An AP article reports that Lufthansa has announced that it will raise ticket prices by $8 and take 26 planes out of service, resulting in a 20% reduction of transatlantic seating capactity. Route cuts were also announced in the article, although a few more were mentioned here than I think have been in on the message board, if I remember correctly:
"Lufthansa, Europe's No. 2 airline after British Airways, also said Friday that it would drop four of seven flights on its Frankfurt-Phoenix and Munich-Los Angeles routes as well as one of its seven weekly flights from Frankfurt to Atlanta.
It already had announced it was dropping its Berlin-Washington route and one daily flight from Frankfurt to New York and Frankfurt to Washington.
Lufthansa will continue to offer four flights a day to New York, it said."
This is a big blow to the Phoenix station. I'm not surprised though, as they compete with BA for Europe traffic, and don't have much feed aside from people who book through third enities who would put them on both LH and HP. I doubt BA will do anything to the PHX route because 1) They have already announced major route cuts, and 2) They have the America West codeshare operation out of PHX.
Also, although the article states that one of its dailies from Frankfurt to New York will be dropped, LH will continue to offer 4 flights a day to the NY area. What does this mean? Will LH drop a flight from JFK and add another one to EWR, or vice versa?
Link to Article: http://news.excite.com/news/ap/010928/08/biz-attacks-lufthansa