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17-Sep-2015 8:37 AM

Lufthansa Group to be reorganised to enhance synergies and strengthen customer focus

Lufthansa Group Supervisory Board approved (16-Sep-2015) a new group structure to improve efficiency across the commercial, operational and administrative departments of all its business segments. This forms part of the 7 to 1: Our Way Forward' programme, which will take effect from 01-Jan-2016. The following changes will take effect for board members:

  • Swiss International Air Lines CEO Harry Hohmeister will step down to lead the commercial management of the group's hubs and premium airlines Lufthansa, Swiss International Air Lines and Austrian Airlines;
  • Thomas Kluehr, currently Head of Hub Munich and finance, has been appointed as new Swiss CEO from 01-Feb-2016;
  • Lufthansa Passenger Airlines CEO Karl Ulrich Garnadt will head the Eurowings Group executive board. He will also be responsible for the development of further airlines and service companies. According to Lufthansa, the Eurowings Group will be developed as independently as possible to ensure its strategic and operational flexibility in the particular markets it serves. A new Executive Board will be established from 01-Nov-2015 onward to provide overall management of the Eurowings Group;
  • CFO Simone Menne will continue to head group finances. She also assumes responsibility for the group's IT in the new organisation;
  • Dr Bettina Volkens will continue to handle HR and legal affairs responsibilities;
  • Detlef Kayser will be EVP of strategy and fleet. He will also manage the "7 to 1: Our Way Forward" programme;
  • CCO Jens Bischof will take over Frankfurt hub management. Mr Bischof will hold responsibility for the worldwide distribution of all three network carriers;
  • Austrian Airlines CCO Andreas Otto will assume commercial responsibility for the Vienna Hub and take over responsibility for product management of Lufthansa's hub carrier;
  • Swiss CCO Markus Binkert will manage operations in Zurich and the "distribution and revenue management" process for all network airlines;
  • Lufthansa Group-Asia-Pacific head of sales Steffen Harbarth will also take on the role of CCO for Lufthansa's Munich hub, along with responsibility for the marketing of all three network airlines. He will also be responsible for further developing the Lufthansa brand.

Deutsche Lufthansa AG CEO and chairman of the executive board Carsten Spohr said: "We are making good progress in all seven fields of action of our '7 to 1: Our Way Forward' programme. The new alignment of the Lufthansa Group that we have today resolved to adopt will strengthen our airlines and our service companies. Our new group organisation should make us more efficient and more responsive, too; and this in turn should sustainably strengthen the position of the Lufthansa Group in its various markets and business segments". The organisational adjustments are expected to add EUR500 million to annual earnings once they are fully implemented in 2019. [more - original PR]

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