On April 30, Germany's leading airline Lufthansa posted a first-quarter net loss of EUR256 million (US290 million), compared with a profit of EUR44 million in the same period a year earlier.

On April 29, Lufthansa had reported an operating loss of EUR44 million in the first three months of the year, and said it expected a drop in 2009 sales owing to a dip in short-term demand for flights.

Finance director Stephan Gemkow was quoted by a statement on April 30 as saying that "the current crisis is putting a strain on our profits", but he added that the group was well positioned to weather the storm.

"Now we will see who is prepared and able to react effectively against these difficult conditions. Lufthansa is a strong company and can hold its course, even in difficult times," Gemkow said.

For 2009, the airline warned of "a considerable reduction in the operating result", but the finance director said Lufthansa should "maintain a significantly positive operating result, even in this environment".

The carrier benefited from a sharp drop in fuel costs, which shed 31 per cent to EUR739 million, but also suffered a decline in the number of passengers and freight carried.

Traffic sales fell by 14.6 per cent from the first quarter of 2008 to EUR3.8 billion, the statement said.

Photograph: Lufthansa's fleet at Frankfurt airport in Germany. Photo by CARNOC.com message board member - D-ABHC.