SKAirbus From Norway, joined Oct 2007, 1912 posts, RR: 2 Posted (2 years 8 months 3 weeks 4 days 19 hours ago) and read 2595 times:
For years SAS has introduced austerity measures after austerity measures, cut jobs, sold subsiduaries but now it looks like it is last chance saloon for the ailing flag carrier of three countries. In reality the airline is bleeding cash and not much can be done to stop it. Also, with militant unions in especially Denmark and Norway, any cost-cutting is very hard to push through and SAS staff are on average paid well in excess of the industry averages.
SAS have for some unknown reason refused to publish its quarterly results, pushing this back until Monday. Many assume that this is because SAS is seeking EU approval for the three Scandinavian governments to guarantee loan-extentions provisionally agreed by six banks. This would give the airline some breathing space to restructure. However, the EU could (and in my opinion are likely to) rule this as being illegal state aid. Norwegian are staunchly opposed to any state aid although as joint-owners of the airline there is an argument that the Scandinavian governments are within their rights to support the carrier.
Will SAS survive the next year? Could creating individual national carriers be a solution?
ZRH From Switzerland, joined Nov 1999, 5585 posts, RR: 34
Reply 6, posted (2 years 8 months 3 weeks 4 days 17 hours ago) and read 2627 times:
Unfortunately it is fact in our days that an airline in this size can not survive alone when it wants to be a network airline with long- and short-haul. SWISS only survived and makes such good results because she is under the wings of LH. Also OS failed. Most others are big (LH, AIG, AF-KL, TK), are low-cost or niche airlines.
steman From Germany, joined Aug 2000, 1421 posts, RR: 7
Reply 8, posted (2 years 8 months 3 weeks 4 days 16 hours ago) and read 2627 times:
This is so sad.
Such a history rich airline and an earyl example of european collaboration.
If they shut down I hope somebody will make sure the brand and name can be
preserved and maybe in the future used again.
sweair From Sweden, joined Nov 2011, 1836 posts, RR: 0
Reply 13, posted (2 years 8 months 3 weeks 3 days 19 hours ago) and read 2628 times:
I met some swedes in Spain that had gone with SK to ALC and a lot cheaper than me with IB, I didn't even know they flew that route, they ended it long ago but it is back. Maybe a bit of marketing would have helped in this case, I didn't check their site as I knew they didn't fly that route..but they do..
They have been the "expensive" choice for many for so long this view of SK lives strong in many people. I don't know a single swede that would travel with SK above any competitor, there is just not enough tradition left to keep its customers. Norwegian has modern nice planes with free wifi etc And they go on many routes SK doesn't any more.
I think SK had the wrong attitude in the wrong market for a long time, its almost as customers existed for their behalf not the other way around. Be happy that you can fly with SK sort of culture.
No, it doesn't actually. You have to look at the average load factor and it is not as critical as you are saying. You have to count in that some return flights load might be light in one direction and full in the other. That seems to be the case with typical one-day meeting destinations, where passengers are being 'picked up' by an half full plane and then going home full.
BNE From Australia, joined Mar 2000, 3200 posts, RR: 11
Reply 17, posted (2 years 8 months 3 weeks 1 day 19 hours ago) and read 2616 times:
I wouldn't be surprised if SAS didn't work in closer with LH.
It seems that with old airlines unless they can almost reinvent themselves or in the US case go broke every few years then you have so many rules and regulations that tie you down that you find hard to get rid of.
SAS launches comprehensive plan to improve profitability and secure long-term financial preparedness - new union agreements must be signed in the near future
Targeting approximately 3 bn SEK of annual improvement from cost reductions and organizational restructuring and approximately 3 bn SEK increased liquidity from asset sales ~ New 3.5 bn SEK Revolving Credit Facility from Banks and Core Shareholders to secure financial preparedness conditional on signed union agreements and parliamentary approvals ~The Board unanimously supports the plan and recommends all employees to do the same ~ The Board will meet again on Sunday November 18, 2012 to decide if the conditions for the implementation of the plan exist
TC957 From UK - England, joined May 2012, 1468 posts, RR: 0
Reply 19, posted (2 years 8 months 3 weeks 1 day 17 hours ago) and read 2618 times:
I'm wondering if SAS should just concentrate on long-haul and domestic feed to it and leave inter-european services to Norwegian et all. Odd that AY seems to be doing so well and SK is in such a pickle.
TomFoolery From Austria, joined Jan 2004, 546 posts, RR: 2
Reply 20, posted (2 years 8 months 3 weeks 1 day 14 hours ago) and read 2618 times:
I flew with them 2 years ago, and found them to be a pretty nice airline. I flew with them 2 weeks ago, and was really disappointed with the product. The MD82 was in fair enough shape (for the age), but I found it really gross to find chewing gum in the seat pocket, all over the magazine, barf bag, and my newspaper. My connecting flight also found a wad of gum under my armrest and dried soda on the tray table.
The first flight was a 45 minute turn around time in MUC, which for an MD82, is plenty of time to tidy up. Not a great impression.
Not sure how to gauge SAS to other carriers.
Water, Tea, Coffee = Free
Buy on board for all other items (Prices only noted in DKK, NOK, SEK)
One checked bag = Free
Seat Selection= Sometimes it works on line, other times not until at the airport.