Lufthansa’s new boss plans no-frills long-haul service

Lufthansa may launch low-cost long-haul flights under a new brand as part of plans by the company's new boss to battle competition from Middle East carriers and no-frills airlines.

The plan, unveiled yesterday, would mark a big shift for the firm which prides itself on still being a full-service airline. It also represents a high-risk route few others have taken.

Chief executive Carsten Spohr, who took over in May, said the market for leisure travel was growing faster than business travel via hubs.

Lufthansa, which warned on profit last month, is to expand its European low-cost service and possibly add a new one for long-haul flights. It is in talks to set up a joint operation with Turkish Airlines, Spohr said, though it could end up going it alone. If its board approves the plans, such flights could start by the end of 2015. – (Reuters)