Lufthansa records best ever results

Alan Peat
WITH AN increase of 23.1% in turnover and a quadrupling of profits, Lufthansa Cargo recorded its best year ever in 2000.
The bulk of its 2.564-billion euro turnover came from operating revenue of E2.542-bn (+23.1%) - made from 7.7-million tonne kilometres of freight transport, and a 68.2% payload factor in its fleet of twelve MD 11 and eight Boeing 747-200 freighters.
The profit from these operating activities rose year-on-year by E173.1-m to a total of E227.5-m.
Operating expenses rose by 22.9% in 2000 - with a large chunk of the increase coming from a fuel bill leaping by 91%.
"However," finance director Walter Gehl told FTW in Frankfurt, "we managed to contain the effects of high kerosene prices by fuel hedging, and by adding a fuel surcharge to cargo rates."
The prime driver behind Lufthansa Cargo's record performance in 2000, he added, was the success of its time-definite (td) products which it launched in 1998.