Lufthansa

Lufthansa

IATA LH ICAO DLH Callsign LUFTHANSA
Founded	1926 (as Deutsche Luft Hansa Aktiengesellschaft), refounded 1954
Hubs	Frankfurt Munich Düsseldorf [1]
Focus cities	Berlin Hamburg Milan Stuttgart
Frequent-flyer program	Miles & More
Member lounge	HON / Senator Lounge
Alliance	Star Alliance
Subsidiaries	Airlines: Lufthansa Cargo Lufthansa CityLine Lufthansa Italia Lufthansa Regional Lufthansa Technik
Fleet size	274 (+ 73 orders) excl. subsidiaries 746 (+ 156 orders) inc. subsidiaries excl. shares
Destinations	202
Company slogan	There's no better way to fly
Headquarters	Lufthansa Aviation Center Airportring, Frankfurt am Main, Hesse, Germany[2]
Key people	Jürgen Weber (Head of Supervisory Board) Wolfgang Mayrhuber (CEO) Stefan Lauer (Aviation Services and Human Resources) Stephan Gemkow (CFO)
Revenue	€24.9 billion (US$33.9 billion)
Website	www.lufthansa.com

Deutsche Lufthansa AG (FWB: LHA) (German pronunciation: [ˈdɔʏt͡ʃə ˈlʊfthanza]) is the flag carrier of Germany and the largest airline in Europe in terms of overall passengers carried. The name of the company is derived from Luft (the German word for "air"), and Hansa (after Hanseatic League, the powerful medieval trading group).

The airline is the world's fifth-largest airline in terms of overall passengers carried, operating services to 18 domestic destinations and 183 international destinations in 78 countries across Africa, Americas, Asia and Europe. Together with its partners Lufthansa services around 410 destinations.^[3] With over 722 aircraft^[4] it has the third-largest passenger airline fleet in the world when combined with its subsidiaries.

Lufthansa's registered office and corporate headquarters is in Deutz, Cologne, with its main operations base (Lufthansa Aviation Center [LAC]) and primary traffic hub at Frankfurt Airport in Frankfurt am Main with a second hub at Munich Airport.^[3][5][6][7] The majority of Lufthansa's pilots, ground staff, and flight attendants are based in Frankfurt.^[8]

Lufthansa is a founding member of Star Alliance, the world's largest airline alliance. Star Alliance was formed in 1997 together with Thai Airways, United Airlines, Air Canada and Scandinavian Airlines System. The Lufthansa Group operates more than 500 aircraft and employs worldwide 105,261 people of 146 nationalities (31 December 2007). In 2008, 70.5 million passengers flew with Lufthansa (not including Germanwings, BMI, AUA, Brussels Airlines).

History

1920s–1930s: Early years

The company was founded on January 6, 1926 in Berlin, following a merger between "Deutsche Aero Lloyd" (DAL) and "Junkers Luftverkehr".^[9] The company's original name was Deutsche Luft Hansa Aktiengesellschaft. Lufthansa, as one word, has been used since 1933. On December 9, 1927, Deutsche Luft Hansa, on behalf of the German government, established an agreement with the Spanish government authorising an air service between the two countries. This included a capital investment to establish an airline that would eventually become Iberia.

Lufthansa Ju 52 "Otto Falke" with running engines at Belgrade-Dojno polje Airport, Kingdom of Yugoslavia. 1941

In the years prior to World War II, the company pioneered routes to the Far East and across the North Atlantic and the South Atlantic, using a fleet of mostly Dornier, Junkers, Heinkel, Focke-Wulf and other German-designed aircraft. It was also actively involved in the establishment of a few South American airlines, particularly via its subsidiary Condor Syndikat. After the outbreak of war in 1939, Lufthansa was only able to maintain service to neutral countries. Early in the war, along with the Italian Transcontinental Airline (Linee Aeree Transcontinentali Italiane, or LATI), the company competed vigorously in South America.^[10] However, all service was suspended by Lufthansa following Germany's defeat in 1945.

