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Lufthansa grounds Germanwings subsidiary, retires some A380s and 747s in coronavirus restructuring

April 07, 2020
2 min read
Lufthansa grounds Germanwings subsidiary, retires some A380s and 747s in coronavirus restructuring
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Another airline has seen the end of its days as a result of the coronavirus crisis. On Tuesday, Lufthansa Group announced that Germanwings, its low-cost subsidiary, would cease operations.

In the group's first restructuring package unveiled on Tuesday, it said that it would ground Germanwings operations as part of a broader overhaul that would also see operations cut across other parts of the business. The group said that the decision was part of its evaluation that the post-coronavirus recovery would take years.

"The Executive Board of Deutsche Lufthansa AG does not expect the aviation industry to return to pre-coronavirus crisis levels very quickly," Lufthansa Group said in a statement. "According to its assessment, it will take months until the global travel restrictions are completely lifted and years until the worldwide demand for air travel returns to pre-crisis levels."

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Germanwings had a fleet of 15 A319 aircraft, according to Planespotters.net. Most recently, Germanwings operated under the Eurowings umbrella on some of its short-haul flights.

In addition to grounding Germanwings operations, Lufthansa Group said 18 Lufthansa aircraft would be permanently retired. That group of aircraft includes six Airbus A380s, which it had already planned to sell back to Airbus, seven A340-600s and five 747-400s. In addition, it's taking 11 of its short-haul A320s out of operation.

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With that decision, Lufthansa also will be reducing capacity at its hubs in Frankfurt and Munich.

Lufthansa CityLine is withdrawing three A340-300s from service, and Eurowings is phasing out 10 of its A320s.

“Germanwings flight operations will be discontinued. All options resulting from this are to be discussed with the respective unions,” the company said in a statement.

Airlines around the world have struggled to cope with the ongoing effects of the coronavirus crisis. In early March, regional U.K. airline Flybe ceased all operations and United affiliate Trans States Airlines ended service in April.More: Some airlines have completely suspended service during coronavirus pandemic

Featured image by AFP via Getty Images

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Card Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
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The Capital One Venture X card is one of the best all-round travel credit cards ever launched. Not only is it offering a tremendous welcome bonus, but cardholders can earn tons of miles on everyday spending and receive a 10,000-mile anniversary bonus to boot. Its annual fee is $395, but cardholders can count on up to $300 in statement credits toward travel booked through Capital One Travel each year and other valuable benefits like access to Priority Pass lounges and Capital One’s own growing family of airport lounges.

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  • 10,000 bonus miles (worth $100 toward travel) each account anniversary.

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  • The $395 annual fee might be expensive for some, but this card’s benefits provide much more value than that.
  • If you don’t travel frequently, this might not be the best card for you.
  • Earn 75,000 bonus miles when you spend $4,000 on purchases in the first 3 months from account opening, equal to $750 in travel
  • Receive up to $300 back annually as statement credits for bookings through Capital One Travel, where you'll get Capital One's best prices on thousands of options
  • Get 10,000 bonus miles (equal to $100 towards travel) every year, starting on your first anniversary
  • Earn unlimited 10X miles on hotels and rental cars booked through Capital One Travel and 5X miles on flights booked through Capital One Travel
  • Earn unlimited 2X miles on all other purchases
  • Unlimited complimentary access for you and two guests to 1,400+ lounges, including Capital One Lounges and our Partner Lounge Network
  • Receive up to a $100 credit for Global Entry or TSA PreCheck®
  • Use your Venture X miles to easily cover travel expenses, including flights, hotels, rental cars and more—you can even transfer your miles to your choice of 15+ travel loyalty programs
  • Named editors' choice for "Best New Credit Card of 2021" by The Points Guy
  • Earn 10 miles per dollar when you book on Turo, the world's largest car sharing marketplace, through May 16, 2023