How much time to next crisis?
Nov 19, 2012, 2:25 pm
#1
Original Poster
Join Date: Sep 2010
Location: OSL
Programs: SK*Gold
Posts: 426
How much time to next crisis?
I'm real glad that SK was able to survive this crisis, especially since I'm scheduled to fly SK back to OSL in a couple of days from the US.
But, I wonder how much time this buys. Any guesses as to when SK could possibly come in the same situation? Or to put it another way, how long in advance can one buy a SK ticket without the possibility of another bankruptcy scare.
But, I wonder how much time this buys. Any guesses as to when SK could possibly come in the same situation? Or to put it another way, how long in advance can one buy a SK ticket without the possibility of another bankruptcy scare.
Nov 19, 2012, 2:35 pm
#2
Join Date: Apr 2009
Programs: SK Eurobonus Silver, DL, AA, AY, US
Posts: 600
I'd say my guess is as good as yours... but personally I wouldn't worry about it other than that I'm definately paying all my SK booking with a credit card, so I'll get my money back if things don't work out.
Other than that... they might go bankrupt if you book long in advance, but then again, any other airline might just aswell strike/have a techinal problem/change schedules/cancel flights that messes your plans up.
I am hoping this doesn't turn into self fulfilling propethy. People are worried about bankruptcy -> nobody books -> bankruptcy.
Other than that... they might go bankrupt if you book long in advance, but then again, any other airline might just aswell strike/have a techinal problem/change schedules/cancel flights that messes your plans up.
I am hoping this doesn't turn into self fulfilling propethy. People are worried about bankruptcy -> nobody books -> bankruptcy.
Nov 19, 2012, 3:14 pm
#3
Original Poster
Join Date: Sep 2010
Location: OSL
Programs: SK*Gold
Posts: 426
I do pay with credit card, but that is of little help if SK goes under during your journey. If SK went under now , I'd have to scramble to get an overpiced ticket back to OSL from the US during the busy Thanksgiving season. I also have over 50,000 EB points that I may want to burn before the next crisis. What I wanted to know is how much of a time frame have the banks given SK before they will need another credit extension subject to their approval.
Nov 19, 2012, 9:49 pm
#4
Join Date: Jan 2012
Location: Koala Lemur
Programs: SK EBD LTG (*G)
Posts: 2,460
I think March 2015 was the deadline for the loans mentioned some other place on this forum. So 2.5 years. Of course, like with anyother airline, or business, this does not mean that they will not run out of cash before this deadline ...
Nov 20, 2012, 2:54 am
#5
Join Date: Feb 2009
Location: Switzerland
Programs: AY Plat (OWE), Bonvoy Gold, ALL Silver, IHG Gold, RH VIP
Posts: 3,044
Depending on what Scandinavian news paper you get your daily news feed from it varies from 6 months to a year and a half. Both Sweden and Norway are ready to sell when the time is ready whereas Denmark is a reluctant to comment at all on the subject.
Nov 20, 2012, 2:55 am
#6
Join Date: Feb 2008
Location: Stockholm
Programs: Various
Posts: 3,374
I'd be interested to know how much of the pension problem was solved last week. How much is left of the 12 billion? If it's significantly reduced then SAS may be on the track to recovery to be a healthy company. If not, it's just a matter of time until they're bankrupt.
Nov 20, 2012, 7:00 pm
#8
Join Date: Dec 2010
Location: Tokyo, Japan
Programs: SAS EB, BA EC, ANA MC, Norwegian Reward
Posts: 53
I'd be interested to know how much of the pension problem was solved last week. How much is left of the 12 billion? If it's significantly reduced then SAS may be on the track to recovery to be a healthy company. If not, it's just a matter of time until they're bankrupt.
Nov 23, 2012, 4:24 pm
#9
Join Date: Dec 2006
Location: in a cabin
Posts: 6,523
All they have secured is to roll the debt forward, at a higher cost since the creditors want better yields for the increased risk. However, they did manage to get a decent chunk of cost cutting in place.
The inherent problems are still in place though so the end game is the same. The vultures have backed off for the moment.
The inherent problems are still in place though so the end game is the same. The vultures have backed off for the moment.
Nov 28, 2012, 2:02 pm
#10
Join Date: Aug 2006
Location: Riga, Latvia, EU
Programs: SK Lifetime EB*G, HHonors Diamond, BalticMiles VIP, Turkish Airlines Miles@Smiles, Club Carlson
Posts: 321
http://flyawaysimulation.com/news/46...ndinavian-sas/
Non-Core Assets for Sale
As part of the turnaround plan, SAS will sell "non-core assets", and these are forecast to generate 3 billion crowns. Assets that will be up for sale include SAS’ Ground Handling unit, frequent flyer scheme, Eurobonus, and its profitable short-haul carrier, Widerøe. SAS has a 10% holding in Estonian Air and a 38% stake in Air Greenland. The list of assets that will be sold is still to be finalized.
As part of the turnaround plan, SAS will sell "non-core assets", and these are forecast to generate 3 billion crowns. Assets that will be up for sale include SAS’ Ground Handling unit, frequent flyer scheme, Eurobonus, and its profitable short-haul carrier, Widerøe. SAS has a 10% holding in Estonian Air and a 38% stake in Air Greenland. The list of assets that will be sold is still to be finalized.
Nov 28, 2012, 2:57 pm
#11
Join Date: Apr 2011
Location: PUF (past: IAH, TRD)
Programs: KLM Gold
Posts: 67
Don't keep too much EB points: Eurobonus program as such is on sale.
http://flyawaysimulation.com/news/46...ndinavian-sas/
http://flyawaysimulation.com/news/46...ndinavian-sas/
Sounds like something lost in translation somewhere...
Nov 28, 2012, 4:39 pm
#12
Join Date: Nov 2004
Programs: EB*G, BT VIP
Posts: 770
I'd like to se the source of this, because in terms of official announcements in Scandinavian media SAS managers have repeatedly denied that Eurobonus is up for sale (while they have almost been running a public auction for the other two entities mentioned).
Sounds like something lost in translation somewhere...
Sounds like something lost in translation somewhere...
Nov 28, 2012, 5:35 pm
#13
Join Date: Dec 2010
Location: Tokyo, Japan
Programs: SAS EB, BA EC, ANA MC, Norwegian Reward
Posts: 53
In another message SK was using the wording "EB will remain the integral part of SAS", however as was exactly discussed on another tread here, this doesn't really mean they will not sell it - you can have it as integral part of the product and same time owned by somebody else.
Nov 28, 2012, 7:13 pm
#14
Join Date: Apr 2011
Location: PUF (past: IAH, TRD)
Programs: KLM Gold
Posts: 67
In another message SK was using the wording "EB will remain the integral part of SAS", however as was exactly discussed on another tread here, this doesn't really mean they will not sell it - you can have it as integral part of the product and same time owned by somebody else.
I just thought it would be nice to add some details and a reality check to this article, which basically is an aggregation of the last 3 weeks of events that has been covered in detail on a day-to-day basis (some days even hour-by-hour) by all Scandinavian media.
Nov 29, 2012, 1:02 am
#15
Join Date: Aug 2006
Location: Riga, Latvia, EU
Programs: SK Lifetime EB*G, HHonors Diamond, BalticMiles VIP, Turkish Airlines Miles@Smiles, Club Carlson
Posts: 321
I do not know exact source of this statement. This article was brought out by one of my automated news alerts. So far it seems kind of only one message talking about Eurobonus on sale as a fact, after all speculations while talks with trade unions continued, at least in English speaking media. So all we can do is wait and see.