bmi a drag on Lufthansa – Share Wrap
Lufthansa has reported consolidated traffic figures for Jul-2009 which include, for the first time, results for British Midland (bmi). Overall Group passenger numbers were affected by last year's strike action, slightly higher demand for seasonal reasons and the first-time inclusion of bmi, which Lufthansa is reportedly moving to offload.
The UK-based carrier is having a negative impact on Lufthansa Group load factors, particularly the cargo segment, where bmi reported an average load factor last month of just 16.6%.
Total Group ASKs last month rose by 5.7%, but without bmi, there was a decline of 1.0%. Group RPKs rose 6.2%, but would have fallen by 0.2% without bmi. Group passenger load factor increased 0.4 ppts to 83.1%, but without bmi, the load factor would have been higher at 83.4%.
No improvement in cargo segment
Lufthansa noted there were "again still no signs of a tangible improvement in market conditions in July" at Lufthansa Cargo. Overall cargo load factor stayed stable in July at 65.1%, reflecting "further strong adjustments to capacity", which fell 8.4%.
Lufthansa's shares fell 3% in a soft day for European equities. British Airways and Air France-KLM fell 2.8% and 3.7%, respectively.
Europe selected airlines daily share price movements (% change): 11-Aug-09
