In the face of Ã¢â‚¬Å“feeble demand and a collapse in average yieldsÃ¢â‚¬Â the German carrier said it will ground six of its 19 MD-11 freighters for at least a year, starting 1 October at the latest and extend and increase shorter working hours for its ground staff to Ã¢â‚¬Å“safeguard earnings.Ã¢â‚¬Â
Ã¢â‚¬Å“The economic crisis continues to have a drastic effect on the results of the air freight industry,Ã¢â‚¬Â parent company Lufthansa said. Ã¢â‚¬Å“Compared with last year there are some signs of recovery in terms of falling volumes, but the price erosion persists,Ã¢â‚¬Â Lufthansa said. Ã¢â‚¬Å“Renewed fuel price rises proved to be an additional burden in the second quarter.Ã¢â‚¬Â
Overall Lufthansa cargo traffic, including SwissWorldCargo, fell 19.8 per cent in the first half from a year ago to 788,000 tonnes against 983,000 tonnes.
First half losses for the Lufthansa group ballooned to $188 million compared with a $160 million profi t in the same period in 2008.