Oct 3, 2023, 2:27 pm
Last edit by: Nick Art
SAS plans to leave Star Alliance and join SkyTeam
On the 3rd of October SAS announced further steps as part of their SAS FORWARD plan. SAS has raised nearly 12.9 billion SEK as part of their Chapter 11 restructuring process. This will mean current shareholders are wiped out and the company will be delisted.
The new owners include Air France-KLM, Castlelake, Lind Invest and the Danish state.
As such, SAS plans to leave Star Alliance and join Air France-KLM's Sky Team alliance by summer 2024.
FAQ:
What does this mean for EuroBonus?
SAS EuroBonus FAQ:
On October 3rd 2023, SAS announced the intention to eventually join SkyTeam and leave Star Alliance. For now the EuroBonus program remains unchanged. SAS will keep you informed about what to expect over the coming months and will provide updates continuously on the EuroBonus website.
1. What will happen to EuroBonus?
2. What will happen to my EuroBonus points?
3. What will happen to my EuroBonus tier status?
4. What will happen to my EuroBonus Lifetime Gold status?
5. Do I keep my status benefits when I travel on another Star Alliance partner airline?
6. Can I still earn points when I fly on another Star Alliance carrier?
7. What will happen to my existing Star Alliance award bookings?
8. Can I still use my points to redeem on other Star Alliance carriers?
9. Can I still earn points on credits cards and other non-airline partners?
10. Can I still use my EuroBonus points on non-airline partners such as rental cars or hotels?
Will there be opportunities to match with other programs to remain in *A?
Will AF - KLM take over control of SAS?
What is the ratio of the new ownership?
What happens to existing SAS shares?
Will SAS change their HUB strategy or move their HQ to Denmark?
Will SAS join the SkyTeam transatlantic Joint Venture?
How was this decided?
What is the process now?
Sources and links:
- SAS Press Release
- Communication E-Mail sent to EB members can be found in Post 114
- E24 (Information with regards to EuroBonus. Thanks to matin for the find in Post 64)
- Reuters
- AF-KLM Press Release
- SAS EuroBonus FAQ (Thanks again to matin for the find in Post 237)
- DInside on Merger of EuroBonus into FlyingBlue (Thanks to Frederik74 for the find in Post 473)
On the 3rd of October SAS announced further steps as part of their SAS FORWARD plan. SAS has raised nearly 12.9 billion SEK as part of their Chapter 11 restructuring process. This will mean current shareholders are wiped out and the company will be delisted.
The new owners include Air France-KLM, Castlelake, Lind Invest and the Danish state.
As such, SAS plans to leave Star Alliance and join Air France-KLM's Sky Team alliance by summer 2024.
FAQ:
What does this mean for EuroBonus?
- Eurobonus members can still book travel on Star Alliance carriers until the end of the transition period.
Future affiliation with Air France-KLM's Flying Blue frequent flyer programme has not yet been decided.- In the meantime the agreement between SAS and the investing consortium includes a provision for preparations of merging EuroBonus into FlyingBlue once AF-KLM owns more than 50% of the outstanding shares. It thus seems very likely that EuroBonus will ultimately be merged into FlyingBlue, the timeline and details of this are, however, still unclear.
SAS EuroBonus FAQ:
On October 3rd 2023, SAS announced the intention to eventually join SkyTeam and leave Star Alliance. For now the EuroBonus program remains unchanged. SAS will keep you informed about what to expect over the coming months and will provide updates continuously on the EuroBonus website.
1. What will happen to EuroBonus?
- No changes are being made to the program and EuroBonus will remain SAS's loyalty program. As a member, you will continue to earn and use points on SAS as today. Your status and benefits as a EuroBonus member when you fly with SAS will not be impacted. Delivering an attractive loyalty program to SAS's loyal customers will remain the top priority for us and our new owners, even after SAS changes ownership and alliance. SAS intends to eventually leave Star Alliance and join SkyTeam, and adjustments to the program will be made accordingly. As long as SAS is a member of Star Alliance, EuroBonus members can continue to enjoy the same benefits as they do today when flying on a Star Alliance partner airline.
2. What will happen to my EuroBonus points?
- No changes are made to your EuroBonus points. You will keep all points earned until now and will continue to earn and use points just like today.
3. What will happen to my EuroBonus tier status?
- No changes are made to your EuroBonus tier status. You will retain your status and your progress made during your qualification period. Requirements to reach each tier level and benefits included in each tier remain the same.
4. What will happen to my EuroBonus Lifetime Gold status?
- No changes are made to the EuroBonus Lifetime Gold program. EuroBonus Lifetime Gold memberships will be honored even after SAS joins SkyTeam, and all progress made towards Lifetime Gold will be kept.
5. Do I keep my status benefits when I travel on another Star Alliance partner airline?
- While SAS remains part of Star Alliance, you will enjoy the same status benefits as you do today when you fly with a Star Alliance partner When SAS eventually joins SkyTeam, you will also be able to enjoy similar status benefits across the extensive SkyTeam network.
