Business: Good week - Bad week

Good Week

© Lufthansa

LEGROOM Lufthansa is looking at new slimline seats for its short-haul fleet as a way to boost yields by increasing capacity without reducing space for individual passengers. The move, which could come next year, is part of an efficiency drive to reduce costs and fight growing competition from low-cost carriers such as Air Berlin and Ryanair. No seat manufacturer has yet been chosen, but it is "very likely" that the new seats will be introduced, says the carrier.

 

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Bad Week

© Cimber Sterling

CIMBER STERLING Investor reticence has forced the Danish carrier to change its initial public offering plans by halving the share price to DKr10-13 ($2-2.60) and doubling the number of new shares available to 27.5 million. The company, which lost DKr59 million in 2008-9, is also offering up to 2.9 million existing shares. Says Cimber: "As there is particular uncertainty as to the timing of a recovery, investors are demanding an above-normal risk premium."

 

 

Source: Flight International