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Lufthansa's decision to suspend 27 regional aircraft is quite a significant move. The pressure from fuel costs must really be hitting home. According to the announcement on April 17th, its subsidiary Lufthansa CityLine will stop operating its aging aircraft starting from the 18th. It seems they plan to withdraw completely within the year, so it's a major management decision.
It also appears that the impact of strikes is adding to the pressure, so it's not just rising fuel prices but a variety of pressures coming all at once. European airlines tend to act quite quickly in such situations. They probably see this as the only way to reduce losses.
Will such adjustments become more common across the entire airline industry? Fuel cost issues don't seem like they'll be easily resolved.