Originally Posted by
dan1431
I have re-read all the pros and cons to an LH/B6 alliance and I still do not see this investment as anything other than that, an investment.
Yes, B6 could morph over time into a more full service airline but, I highly doubt it. Yes, F/J pax might be willing to overlook the transition from a great long-haul flight in F/J to a better coach product but, again I highly doubt it. Yes, most PAX are flying coach/economy but, as others have said, airlines are trying to court full-fare F/J pax, not low-fare coach pax.
All of this says to me that the LH financial leaders are making a calculated investment, and nothing more at this point. Possible they might also view this as a hedge against any troubles with UA in future but, that is not as likely in my opinion.
Are there any precedents in Lufthansa's history for speculative investments of the kind you suggest? From what I've seen, the only time LH have got involved with another company it's been with an eye on a longer goal and, unlike FAR too many US corporations, their goals are long term, not just about next weeks stock price. The nearest equivalent I can think of is their strategic holding in BD, where I believe they have some kind of 'put' option that could well see them acquire BD in the next couple of years.