Subscribe to view this issue

Issue Overview

Lufthansa’s Eurowings Problem

Lufthansa’s Eurowings Problem

July 1st, 2019

Issue Summary

In an all-day event with investment analysts last week, Lufthansa trumpeted the overall success of its 2014 business plan—with justification: The company doubled its operating margin from 4% in 2014 to 8% in 2018. But one important aspect of the plan was an unequivocal failure. Eurowings, born in 2015, was supposed to be Lufthansa’s low-cost answer to low-cost competition. It emerged from its predecessor Germanwings, which was burdened by pilots earning mainline wages. But rather than stabilize earnings in non-hub markets outside of Frankfurt and Munich, Eurowings became a headache in its own right. Last year, it posted a $241m…

In This Issue

Get Access To This Issue When You Subscribe

Already a subscriber? Login

  • 48 new issues per year
  • Access to all AW Daily stories
  • Access to issues through 2019
  • Unlimited access to Ask Skift
  • Access to Skift Research Airline Reports

Pay Annual


Per Month

Charged $995 per year.