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Old Oct 17, 12, 7:12 am   #1
 
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New commercial concept for Blue1

Blue1 is changing it's concept once again. Blue1 continues to operate flights but from the beginning of November it only wet-leases capacity for SAS. All KF-flight numbers will disappear and those flights will be marketed by SK. Based on wording of the press release I think domestic routes will be discontinued... Would be interesting to know how much SAS has lost with Blue1 adventures...

http://www.blue1.com/fi/fi/Blue1/Uut...-markkinoilla/

Last edited by miikkak; Oct 17, 12 at 7:18 am.
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Old Oct 17, 12, 7:41 am   #2
 
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Hmmm. I wonder what the ramifications of this will be for KF's status as a member of *A?

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Old Oct 17, 12, 7:46 am   #3
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SAS Group has also published the news:

http://se.yhp.waymaker.net/sasgroup/....asp?id=260650

Quote:
SAS strengthens its position in Finland

From November 1, SAS will be taking over responsibility for commercial operations inFinland. This is taking place in line with SAS's 4Excellence strategy and strengthens SAS's position on the Finnish market. Finnish subsidiary Blue1 is being converted to a production company, with the primary task of delivering operational flight services to meet SAS's route network needs.

�"Finland is our fourth Nordic home market and we have been restructuring our route network in Finland since the beginning of the year. We now fly nonstop between several regions inFinlandandScandinavia, as a complement to the worldwide route network of SAS and the Star Alliance. We are now using the SAS brand to demonstrate our strong offering and our unique customer benefits on the Finnish market as well," says Joakim Landholm, Executive Vice President Commercial at SAS.

"As a production company, Blue1 will be focusing on its operational strengths and continuing to operate its current routes for SAS. Our punctuality is the best in Europe and our focus on high-class service is greater than ever," says Janne Hattula, Managing Director & COO of Blue1 since July 2012.

SAS is Scandinavia's leading airline and was named Europe's most punctual airline for the third year in a row in 2011. The SAS Group carried 27.2 million passengers to 128 different destinations in 2011.
Wow. With one stroke, KF is off the map.
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Old Oct 17, 12, 7:59 am   #4
 
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Originally Posted by oliver2002 View Post
Wow. With one stroke, KF is off the map.
Looks like a panic decision. At the beginning of the year all flights to/from Finland were transferred to KF and SK brand disappeared...
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Old Oct 17, 12, 8:00 am   #5
 
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The same bu Blue1:

Starting 1 November, 2012, the commercial responsibility of SAS Group in Finland will move from Blue1 to SAS. In practice, this means that Blue1 will become a production company whose main role will be to produce operational flight services to SAS's route network. In this new role as a production company Blue1 will continue to operate current routes on behalf of SAS.

As part of the commercial integration process, Blue1 flight numbers will change into SAS flight numbers. As an example, flight “KF 123” will become “SK 456”. The change does not require any action by customers. Corporate deals will not be affected. Passengers will be able to check in normally with the original booking reference and the new SK flight number will be printed on the boarding card.

As from November, the marketing and sales of flights will also be transferred to the SAS brand, hereby further strengthening the Finnish market within SAS Group's total route network. In co-operation with Blue1 SAS will continue to fly nonstop from several regions in Finland to Scandinavia with excellent connections to the entire SAS and Star Alliance worldwide route network.

SAS is Scandinavia’s leading airline and was named Europe's most punctual airline for the third year in a row in 2011. Also Blue1's punctuality is among the best in Europe. For instance, in September 2012, Blue1 was the second most punctual airline in Europe!
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Old Oct 17, 12, 9:11 am   #6
 
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Looks like the speculation that SK would do a Austrian to Tyrolean was true.

A bit early to tell yet but it looks like that.
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Old Oct 17, 12, 10:43 am   #7
 
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So no more optiontown upgrades? Well, after the last enhancement of inflight service, it wouldn't have been an affordable option. Sometimes it was a good way to earn status miles, though.
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Old Oct 17, 12, 2:40 pm   #8
 
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Quote:
Originally Posted by miikkak View Post
Blue1 is changing it's concept once again. Blue1 continues to operate flights but from the beginning of November it only wet-leases capacity for SAS. All KF-flight numbers will disappear and those flights will be marketed by SK. Based on wording of the press release I think domestic routes will be discontinued... Would be interesting to know how much SAS has lost with Blue1 adventures...

http://www.blue1.com/fi/fi/Blue1/Uut...-markkinoilla/
Does this mean that the current KF-routes after November 1st will operate with the standard SK three class-configuration?
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Old Oct 17, 12, 4:10 pm   #9
 
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Quote:
Originally Posted by miikkak View Post
Would be interesting to know how much SAS has lost with Blue1 adventures...
AFAIK KF was/used to be THE profitable part of the SAS concern.
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Old Oct 17, 12, 5:14 pm   #10
 
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Originally Posted by WilcoRoger View Post
AFAIK KF was/used to be THE profitable part of the SAS concern.
They have made small profit a couple of times but cumulative losses must be horrible... Last year -482MSEK!

http://www.sasgroup.net/SASGROUP_IR/...5R2011_eng.pdf
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Old Oct 18, 12, 12:36 am   #11
 
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Originally Posted by miikkak View Post
They have made small profit a couple of times but cumulative losses must be horrible... Last year -482MSEK!

http://www.sasgroup.net/SASGROUP_IR/...5R2011_eng.pdf
Ouch! I must have remembered thos good years.
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Old Oct 18, 12, 1:22 am   #12
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I have fond memories flying on Air Botnia. So, this is the end of Blue1? Are they dropping out of Star Alliance as well?
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Old Oct 19, 12, 12:12 am   #13
 
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Any ideas why this was done from a strategic standpoint?

The reason I ask is it looks like Estonian Air (OV) may be in need of another cash injection, and the Estonian government has hinted they won't be providing it. I wonder if one option is for SK to step in and take over OV in a fashion similar to KF.
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Old Oct 19, 12, 12:59 am   #14
 
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This is likely due to a reorganization to survive the next year when the balance sheet will have to be adjusted 12 billion SEK due to the new rules on how to book the employees pensions.
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Old Oct 19, 12, 1:55 am   #15
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Very weird move, especially after they revamped the fleet, got in a new branding and service concept. You would think if it was planned ahead all this promotion wouldn't have taken place. AYs new concept for Finncomm and their regional E190 fleet going to BE ops must have indicated SK that its OK to emasculate the KF ops. I doubt the finnish public will like that.
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