Lufthansa has announced its Italian subsidiary Lufthansa Italia will shut down operations by October-end. The German airline giant will focus instead on bringing Italian passengers to its major European hubs.
"Given the slump in prices on European routes and the competition, it was extremely difficult to establish a profitable European network under a separate brand," stated LH chairman and CEO Christoph Franz. "It therefore makes sense to focus the Lufthansa Group's offering on connecting the Italian market to the group's hubs."
The brand will continue operations till October-end, after which its eight A319s will be reassigned within the Lufthansa Group.
Lufthansa established the Italian subsidiary in spring 2009.
Apart from Italian domestic routes Lufthansa Italia operates to London and Paris.
Lufthansa regional subsidiary Air Dolomiti will now extend its network, especially between Italy and Germany, to fill the vacuum created by Lufthansa Italia.