Lufthansa has announced it has acquired Austrian Airlines after its supervisory board agreed to buy the 41.6% stake held by Austria's privatisation agency, OeIAG.

The carrier will pay an initial €366,000 for the Austrian government's 42% and may pay a further €162 million, depending on Austrian's future performance and on the Lufthansa share price.

"The consequences of the financial markets crisis and its effects on the real economy have a major impact on the aviation industry. Structural changes increase the likelihood of Lufthansa and Austrian Airlines sharing a brighter future," Lufthansa said in a statement.

Source: Routes News