Lufthansa to take on competition with plan to launch low-cost, long-haul flights

Lufthansa may launch low-cost long haul flights under a new brand as part of plans to attract more price conscious travellers and battle competition from Middle East carriers and low cost airlines, its new chief executive said yesterday.

Carsten Spohr, who took the reins of Europe’s largest airline by revenue in May, needs to win back investors after a profit warning last month wiped $2bn (€1.4bn) off the airline’s market value in a single day.

Short-term measures to make up for the lower-than-expected profit in 2014 and 2015 include increasing the number of seats Lufthansa offers by only 2% in the winter, rather than 4% as originally planned, he told journalists as he unveiled his plans for the German airline.