Egyptian authorities investigating the crash of an EgyptAir plane in May said they have found traces of explosives on the bodies of some of the victims. EgyptAir flight MS804, flying from Paris to Cairo, crashed into the Mediterranean on May 19, killing all 66 on board. There will now be a criminal investigation into the cause of the crash, Egypt’s civil aviation body said. Le Figaro said in September that French investigators had found traces of explosives on the wreckage, but they were prevented from further examination of crash debris after detecting the traces. Audio from the aircraft’s cockpit voice recorder mentioned a fire on board the plane in its final moments. Initial analysis of the flight data recorder showed there had been smoke in the lavatory and avionics bay, while recovered wreckage showed signs of high temperature damage.<br/>
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Lufthansa is launching a code-sharing agreement with Abu Dhabi-based Etihad — a key financial backer of troubled rival Air Berlin, from which Lufthansa will lease 38 aircraft for two of its subsidiaries. Lufthansa said Friday that its LH code will be placed on Etihad flights between Abu Dhabi and Frankfurt and Munich starting in January. Etihad will use its EY code on Lufthansa flights between Frankfurt, Rio de Janeiro and Bogota. In a separate agreement, Lufthansa's Eurowings and Austrian Airlines units are to lease 38 planes from Air Berlin in a six-year deal set to start in February. Etihad owns a 29% stake in Air Berlin after stepping in to support the heavily indebted airline.<br/>
Lufthansa and German pilots' union Vereinigung Cockpit have agreed to mediated talks to resolve a row over contracts dating back to 2012, averting the threat of further strikes for a few more weeks, the two parties said Friday. Lufthansa has been embroiled in a series of separate disputes with its pilots and cabin crew staff over pay and conditions as management seeks to reduce costs to compete with budget airlines and more efficient long-haul carriers. The mediation process is to start in early January and be completed within the month, during which time the pilots will not call for further strikes, Lufthansa and VC said Friday. "The negotiating table is the only place where we can find solutions that offer prospects for employees and for the company," said Bettina Volkens, Lufthansa's head of personnel. Lufthansa's pilots have walked out 15 times since early 2014, costing the carrier hundreds of millions of euros in lost profits. Most recently, they were on strike for six days in November, costing the airline a further E100m in profits. The pilots have asked for an average annual pay increase of 3.7% over a five-year period back-dated to 2012, which is when their last collective bargaining contract with Lufthansa expired. The pilots say altogether these increases would amount to a rise of nearly 20% on current pay.<br/>