1950s: Post-war reformation

This Convair 340 was Lufthansa's first postwar aircraft, delivered in August 1954

Lufthansa was recreated on January 6, 1953 as Aktiengesellschaft für Luftverkehrsbedarf (Luftag) and was renamed Deutsche Lufthansa Aktiengesellschaft on August 6, 1954. The "new" Lufthansa of 1953 is not the legal successor of the Lufthansa founded in 1926 and which existed during and before World War II. On April 1, 1955 Lufthansa resumed scheduled service within Germany using the Convair 340. International operations started on May 15, 1955, with flights to points in Europe, followed by service to New York on June 8 using Lockheed Super Constellations. South Atlantic routes were resumed in August 1956.

East Germany attempted to establish its own airline in the 1950s using the Lufthansa name, but this resulted in a dispute with West Germany, where the airline was already in operation. East Germany renamed its national airline to Interflug, which ceased operations in 1991. Lufthansa was banned from flying into West Berlin until the demise of the GDR regime.

Lufthansa was the launch customer for the Boeing 737, and operated variants including the 737-300

1960s: Jetliner introduction

In 1958, Lufthansa placed an order for four Boeing 707s, used to start jet services from Frankfurt to New York in March 1960. Boeing 720s were later bought to back up the 707 fleet. In February 1961, Far East routes were extended beyond Bangkok, Thailand to Hong Kong and Tokyo. The cities of Lagos, Nigeria and Johannesburg, South Africa were added in 1962.

Lufthansa introduced the Boeing 727 into service in 1964 and in May of that same year they began the Polar route from Frankfurt to Tokyo. In February 1965, the company placed an order for twenty-one Boeing 737 medium-haul jets, which were introduced into service in 1968.

Lufthansa was the first customer to purchase and also bought the largest number of Boeing 737 aircraft, and was one of only four buyers of the new 737-100s (the others were NASA, Malaysia-Singapore Airlines and Avianca– while the NASA airframe was technically the first constructed, it was the last delivered and originally intended for delivery to Lufthansa). In doing so, Lufthansa became the first foreign launch customer for a Boeing commercial plane.

1970s–1980s: The wide-body era

Lufthansa operated the Airbus A300 from 1976 to 2009

The beginning of the wide-body era for Lufthansa was marked with the inaugural Boeing 747 flight on April 26, 1970. In 1971 Lufthansa began service to South America. In 1979, Lufthansa and Swissair were launch customers for the advanced new Airbus A310, with an order for twenty-five aircraft.

The company's fleet modernisation programme for the 1990s began on June 29, 1985 with an order for fifteen Airbus A320s and seven Airbus A300-600s. Ten Boeing 737-300s were ordered a few days later. All of the aircraft were delivered between 1987 and 1992. Lufthansa also bought Airbus A321, Airbus A340 and the Boeing 747-400.

Lufthansa adopted a new corporate identity in 1988. The fleet was given a new livery while cabins, city offices and airport lounges were redesigned.

1990s–2000s: Further expansion

On October 28, 1990, 25 days after reunification, Berlin became a Lufthansa destination again. On May 18, 1997 Lufthansa, Air Canada, Scandinavian Airlines, Thai Airways and United Airlines formed the Star Alliance, the world's first multilateral airline alliance.

Former Lufthansa headquarters in Cologne, Germany

In 2000 Air One became partner airline of Lufthansa and nearly all Air One flights are code-shared with Lufthansa. In June 2003, Lufthansa opened Terminal 2 at Munich's Franz Josef Strauß Airport to relieve its main hub, Frankfurt, which was suffering from capacity constraints. It is one of the first terminals in Europe partially owned by an airline.

On May 17, 2004, Lufthansa became the launch customer for the Connexion by Boeing in-flight online connectivity service.

On March 22, 2005 SWISS merged with Lufthansa Airlines. The merger included the provision that the majority shareholders (the Swiss government and large Swiss companies) be offered payment if Lufthansa's share price outperforms an airline index during the years following the merger. The two companies will continue to be run separately.

