FRANKFURT (dpa-AFX) - The wave of strikes at Lufthansa is weighing on both the airline and airport operator Fraport this Wednesday. Lufthansa shares shed 2.6 percent in morning trading following news that pilots are already planning their next walkout, even as cabin crew commenced strike action on Wednesday.
While Fraport shares slipped 1.2 percent amid the impact of canceled Lufthansa flights, other European network carriers proved more resilient. Shares of Air France-KLM and IAG, the parent company of British Airways and Iberia, traded near their previous day's levels in Paris and London. Oil prices, which had recently pressured many sector stocks due to the conflict in Iran, remained relatively stable below 100 US dollars mid-week.
Lufthansa pilots had already been on strike on Monday and Tuesday, and now flight attendants have begun their latest walkout, which is scheduled to last until Thursday. Simultaneously, pilots announced their next wave of strikes for Thursday and Friday. In addition to the core Lufthansa brand, this action is expected to affect the freight subsidiary Cargo AG, regional carrier CityLine, and leisure airline Eurowings.
Analyst Yi Zhong from AlphaValue, a partner of Baader Bank, noted on Wednesday that "endless strikes" were taking a toll. With the cabin crew walkout, Wednesday marks the start of the fifth wave of industrial action by a union. This highlights "the group's systemic difficulties" regarding a strained personnel situation, which is likely to further weigh on the group's financial position and brand reputation. Alongside high fuel prices, this is creating additional headwinds./tih/gl/nas
