=20 ---------------------------------------------------------------------- This article was sent to you by someone who found it on SF Gate. The original article can be found on SFGate.com here: http://www.sfgate.com/cgi-bin/article.cgi?file=3D/news/archive/2003/06/24/f= inancial0856EDT0023.DTL ---------------------------------------------------------------------- Tuesday, June 24, 2003 (AP) Swiss national airline to cut 3,050 jobs, 34 aircraft ERNST E. ABEGG, Associated Press Writer (06-24) 05:56 PDT BASEL, Switzerland (AP) -- Switzerland's struggling national carrier Swiss International Air Lines said Tuesday it will slash its work force by more than a quarter and cut 34 aircraft from its fleet. The airline, known as Swiss, said a meeting of its board had approved the latest cost-cutting plan -- including 3,050 job losses -- which aims to save about $1.2 billion. "The board of directors is convinced that the planned restructuring is an essential condition for the survival of Swiss," the company said. On Monday, trading in the airline's shares was suspended for two days because the board meeting was expected to announce drastic cuts. Swiss, formed with government help in March 2002 on the foundation of the collapsed Swissair, lost 980 million francs -- then $706 million -- in its first year of business. The company already had said it planned to cut costs by $454 million this year. In May, Swiss said that more drastic measures were needed because of economic problems plaguing the airline industry. The company was one of several which cut services to Asia because of falling demand amid the SARS crisis and the Iraq war. "Only healthy, well positioned companies will survive" in the global airline market, Swiss said Tuesday. About 700 cockpit jobs will go, Swiss said. Another 850 flight attendants and 1,500 ground staff also will lose their jobs. The company currently employs about 10,500 people. Swiss said the losses were a "painful measure," adding that it is holding talks on the layoffs with labor unions. GATA, the biggest union representing ground staff, called the cuts "unacceptable" and accused the ariline's board members of acting "brainlessly." The airline said it will cut 34 aircraft from its fleet, leaving it with 74 planes. After the changes, due in the fall, Swiss' long haul fleet will stand at 18 aircraft, its medium-haul 21 and its regional fleet at 35. Swiss said it will eliminate about a third of the destinations in its network. The airline also said it plans to start charging economy class passengers for in-flight services like meals on European flights -- something many low-cost airlines do already. =20 ---------------------------------------------------------------------- Copyright 2003 AP