German airline Lufthansa made almost 1 billion
euros in profit last year but said Wednesday it would cut 700 jobs
and scrap its 2012 shareholders dividend in a bid to slash costs.
Net earnings rose to 990 million euros (1.3 billion dollars) last year, in large part due to equity sales, rebounding from a loss of 13 million euros in 2011, the airline said in a statement.
Lufthansa said it plans a 9-billion-euro aircraft shopping spree over the next decade, ordering eight long-haul jets and 100 smaller planes, to be delivered between 2015 and 2025.
The company did not say what type of aircraft it would order as talks continued with manufacturers Boeing and Airbus.
The airline said it would cut some 700 jobs by 2017 in its Cologne headquarters and at Lufthansa Revenue Services near Hamburg.
Services union Verdi said it would fight the job cut plans and did not rule out strike action. In the longer term, Lufthansa plans to reduce its global payroll by 3,500 positions.
Most Popular Stories
- Bently Creates Alabama Small Business Commission
- California King Fire Roars Out of Control
- Mercedes Rolls Out S550 Plug-in Hybrid
- Is Alibaba's IPO Price a Fairytale?
- Kardashian: Kanye Never Told Fan in Wheelchair to Stand Up
- SBA Kicks off Hispanic Heritage Month
- CalPERS Pulls Out of Hedge Funds
- Poverty Rate Drops for First Time Since 2006
- U.S. Tobacco Growers Lose Last of Price Supports
- Two-thirds of Hispanics Doubt Media Accuracy