Sas put majority of operations on hold
Mar 20, 2020, 2:03 am
#61
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In another DK media it's mentioned that all the airlines have to meet all the conditions to get access to the guarantee. The only exception it the 1.2 Billion debt reduction for DY. This is specific for DY to make sure the government doesn't throw a lot of money at an airline which the other creditor then liquidate.
Another condition that DY have a problem with it the equity. It has to be at 8% and right now only SK and Widerøe can match that.
I have to say. I'm surprised how fair the NO government are supporting the airlines. The extra conditions for DY is fully understandable as it's completely dependent on the mercy of it's creditor. It would be stupid to pump a lot of money into the company, which all will go to the creditor if they pull the plug afterwards. It's not long ago when DY used all the slots at Gatwick as security for extending a large loan till October this year.
Another condition that DY have a problem with it the equity. It has to be at 8% and right now only SK and Widerøe can match that.
I have to say. I'm surprised how fair the NO government are supporting the airlines. The extra conditions for DY is fully understandable as it's completely dependent on the mercy of it's creditor. It would be stupid to pump a lot of money into the company, which all will go to the creditor if they pull the plug afterwards. It's not long ago when DY used all the slots at Gatwick as security for extending a large loan till October this year.
Mar 26, 2020, 12:03 pm
#62
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A nice (?) video from Kastrup with all the SK machines parked on the runway: https://www.dr.dk/nyheder/indland/et...havns-lufthavn
Mar 27, 2020, 5:01 am
#63
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Is 7300 the number of employees in Norway or global? I don't understand why the Norwegian government would invest in the holding and not demand that the assets relevant to Norway are moved to an independent entity and only fund that. Or demand that the bailout is used on buying the assets relevant to Norway and rehire the employees in Norway into a new company and let the holding default. Keeping as little competition as needed to keep SAS honest in the Nordics is relevant but perhaps Norwegian tax payers don't benefit from flights between Rome and Los Angeles while there are ample competitive options from real airlines to get to LA from Norway.
Mar 27, 2020, 5:36 am
#64
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Is 7300 the number of employees in Norway or global? I don't understand why the Norwegian government would invest in the holding and not demand that the assets relevant to Norway are moved to an independent entity and only fund that. Or demand that the bailout is used on buying the assets relevant to Norway and rehire the employees in Norway into a new company and let the holding default. Keeping as little competition as needed to keep SAS honest in the Nordics is relevant but perhaps Norwegian tax payers don't benefit from flights between Rome and Los Angeles while there are ample competitive options from real airlines to get to LA from Norway.
Seems an unfair and wasteful use of Norwegian tax payers’ money to bail out the non-Norway relevant parts of Norwegian.
Mar 27, 2020, 7:23 am
#65
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Is 7300 the number of employees in Norway or global? I don't understand why the Norwegian government would invest in the holding and not demand that the assets relevant to Norway are moved to an independent entity and only fund that. Or demand that the bailout is used on buying the assets relevant to Norway and rehire the employees in Norway into a new company and let the holding default. Keeping as little competition as needed to keep SAS honest in the Nordics is relevant but perhaps Norwegian tax payers don't benefit from flights between Rome and Los Angeles while there are ample competitive options from real airlines to get to LA from Norway.
In my view, the Norwegian government has done the right thing with the additional requirements for DY where the existing creditors has to pitch in too. No matter whether the company is local or global. Don't thrown money after a company which might be liquidated by it's creditor afterwards.
Mar 28, 2020, 4:59 am
#66
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The difference with SK is that all relevant governments that have a stake in SK, regardless of wether that is ownership or simply an economic development stake, are making cash available on similar terms and similar amounts. Those countries also need airports and airlines after COVID-19 and SK is a better choice for at least DK and SE but most likely also NO.
