Lufthansa freezes investments amid gloomy outlook
26 November 2011Deutsche Lufthansa has decided to freeze all non-essential investment for the next six months due to the weak global economic environment.
Lufthansa currently has 202 aircraft worth 19 billion euros ($25.37 billion) at list prices on order for delivery through 2018. Like peers, it is banking on newer, more fuel-efficient planes to help it keep costs under control.
Soaring fuel costs and the euro zone debt crisis have taken a toll on European airlines this year, with Lufthansa cutting its 2011 outlook two months ago and industry body IATA forecasting a weak end to the year for the sector.
source: Reuters.com
