Lufthansa To Open Italy Routes, Including Milan-Rome
04.03.09, 12:47 Uhr |
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ROME -(Dow Jones)- Deutsche Lufthansa AG (LHA.XE) said Wednesday its Italian unit would start three routes in the peninsula, stepping up competition against Alitalia SpA (AZA.MI), which recently struck a deal with Air France-KLM SA (3112.FR).
The German carrier said Lufthansa Italia would fly from Milan's Malpensa airport to Rome, and the southern Italian cities of Naples and Bari, from April.
The German airline was last year locked in a long battle with Air France-KLM to strike an alliance with Alitalia and gain a foothold on the peninsula.
The Franco-Dutch airline took a 25% stake in Alitalia for around EUR320 million last year. Lufthansa launched its own Italian company in November 2008 by taking the slots struggling Alitalia had given up at Malpensa.
"Excellent booking figures prompted Lufthansa Italia to add on more services and expand its original flight offering," Lufthansa said in a statement.
Lufthansa Italia currently flies from Milan to six European cities including Paris and Barcelona -for which flights started in February -but has no internal flights.
The move poses a challenge to the revamped Alitalia, which is already struggling on the lucrative Rome-Milan route after Italy's state-owned rail company, Ferrovie dello Stato, recently launched a new high-speed train connecting the two cities.
The chief executive of the newly privatized Italian airline, Rocco Sabelli, Tuesday complained that Alitalia was at an unfair disadvantage because the train company benefited from state funds.
Sabelli said he expects Alitalia to lose around EUR200 million in 2009.
Alitalia was restructured in 2008 and merged with its biggest domestic rival, Air One SpA, giving it more than a 55% share of Italy's internal flights. It serves most flights between the capital and Milan's other airport, Linate, which is closer to the city center.
Lucrative domestic routes, such as that between Rome and Milan, form a key part of Alitalia's plan to break even in 2010.
The German airline was last year locked in a long battle with Air France-KLM to strike an alliance with Alitalia and gain a foothold on the peninsula.
The Franco-Dutch airline took a 25% stake in Alitalia for around EUR320 million last year. Lufthansa launched its own Italian company in November 2008 by taking the slots struggling Alitalia had given up at Malpensa.
"Excellent booking figures prompted Lufthansa Italia to add on more services and expand its original flight offering," Lufthansa said in a statement.
Lufthansa Italia currently flies from Milan to six European cities including Paris and Barcelona -for which flights started in February -but has no internal flights.
The move poses a challenge to the revamped Alitalia, which is already struggling on the lucrative Rome-Milan route after Italy's state-owned rail company, Ferrovie dello Stato, recently launched a new high-speed train connecting the two cities.
The chief executive of the newly privatized Italian airline, Rocco Sabelli, Tuesday complained that Alitalia was at an unfair disadvantage because the train company benefited from state funds.
Sabelli said he expects Alitalia to lose around EUR200 million in 2009.
Alitalia was restructured in 2008 and merged with its biggest domestic rival, Air One SpA, giving it more than a 55% share of Italy's internal flights. It serves most flights between the capital and Milan's other airport, Linate, which is closer to the city center.
Lucrative domestic routes, such as that between Rome and Milan, form a key part of Alitalia's plan to break even in 2010.
Company Web site: www.lufthansa.com
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