Lufthansa's first A380

On December 6, 2006, Lufthansa placed an order for 20 Boeing 747-8 airliners, becoming the launch customer of the type. The airline will also be the second European airline to operate the Airbus A380 (after Air France). Their first A380 has been delivered on May 19, 2010.^[11]

Alliances and partnerships

Lufthansa is owned by private investors (88.52%), MGL Gesellschaft für Luftverkehrswerte (10.05%), Deutsche Postbank (1.03%) and Deutsche Bank (0.4%) and has 37,042 employees (at March 2007).^[3]

On December 14 Lufthansa and American low-cost airline Jetblue announced the beginning of a partnership initiated through the 19% stake purchase in Jetblue shares by Lufthansa. This is the first major ownership investment by a European carrier in an American carrier since the EU–U.S. Open Skies Agreement became effective in 2008.

Lufthansa was one of the first operators of the Airbus A340-300

In late 2007, the Lufthansa cargo hub dispute was started by Russia. Lufthansa was forced to relocate its cargo hub from Kazakhstan to Russia.

On August 28, 2008 Lufthansa and Brussels Airlines announced that they were negotiating joining together.^[12]

On September 15, 2008 it was jointly announced by both airlines that Lufthansa will acquire a 45% stake in Brussels Airlines with an option to acquire the remaining 55% from 2011. As a part of this deal Brussels Airlines will join Star Alliance. Brussels entered into the Star Alliance in December 2009.^[13][14][15]

Lufthansa BAe 146 RJ85.

On 28 October 2008, Lufthansa exercised its option to purchase a further 60% share in BMI (additionally to the 20% Lufthansa already owned), this resulted in a dispute with former owner Sir Michael Bishop, though. Both parties reached an agreement at the end of June 2009, so the acquisition could take place with effect from July 1, 2009.^[16] By acquiring the remaining 20% from Scandinavian Airlines Lufthansa has full control over BMI since November 1, 2009.^[17]

In November, Lufthansa and Austrian announced a deal in which Lufthansa will buy the majority stock from the Austrian government. The deal was completed in January 2009. In January 2009, Lufthansa announced that they are in serious talks with Scandinavian Airlines System about a merger between the two airlines but Lufthansa would have to make great changes to SAS before this is viable because of the financial state of Scandinavian Airlines System over the last few years. In May 2009, it announced that talks are occurring between about a "closer commercial co-operation" between the two companies, but that a takeover is not in Lufthansa's plans.^[18] Additionally, it announced that if British Airways was unable to complete its merger with Iberia Airlines, it would attempt to begin talks with the Spanish airline itself.^[19]

Corporate affairs and identity

The main entrance to the Lufthansa headquarters in Deutz, Cologne

Headquarters

Lufthansa's corporate headquarters are located in Cologne.^[20]

In 1971 Lawrence Fellows of The New York Times described the then-new headquarters building that Lufthansa occupied in Cologne as "gleaming."^[21] In 1986 terrorists bombed the headquarters of Lufthansa.^[22] No people received injuries as a result of the bombing.^[23]

In 2006 the builders laid the first stone to the new Lufthansa headquarters in Deutz, Cologne. By the end of 2007 Lufthansa planned to move 800 employees, including the company's finance department, to the new building.^[24]

Several Lufthansa departments are not located in the headquarters; instead they are located in the Lufthansa Aviation Center at Frankfurt International Airport. The departments include Corporate Communications,^[25] Investor Relations,^[26] and Media Relations.^[27]

Subsidiaries

Lufthansa and partner Air Canada aircraft at Munich Airport

In addition to its main operation, Lufthansa has several subsidiaries, including:
Airline subsidiaries:

