustainability of its operations in the face of the ensuing collapse in operations.
This Lufthansa Group wrist-breaking self-help can help Lufthansa Group out of the haze, but also need to further develop the industry. According to media reports, lufthansa is currently in talks with the governments of Germany, Austria and Switzerland in the hope of securing bailout loans from those countries.