Lufthansa slims capacity plans

City A.M. Reporter
DEUTSCHE Lufthansa pulled back further from plans to lift capacity and expand its passenger fleet to safeguard profits threatened by soaring fuel prices.

The German carrier said yesterday it would offer only 0.5 per cent more seats this year instead of one per cent, having already shrunk its growth plans several times in recent months.

Lufthansa said it still expected its 2012 operating profit to decline to the mid-hundreds of millions from €820m last year. In the second quarter, its operating profit rose more than a quarter to €361m.