• Air Dolomiti, an airline headquartered in Ronchi dei Legionari, Italy, wholly owned by Lufthansa.
• Austrian Airlines, the national airline of Austria, based in Schwechat, Austria, wholly owned by Lufthansa.
• BMI, a UK airline, wholly owned by Lufthansa.
• Brussels Airlines, on July 1, 2009 Lufthansa acquired a 45% stake in the Belgian airline with an option to acquire the remaining 55% in 2011.
• Edelweiss Air, the charter arm of Swiss International.
• Eurowings a regional carrier, 49% owned by Lufthansa. ^[28]
• Germanwings, a former low-cost subsidiary of Eurowings, which is now wholly owned by Lufthansa.
• Jade Cargo International, was established in October 2004. Lufthansa Cargo holds 25%and is co-owned by Shenzhen Airlines, which has a 51% stake, and DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH, a subsidiary of the German state-owned KfW bank – with 24%. It started operations in March 2005 with intra-Asian services. It is the first cargo airline in China with foreign ownership.^[29]
• JetBlue Airways, an airline headquartered in New York, 19% owned by Lufthansa.^[30]
• Lufthansa Cargo, flight logistics company, wholly owned by Lufthansa.
• Lufthansa CityLine, a regional carrier, wholly owned by Lufthansa.
• Lufthansa Italia, a new subsidiary which is operating flights out of Milan Malpensa to destinations across Europe, with a fleet of seven Airbus A319 aircraft. The new subsidiary is intended to capture a large size of the Milan market following major cutbacks by Alitalia as a result of its hub change to Rome Fiumicino Airport.^[31]
• Luxair – Lufthansa holds a 13% stake.
• SunExpress, airline based in Antalya, Turkey; 50% owned by Lufthansa (50% Turkish Airlines).
• Swiss International Air Lines, an airline based in Basel wholly owned by Lufthansa.

Other operations:

Airbus A380 and Boeing 747 widebody aircraft at Frankfurt Airport

• Delvag, an insurance company specialising in air transport
• Global Load Control, World leader in remote Weight and Ballance Services
• LSG Sky Chefs, the world's largest airline caterer, which accounts for one third of the world's airline meals
• Lufthansa Commercial Holding, in which Lufthansa holds a 19% stake. LCH contains over 400 service and finance companies of which Lufthansa holds shares
• Lufthansa Flight Training, a provider of flight crew training services to various airlines and the main training arm for the Airline's own pilots
• Lufthansa Regional, a brand operated by an alliance of several small regional airlines, including Lufthansa CityLine
• Lufthansa Systems, largest European aviation IT provider
• Lufthansa Technik, aircraft maintenance providers

Brand history

The Lufthansa logo, an encircled crane in flight, was created in 1918. It was part of the livery of the first German airline, Deutsche Luftreederei GmbH (DLR), which began air service on February 5, 1919. The stylised crane was designed by Professor Otto Firle. In 1926 Lufthansa adopted this symbol from Aero Lloyd AG, which merged with DLR in 1923. The original creator of the name Lufthansa is believed to be F.A. Fischer von Puturzyn. In 1925 he published a book entitled "Luft-Hansa" which examined the options open to aviation policymakers at the time. Luft Hansa was the name given to the new airline which resulted from the merger of Junkers Luftverkehr AG and Deutscher Aero Lloyd.^[9]

Destinations

Codeshare agreements

Lufthansa has codeshare agreements and/or frequent flyer program partnerships with the following airlines (as of June 2010):

*Star Alliance member

Fleet

Airbus A319-100 taxiing after landing

Airbus A320

Airbus A321

Boeing 737-500

Airbus A340-600

Boeing 747-400

Boeing 727-200 in 1981

Fleet history

Over the years, Lufthansa operated the following aircraft types:^[38][39]

This transport-related list is incomplete; you can help by expanding it.

