Lufthansa Cargo and Austrian Airlines created a joint subsidiary to market the whole freight capacity of both airlines in Austria.

With headquarters in Vienna, Austrian Lufthansa Cargo GmbH will also manage freight handling activities in Austria and the expansion of Vienna airport into a hub for Lufthansa Cargo.

Lufthansa Cargo will hold 74 percent of the new company; Austrian Airlines will hold 26 percent.

Franz Zochbauer, former head of the Austrian Cargo Division at Austrian Airlines, will be responsible for expanding the Vienna hub. Hasso Schmidt will retain his position as director Austria, eastern and southeastern Europe, Turkey and Israel at Lufthansa Cargo and also assume responsibility for sales for the new airline.