Germany-based Deutsche Lufthansa AG has reduced its earnings expectations for 2009 due to weakening industry conditions. The airline's credit protection measures are deteriorating, and we anticipate that they will come under further pressure this year. We are lowering the long-term corporate credit rating by one notch to 'BBB-'. The negative outlook reflects our view that the group's financial profile may be affected by slowing passenger volume and a weakening yield trend as fare competition intensifies. On Aug. 27, 2009, Standard&Poor's Ratings Services lowered its long-term corporate credit rating and its senior unsecured ratings on Germany-based aviation group Deutsche Lufthansa AG (LH) to 'BBB-' from 'BBB'. The outlook is negative. At the same time all ratings were removed from
