Lufthansa Posted Record-Setting Result in 2007

Deutsche Lufthansa AG posted record figures for profit and revenue in 2007 for the second year in a row. The Group profit after taxes was 1.7 billion euros; more than double that of the previous year. Revenue during the last year increased by 13 percent to 22.4 billion euros. The operating profit also climbed to a new record peak at 1.4 billion euros, which was equivalent to a rise of 63.1 percent.

The Lufthansa Group continued to implement its strategy by again focusing on its core competencies and profitability during 2007: All business segments contributed to the success with positive results.

The airlines of the strategic passenger business segment achieved excellent results. The development of SWISS International Air Lines was particularly successful: The Swiss airline, which has been fully consolidated in the Group accounts since July 2007, had the best year in the company’s history.

During the past year, the airlines were able to successfully consolidate cost and revenue synergies of altogether 233 million euros –a value that clearly surpassed all expectations.

The Lufthansa Group’s investment in the future is a high priority. The current order for more than 170 new aircraft shall not only secure the sustainable modernization of the fleet and profitable growth, but also constitute a major contribution to environmental protection.

The Lufthansa Group generated revenues of 22.4 billion euros in 2007, representing growth of 13 percent. Traffic revenue increased by 14.4 percent to 17.6 billion euros.

As of the third quarter of 2007, the figures also include the first time consolidation in the Group accounts of SWISS International Air Lines for the July to December period. The increase can mainly be attributed to the effects of the consolidation (9.4 percent), as well as the continued rise in passenger figures (6.4 percent).

Lufthansa invested a total of 1.4 billion euros in 2007, of which more than 1.1 billion euros were invested in the purchase of new aircraft. Operating cash flow totaled 2.9 billion euros.