Germany's Lufthansa issues profit warning

AP News
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Posted: Sep 20, 2011 6:53 AM
Germany's Lufthansa issues profit warning

Germany's biggest airline, Deutsche Lufthansa AG, says it is scaling back its earnings forecast for this year amid economic uncertainty.

The company said Tuesday that its target of increasing operating earnings from last year's euro876 million ($1.2 billion) "no longer appears to be achievable."

It says it now expects an operating profit "at the upper end of the three-digit million euro range" but isn't giving a specific figure.

Lufthansa says the change reflects a weaker-than-expected performance by its passenger airline operations in August.

It adds that "in view of ongoing economic uncertainties, further booking trend expectations were also adjusted."