German flag carrier Lufthansa has announced that its new low-cost subdivision will be branded under the Germanwings name.
With effect from January 1, 2013, point-to-point routes between Germany and other European cities will be operated under the Germanwings brand. Currently, Germanwings offers all-economy seating and additional fees apply for luggage and meals.
In a statement, Lufthansa Chief Executive Christoph Franz said that flights to and from Lufthansa’s hubs in Frankfurt and Munich, which connect with long-haul services, will continue to be operated by Lufthansa, but all other European routes will be operated by Germanwings.
Lufthansa has been hard hit by competition from budget airlines like EasyJet and RyanAir, and these changes are designed to make the airline more profitable.