Lufthansa to cut costs at Eurowings subsidiary-Der Spiegel

Lufthansa will speed up cost cutting to try to boost productivity at its Eurowings subsidiary as it battles to defend market share in a competitive European market, CE Carsten Spohr said. "After quick growth in recent years we will first and foremost reduce complexity and costs (at Eurowings)," Spohr said in an interview with Der Spiegel. "That's why we have switched growth to zero. That is an absolutely rational step in an industry with high overcapacity," he added. Poor margins at Eurowings compared with sector rivals were cited by the group as a major reason for a profit warning Sunday. Eurowings' revenue was also forecast to fall sharply in Q2. Asked about consequences for jobs, Spohr said Eurowings would retain a strong position within airports such as Frankfurt, Munich, Zurich and Vienna. <br/>