Lufthansa Group said Thursday that it will accelerate plans to ground and retire some aircraft due to the ongoing surge in jet fuel prices.
The most immediate change, and perhaps the most surprising, is the deactivation of regional subsidiary Lufthansa CityLine. As of Saturday, all of the carrier’s 27 operational aircraft will be permanently removed from Lufthansa Group’s flight program, “in order to reduce further losses of the loss-making airline.”
CityLine, which is based in Munich, was previously set to wind down in 2027.
Lufthansa Group left some ambiguity about when exactly the subsidiary will be permanently closed but said it has already offered employees work at other divisions within the company.
At the end of summer, Lufthansa’s last four remaining Airbus A340-600s will be retired, and two Boeing 747-400s will be grounded. Officials said the removal of the six long-haul aircraft will help conserve fuel.
Lufthansa plans to permanently retire the 747-400 next year.
During the winter of 2026-27, five aircraft will be temporarily removed from Lufthansa’s mainline short- and medium-haul operations. Lufthansa Group did not say which aircraft types will be affected.
“The package for accelerated implementation of fleet and capacity measures is unavoidable in light of the sharply increased kerosene costs and geopolitical instability,” Lufthansa Group CFO Till Streichert said in a statement. “The goal is to focus our short- and medium-haul platforms more clearly and make them more competitive.”
Streichert also noted the accelerated shutdown of Lufthansa CityLine and called the decision “painful.”
In an added measure, Lufthansa Group said it has implemented new savings targets for staff recruitment, internal events, and external consulting services. The targets will help the company meet a previously announced goal of eliminating 4,000 administrative positions group-wide by 2030, officials said.