Regardless of wether a NO aircraft and DK crew is used, unless almost all European governments invest in Norwegian, it creates an unbalanced and disproportional investment from the Norwegian tax payer. Since DY serves no real purpose outside of keeping SK honest in the Nordics (which I could personally care less about and would potentially benefit from SK being able to monopolize the Nordic routes again if the proceeds were used for better and/or more intra-EU and intercontinental flying) for the tax payer.
I agree that it makes no sense to invest in a sinking ship (unless you're in the salvaging business), but the wider interest to the people eventually picking up the bill is unclear. Norway and Europe do not need more LLCs, especially not while the product and service of its real airlines have been on the decline for years. Most Norwegian airports have no lack of competition and within the Nordics there are semi-plausible alternatives to flying.
Regardless of wether a NO aircraft and DK crew is used, unless almost all European governments invest in Norwegian, it creates an unbalanced and disproportional investment from the Norwegian tax payer. Since DY serves no real purpose outside of keeping SK honest in the Nordics (which I could personally care less about and would potentially benefit from SK being able to monopolize the Nordic routes again if the proceeds were used for better and/or more intra-EU and intercontinental flying) for the tax payer.
I agree that it makes no sense to invest in a sinking ship (unless you're in the salvaging business), but the wider interest to the people eventually picking up the bill is unclear. Norway and Europe do not need more LLCs, especially not while the product and service of its real airlines have been on the decline for years. Most Norwegian airports have no lack of competition and within the Nordics there are semi-plausible alternatives to flying.
Mar 31, 2020, 2:29 pm
#67
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Does anyone know what is happening with SAS bookings at the moment? I was booked on HEL-ARN for 7APR and the flight is listed as operating. However MMB is showing new flight on 6APR and the connecting flight has vanished. Both originally booked flights are listed as operating. Tickets sales is not available to neither of the routes on 7APR and EF knows nothing about the flights at all.
Apr 1, 2020, 8:41 am
#68
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The difference with SK is that all relevant governments that have a stake in SK, regardless of wether that is ownership or simply an economic development stake, are making cash available on similar terms and similar amounts. Those countries also need airports and airlines after COVID-19 and SK is a better choice for at least DK and SE but most likely also NO.
Regardless of wether a NO aircraft and DK crew is used, unless almost all European governments invest in Norwegian, it creates an unbalanced and disproportional investment from the Norwegian tax payer. Since DY serves no real purpose outside of keeping SK honest in the Nordics (which I could personally care less about and would potentially benefit from SK being able to monopolize the Nordic routes again if the proceeds were used for better and/or more intra-EU and intercontinental flying) for the tax payer.
I agree that it makes no sense to invest in a sinking ship (unless you're in the salvaging business), but the wider interest to the people eventually picking up the bill is unclear. Norway and Europe do not need more LLCs, especially not while the product and service of its real airlines have been on the decline for years. Most Norwegian airports have no lack of competition and within the Nordics there are semi-plausible alternatives to flying.
I agree that it makes no sense to invest in a sinking ship (unless you're in the salvaging business), but the wider interest to the people eventually picking up the bill is unclear. Norway and Europe do not need more LLCs, especially not while the product and service of its real airlines have been on the decline for years. Most Norwegian airports have no lack of competition and within the Nordics there are semi-plausible alternatives to flying.
Apr 1, 2020, 8:46 am
#69
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Does anyone know what is happening with SAS bookings at the moment? I was booked on HEL-ARN for 7APR and the flight is listed as operating. However MMB is showing new flight on 6APR and the connecting flight has vanished. Both originally booked flights are listed as operating. Tickets sales is not available to neither of the routes on 7APR and EF knows nothing about the flights at all.
