German budget airline DBA takes over rival

18th February 2005, Comments 0 comments

18 February 2005, MUNICH - German budget airline DBA announced in Friday the business takeover of discount rival Germania Express (Gexx) to create Germany's third-largest carrier after Lufthansa and Air Berlin. DBA owner Hans Rudolf Woehrl said the company was taking over the 15 routes and 12 aircraft operated by Gexx, to increase its passenger numbers from 3 million to more than 4 million a year. Woehrl said DBA would now be Lufthansa's biggest rival on domestic routes and be the country's number three ov

18 February 2005

MUNICH - German budget airline DBA announced in Friday the business takeover of discount rival Germania Express (Gexx) to create Germany's third-largest carrier after Lufthansa and Air Berlin.

DBA owner Hans Rudolf Woehrl said the company was taking over the 15 routes and 12 aircraft operated by Gexx, to increase its passenger numbers from 3 million to more than 4 million a year.

Woehrl said DBA would now be Lufthansa's biggest rival on domestic routes and be the country's number three overall after Air Berlin.

DBA forecasts a profit for the first time in the business years ending 31 March of between EUR 0.5 million and 2 million.

The deal sees the Gexx brand and its pricing strategy disappear from the market. But DBA said it was not a formal takeover. The Gexx Fokker aircraft will remain the property of parent company Germania and fly under the DBA logo under a leasing arrangement.

DBA was formerly Deutsche British Airways, a subsidiary of British Airways. It was bought by Woehrl in 2003 for a symbolic price and seeks mainly to attract business customers.

DPA

Subject: German news

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