ÖLAG: Austria’s First Airline (1923-1939)

More than thirty years before Tyrolean Airways, and well before Austrian Airlines was founded in 1957/58, Austria already had an airline of its own: the Österreichische Luftverkehrs AG (ÖLAG), founded in 1923. Within a decade it grew into Europe’s fourth-largest airline, before Austria’s annexation by Nazi Germany in 1938 brought its sudden end.

Founding and First Flight, 1923

The Österreichische Luftverkehrs AG (ÖLAG) was founded on 4 May 1923, Austria’s first airline. It immediately joined the Trans-Europa-Union, an alliance of airlines, including the Swiss Ad Astra Aero, the German Rumpler Luftverkehr and the Hungarian Aeroexpress, that jointly marketed pan-European flights. The Junkers-Werke held 49 percent of ÖLAG’s shares. Just ten days after its founding, on 14 May 1923, a Junkers F 13 flew the airline’s first service: after a flight of about one hour and 45 minutes, the four-seat aircraft from Munich landed not at Aspern airfield but on a marshy meadow by the Danube at Jedlesee, now part of Vienna’s 21st district, chosen because the aircraft could there be converted to a floatplane for the onward leg to Budapest. In its founding year, ÖLAG served only two routes, Vienna–Munich and Vienna–Budapest, with two Junkers F 13s, flying 232 flights and carrying 539 passengers.

Growth to Europe’s Fourth-Largest Airline

In 1926 the Trans-Europa-Union was dissolved; Luft Hansa, ÖLAG and other airlines instead agreed to plan their routes jointly. The network grew to include regular services to Berlin, Budapest and Milan. In 1932, Deutsche Luft Hansa took a stake in ÖLAG by taking over the Junkers-Werke’s shareholding. By its tenth anniversary in May 1933, the company had flown 19,363 flights, carried around 485,000 passengers, and transported about 490 tonnes of baggage and 400 tonnes of freight. Measured by available seat-kilometres, ÖLAG ranked fourth in Europe, behind Luft Hansa, KLM and Air France.

The End During the 1938 Annexation

Austria’s annexation by Nazi Germany in March 1938 ended ÖLAG’s independence. On 17 December 1938, Lufthansa took over the Republic of Austria’s 51 percent stake. On 31 December 1938, after not quite 15 years, ÖLAG ceased operations for good, with its routes and infrastructure absorbed into Lufthansa. It was not until after the Second World War, with the founding of Austrian Airlines in 1957/58, that Austria again had an airline of its own.

Further reading: Austrian Airlines · Austrian Aviation History

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Sources (Selection)

• aerotelegraph.com: 100 years ago, Austria’s first airline took off (German)
• aerotelegraph.com: When Austria had Europe’s fourth-largest airline (German)
• Austria-Forum: ÖLAG (German)

Part of the Austrian Aviation History section. An independent, private history project with no connection to Austrian Airlines AG or the Lufthansa Group.