Airbus A380

Lufthansa Airbus A380 being towed to the hangar after testing, ready for its first schduled flight on the 6th of June 2010 to Johannesburg^[40]

On 6 December 2001 Lufthansa announced an order for 15 Airbus A380 superjumbos with 10 more options. This deal was confirmed on the 20th of December 2001. The A380 fleet will be used for long haul flights from Frankfurt exclusively. The first aircraft, that arrived on May 19, 2010 has been named "Frankfurt am Main". The first route of the Airbus A380 with Lufthansa is Frankfurt to Tokyo, the first flight was on June 11, 2010.^[41] The second A380, named "München" (Munich) was delivered in July 2010; Lufthansa expects four deliveries in 2010.^[42] As those arrive, Lufthansa will also operate A380 flights to Beijing in August 2010 and to Johannesburg in October 2010. Lufthansa also plans to fly the superjumbo to New Delhi in the winter season of 2010-2011.^[43]

Vintage aircraft restoration

Lufthansa Technik, the airline's maintenance arm, restored a Junkers Ju 52/3m built in 1936 to airworthiness; this aircraft was in use on the 10-hour Berlin to Rome route, across the Alps, in the 1930s. Lufthansa is now restoring a Lockheed Super Constellation, using parts from three such aircraft bought at auction. Lufthansa's Super Constellations and L1649 "Starliners" served routes such as Hamburg-Madrid-Dakar-Caracas-Santiago. Lufthansa Technik recruits retired employees and volunteers for skilled labor.^[44][45] Lufthansa sells aviation enthusiasts rides on the restored aircraft.

Cabin

Lufthansa Boeing 747-400 Business Class

Economy Class aboard a Lufthansa Airbus A340-600

Intercontinental

First Class: Lufthansa First Class is offered on all long-haul aircraft (Airbus A330-300, A340-300, A340-600 and A380-800, Boeing 747-400). Each seat converts to a two meter bed, includes laptop power outlets, as well as entertainment facilities. Meals are available on demand. Lufthansa offers dedicated First Class check in counters at most airports, and offers dedicated First Class lounges in Frankfurt and Munich, as well as a dedicated First Class Terminal in Frankfurt. Arriving passengers have the option of using Lufthansa's First Class arrival facilities, as well as the new Welcome Lounge. Lufthansa has introduced a new First Class product aboard the Airbus A380 and plans to gradually introduce it on all of its long-haul aircraft.^[46]

Business Class: Lufthansa's long-haul Business Class is offered on all long-haul aircraft. Each seat converts to a two meter lie-flat bed, includes laptop power outlets and entertainment facilities. Lufthansa offers dedicated Business Class check in counters at all airports, as well as dedicated Business Class lounges at most airports, or contract lounges at other airports, as well as the Lufthansa Welcome Lounge upon arrival in Frankfurt.

Economy Class: Lufthansa's long-haul Economy Class is offered on all long-haul aircraft. All have a 31" seat pitch except the Airbus A340s, which have a 32" seat pitch. Passengers receive meals, as well as free drinks. In 2007, Lufthansa began installing personal Audio-Video-On-Demand (AVOD) screens in Economy Class. All long-haul aircraft have been refitted, except the Boeing 747s.

European domestic

Business Class: Lufthansa's short-haul Business Class offers a 31"-32" seatpitch and is available on all A319, A320, A321 and B737 aircraft. Passengers receive meals and drinks, as well as access to dedicated Business Class check-in counters, and Lufthansa Business Class lounges. These aircraft are used on selected medium-haul flights. Inflight entertainment is not offered on any short-haul flights.

Economy Class: Lufthansa's short-haul Economy Class offers a 31" pitch and is available on all A319, A320, A321 and B737 aircraft. Passengers receive free beverages, and snacks or meals. Inflight entertainment is not offered on any short-haul flights.

In July 2010, Lufthansa announced a move to a new cabin with lighter seating in its European fleet, bringing capacity improvements equivalent to buying twelve new A320s.^[47]

Lounges

Lufthansa operates four types of lounges: First Class, Senator, Business, and Welcome Lounges. Each departure lounge is accessible both through travel class, or Miles and More / Star Alliance status; the Welcome Lounge is limited to arriving premium Lufthansa passengers only.

First Class Terminal

Lufthansa operates a First Class Terminal at Frankfurt Airport. The first terminal of its kind; access is limited only to departing Lufthansa First Class, and HON Circle members. Approximately 200 staff care for approximately 300 passengers per day in the terminal, which features a full-service restaurant, full bar, cigar lounge, relaxation rooms and offices, as well as bath facilities. Guests are driven directly to their departing flight by Mercedes-Benz S-Class, Porsche Panamera or Porsche Cayenne.