If you are affected by the disruptions, you should call you TA. If your TA is SK they have a priority number for anyone who is traveling within the next 3 days. The number can be found here https://www.sas.dk/traffic-information/message/
Apr 1, 2020, 10:33 am
#70
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Due to the major disruptions, the normal cancellation procedure isn't used. Automatic rebooking therefore doesn't happen and the online booking systems aren't always uptodate. This includes SK's own online booking system. This should be the official list of flights which are operating https://www.flysas.com/en/traffic-in...ating-flights/
If you are affected by the disruptions, you should call you TA. If your TA is SK they have a priority number for anyone who is traveling within the next 3 days. The number can be found here https://www.sas.dk/traffic-information/message/
If you are affected by the disruptions, you should call you TA. If your TA is SK they have a priority number for anyone who is traveling within the next 3 days. The number can be found here https://www.sas.dk/traffic-information/message/
EDIT: Checked SAS lists again. Today these flights are no longer listed as operating. Apparently MMB was showing cancellations earlier than these lists. Solved!
Apr 28, 2020, 9:26 am
#71
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As mentioned in the EB Kafe, SAS is looking to cut 5000 jobs
Regulatory informationAs a result of COVID-19, demand is expected to be significantly affected during the remainder of 2020 and it will take some years before demand returns to the levels experienced before the outbreak. Consequently, SAS needs to adapt the business to a lower demand environment. As a consequence, SAS will initiate processes to reduce the size of its future workforce by up to 5,000 full-time positions.
The COVID-19 outbreak has removed most of the demand for air travel and thereby the commercial basis for airlines. Currently, SAS is only operating a very limited domestic network in Norway and Sweden. Given the current restrictions, SAS expects limited activity in the important summer season. In addition, it will most likely take some years before demand returns to the levels seen before COVID-19.The workforce in SAS has notice periods with a mean of six months. The uncertainty regarding demand and the time it takes to adapt the organization means that SAS must act proactively. This gives SAS the flexibility to ramp-up the business quickly if demand returns, but also to take further actions if recovery takes longer than currently envisaged.
The potential reduction of the workforce by up to 5,000 full-time positions will be split with approximately 1,900 full-time positions in Sweden, 1,300 in Norway and 1,700 in Denmark. The processes will be implemented in accordance with the labor law practices in each respective country. During this process, SAS will actively engage with its unions and other stakeholders to seek solutions to reduce the number of actual layoffs across the Group, as well as other productivity enhancements.
“COVID-19 has forced SAS to face a new and unprecedented reality that will reverberate not only in the coming months, but also during the coming years. Our ambition is to continue to be the leading airline in Scandinavia and to have a leading role in the Scandinavian infrastructure as a guarantor of national and international connectivity. In order to continue this important societal function, we need to adapt our cost base to the prevailing circumstances. Regretfully, we are forced to adapt our workforce to lower passenger demand. Not least in view of the company’s successful journey in recent years, which has been made possible by the great work done by SAS’s competent and dedicated employees. We will now work intensively together with trade union representatives and others to identify solutions so that as few people as possible are affected. Furthermore, we remain ready to quickly ramp-up operations and reduce the number of affected positions if demand recovers more quickly,” says Rickard Gustafson, CEO SAS.
SAS INITIATES PROCESSES TO REDUCE THE SIZE OF ITS FUTURE WORKFORCE DUE TO LOWER EXPECTED DEMAND FOR AIR TRAVEL
April 28, 2020 08:00Regulatory informationAs a result of COVID-19, demand is expected to be significantly affected during the remainder of 2020 and it will take some years before demand returns to the levels experienced before the outbreak. Consequently, SAS needs to adapt the business to a lower demand environment. As a consequence, SAS will initiate processes to reduce the size of its future workforce by up to 5,000 full-time positions.
The COVID-19 outbreak has removed most of the demand for air travel and thereby the commercial basis for airlines. Currently, SAS is only operating a very limited domestic network in Norway and Sweden. Given the current restrictions, SAS expects limited activity in the important summer season. In addition, it will most likely take some years before demand returns to the levels seen before COVID-19.The workforce in SAS has notice periods with a mean of six months. The uncertainty regarding demand and the time it takes to adapt the organization means that SAS must act proactively. This gives SAS the flexibility to ramp-up the business quickly if demand returns, but also to take further actions if recovery takes longer than currently envisaged.
