Lufthansa is in early-stage talks with SAS about taking over the Scandinavian carrier, in a move that would consolidate its position as Europe’s second-biggest airline.

As a diversified airline group, the German carrier has taken the knocks on cost and demand better than most rivals. It has made no secret of the fact that it sees the airline industry crisis as a chance to pick up bargains. Europe’s airlines are struggling with high fuel prices and flagging demand, creating opportunities for stronger carriers to snap up weaker rivals.