Miles & More

Lufthansa's frequent-flyer program is called Miles & More, and is shared among several European airlines, including Austrian Airlines, Adria Airways, Croatia Airlines, LOT Polish Airlines, Luxair, Swiss International Air Lines and Brussels Airlines. Miles & More members may earn miles on Lufthansa flights and Star Alliance partner flights, as well as through Lufthansa credit cards, and purchases made through the Lufthansa shops. Status within Miles & More is determined by miles flown during one calendar year with specific partners. Membership levels include: Basic (no minimal threshold), Frequent Traveller (Silver, 35,000 mile threshold), Senator (Gold, 100,000 mile threshold, 130,000 for German residents), and HON Circle (Black, 600,000 mile threshold over two calendar years). All non-basic Miles & More status levels offer lounge access and executive bonus miles, with the higher levels offering more exclusive benefits.

Accidents and incidents

• Hull-loss Accidents: 7 with a total of 182 fatalities since 1955 (the new Lufthansa only)
  • 11 January 1959– a Lockheed L-1049G Super Constellation en route from Hamburg, Germany crashed into the beach in Rio de Janeiro, Brazil while descending in heavy rain. 36 people died, 3 survived.
  • 28 January 1966– Lufthansa Flight 005, a Convair CV 440 crashed on landing after an approach in low visibility to Bremen, Germany. All 46 passengers and crew on board were killed.
  • 20 November 1974 – Lufthansa Flight 540, a Boeing 747-130 crashed shortly after take-off in Nairobi. 59 of 157 on board lost their lives. This was the first crash involving a Boeing 747.
  • 26 July 1979– Lufthansa Cargo Flight 527, a Boeing 707-330C crashed after take-off in Rio de Janeiro, Brazil, killing 3 crew members.
  • 14 September 1993– Lufthansa Flight 2904, an Airbus A320 flying from Frankfurt to Warsaw, Poland with 70 people, overran runway 11 and crashed into an earth embankment located 90 m beyond the end of the runway. The co-pilot and a passenger died. Universität Bielefeld (German)
• Hijackings
  • 13 October 1977– Lufthansa Flight 181, a Boeing 737, was hijacked and the captain murdered, but all other crew members and all the passengers were freed safely when a German counter-terrorism force (GSG 9) stormed the aircraft in Mogadishu, Somalia. One hijacker survived.
  • 11 February 1993– Lufthansa Flight 592 from Frankfurt to Cairo with 94 passengers and 10 crew members was hijacked by 20-year old Nebiu Zewolde Demeke, who diverted it to the United States with the intent of securing the right of asylum. Demeke, who was being deported back to his native Ethiopia, surrendered to authorities upon arrival at John F. Kennedy International Airport in New York City. No passengers or crew were injured or killed.
• 27 July 2010- Lufthansa Cargo flight 8460 A Lufthansa Cargo aircraft crashed in Riyadh's King Khaled International Airport in Saudi Arabia. There were no casualties and both pilots were treated at a hospital. A fire broke out during the crash and the plane was reportedly split in half.^[48]

See also

• Amadeus IT Group
• Air Berlin
• Air Dolomiti
• Augsburg Airways
• Austrian Airlines
• BMI
• Brussels Airlines
• Contact Air
• Crossair
• Eurowings
• Lufthansa Cargo
• Lufthansa CityLine
• Interflug
• JetBlue Airways
• Lufthansa heist
• SWISS
• Swissair
• SunExpress
• Lufthansa Technik
• Lufthansa Systems.

References

External links

• Lufthansa
• Be-Lufthansa – Jobs and Careers
• Lufthansa's Labor of Love: Restoring Some Really Old Junkers, Wall Street Journal, June 16, 2008
• Engineering Veteran Plays a Vital Role In Plane's Rebirth, Wall Street Journal, June 16, 2008

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