The potential reduction of the workforce by up to 5,000 full-time positions will be split with approximately 1,900 full-time positions in Sweden, 1,300 in Norway and 1,700 in Denmark. The processes will be implemented in accordance with the labor law practices in each respective country. During this process, SAS will actively engage with its unions and other stakeholders to seek solutions to reduce the number of actual layoffs across the Group, as well as other productivity enhancements.
“COVID-19 has forced SAS to face a new and unprecedented reality that will reverberate not only in the coming months, but also during the coming years. Our ambition is to continue to be the leading airline in Scandinavia and to have a leading role in the Scandinavian infrastructure as a guarantor of national and international connectivity. In order to continue this important societal function, we need to adapt our cost base to the prevailing circumstances. Regretfully, we are forced to adapt our workforce to lower passenger demand. Not least in view of the company’s successful journey in recent years, which has been made possible by the great work done by SAS’s competent and dedicated employees. We will now work intensively together with trade union representatives and others to identify solutions so that as few people as possible are affected. Furthermore, we remain ready to quickly ramp-up operations and reduce the number of affected positions if demand recovers more quickly,” says Rickard Gustafson, CEO SAS.
Apr 28, 2020, 12:32 pm
#72
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A significant minority of the SAS CPH workforce lives in Sweden. So for Sweden the cuts will hurt more as they come from SAS In Denmark and SAS in Sweden.
Apr 28, 2020, 4:07 pm
#73
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Yeah, especially if they don't get a good package, if they live in Sweden and work in Denmark, and if they are fired, they will have to take unemployment benefits from Sweden which is significant less than on the Danish side.
Apr 29, 2020, 9:02 am
#74
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Does anybody here have any information on SAS' plans to re-start traffic from CPH/government regulations in Denmark regarding intra-Schengen travels? I'm currently in Berlin and had a ticket TXL-CPH for Apr 14 and now I'm stuck in a loop of cancellation and rebooking. First I was rebooked onto a flight on Apr 21, then May 11, now that one was canceled too. While it's not pressing for me to return to CPH (-> Malmö), I'm getting a bit tired of this game and I wonder whether there's any end in sight. (I understand that I have EC261 rights and also other travel options such as LH, trains and ferries, if need be.)
Since there seems to be a loosening of corona-related policies across Europe, I briefly tried to check for news reports whether the Danes are planning to change their border restrictions (which I guess would imply SAS considering a reboot). I didn't find anything myself though, but my Danish comprehension is also limited, so I'd be happy for pointers if anybody here knows anything.
Since there seems to be a loosening of corona-related policies across Europe, I briefly tried to check for news reports whether the Danes are planning to change their border restrictions (which I guess would imply SAS considering a reboot). I didn't find anything myself though, but my Danish comprehension is also limited, so I'd be happy for pointers if anybody here knows anything.
Apr 29, 2020, 12:39 pm
#75
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Does anybody here have any information on SAS' plans to re-start traffic from CPH/government regulations in Denmark regarding intra-Schengen travels? I'm currently in Berlin and had a ticket TXL-CPH for Apr 14 and now I'm stuck in a loop of cancellation and rebooking. First I was rebooked onto a flight on Apr 21, then May 11, now that one was canceled too. While it's not pressing for me to return to CPH (-> Malmö), I'm getting a bit tired of this game and I wonder whether there's any end in sight. (I understand that I have EC261 rights and also other travel options such as LH, trains and ferries, if need be.)
Since there seems to be a loosening of corona-related policies across Europe, I briefly tried to check for news reports whether the Danes are planning to change their border restrictions (which I guess would imply SAS considering a reboot). I didn't find anything myself though, but my Danish comprehension is also limited, so I'd be happy for pointers if anybody here knows anything.
Since there seems to be a loosening of corona-related policies across Europe, I briefly tried to check for news reports whether the Danes are planning to change their border restrictions (which I guess would imply SAS considering a reboot). I didn't find anything myself though, but my Danish comprehension is also limited, so I'd be happy for pointers if anybody here knows anything.
Svantevit.