6. Can I still earn points when I fly on another Star Alliance carrier?
- While SAS remains part of Star Alliance, you will be able to earn EuroBonus Basic points when flying on a Star Alliance airline partner flights
7. What will happen to my existing Star Alliance award bookings?
- Existing bookings remain unchanged and will be honored even if you fly after SAS eventually leaves Star Alliance
8. Can I still use my points to redeem on other Star Alliance carriers?
- While SAS remains part of Star Alliance, we will allow you to use EuroBonus points to book Star Alliance award trips
9. Can I still earn points on credits cards and other non-airline partners?
- Yes
10. Can I still use my EuroBonus points on non-airline partners such as rental cars or hotels?
- Yes
- While SAS remains part of Star Alliance, members of other Star Alliance member programs will keep their status benefits while flying on SAS, and will be able to spend their miles/points on SAS flights
Will there be opportunities to match with other programs to remain in *A?
- Most likely yes, but it will have yet to be seen what opportunities will present itself.
Will AF - KLM take over control of SAS?
- After a minimum of two years and pending regulatory permission, AF - KLM may increase its stake to grant it controlling power over SAS. However, the current situation indicates that there are agreements within the consortium, which would de facto give AF - KLM control with regards to certain aspects of SAS operations (as seen by the announcement to leave *A and join ST).
What is the ratio of the new ownership?
- Castlelake: 32%
- AF - KLM: 19.9%
- Danish State: 25.8%
- Lind Invest: 8.6%
- Remaining equity to be distributed to existing creditors.
What happens to existing SAS shares?
- This process makes current SAS shares lose their value. Some existing shareholders expressed displeasure about the decision and are questioning wether an American court can rule on making existing shares of SAS lose their value. It remains to be seen if legal action is taken.
Will SAS change their HUB strategy or move their HQ to Denmark?
- This is as of yet unconfirmed but it seems likely that SAS might focus on CPH and move its HQ.
Will SAS join the SkyTeam transatlantic Joint Venture?
- This is the stated goal of AF-KLM CEO, but will require regulatory approval.
How was this decided?
- There was a bidding process and two bids were received. Private Equity company Apollo Global Invest had expressed interest in taking control of the airline.
- The decision on the bids was taken roughly 30 minutes before the press conference on October 3rd as stated by Dilling.
What is the process now?
- Nothing changes immediately. As of now SAS is still a member of Star Alliance and will continue to operate normally for the foreseeable future.
- The announcements made today reflect the future plans, which are subject to approval by many different entities and regulatory bodies. These include the courts in the US to approve the Chapter 11 process, courts in Sweden which will have to approve the restructuring (and invalidation of shares), as well as the following, as taken out of the SAS press release: "(...) antitrust authorities, civil aviation authorities, the European Commission, and EFTA Surveillance Authority (as applicable), SAS leaving Star Alliance, the implementation of a Swedish Reorganization at the SAS AB level, and other customary conditions. There currently remains uncertainty in respect of satisfying such conditions and obtaining required approvals (...)".
- We should hear more about if this is going through in the next couple of weeks.
- SAS plans to exit Chapter 11 in Q2 2024 and leave Star Alliance and join SkyTeam before summer 2024.
Sources and links:
- SAS Press Release
- Communication E-Mail sent to EB members can be found in Post 114
- E24 (Information with regards to EuroBonus. Thanks to matin for the find in Post 64)
- Reuters
- AF-KLM Press Release
- SAS EuroBonus FAQ (Thanks again to matin for the find in Post 237)
- DInside on Merger of EuroBonus into FlyingBlue (Thanks to Frederik74 for the find in Post 473)
SAS to leave Star Alliance and join SkyTeam [eff. 01 Sep 2024]
May 1, 2024, 1:43 am
#961
Join Date: Oct 2011
Programs: EuroBonus Diamond, Delta Skymiles 360, BAEC LTG, Hilton Diamond, Marriott Ambassador
Posts: 2,863
The MIA route doesn't fly at the moment and is also a seasonal, doesn't return until November.
SK903 is the only year round longhaul service that SK consistently offers out of ARN.
May 1, 2024, 1:52 am
#963
FlyerTalk Evangelist
Join Date: Jul 2011
Location: Tokyo
Programs: JAL Metal Card (OWE), SAS Eurobonus Gold (*G), Marriott Titanium (LTP), Tokyu Hotels Platinum
Posts: 21,540
May 1, 2024, 9:30 am
#964
Join Date: Jan 2022
Location: Sweden & UK
Programs: Eurobonus, Iberia Plus
Posts: 160
Yes, definitely, practically cost SK nothing to include AF KL flights check in from their existing counters, but maybe Lufthansa group will also remain at Terminal 5, as the terminal would have the capacity for it anyway.
Maybe some long haul airlines / charter will be pushed aside instead-
Maybe some long haul airlines / charter will be pushed aside instead-
- Air Serbia
- Icelandair
- Norwegian (but they may be too large to move without throwing out some other smaller airlines from T2)
- Wizz
May 1, 2024, 10:15 am
#965
Join Date: May 2008
Location: ARN
Posts: 3,491
If Swedavia would need to "rebalance" the load between T2 and T4/5 following a likely move of AF/KLM (and presumably Transavia) to T5, without moving the remaining *A & LH Group flights, there are a number of other non-alliance airlines in T4/T5, such as:
- Air Serbia
- Icelandair
- Norwegian (but they may be too large to move without throwing out some other smaller airlines from T2)
- Wizz
- Air Serbia
- Icelandair
- Norwegian (but they may be too large to move without throwing out some other smaller airlines from T2)
- Wizz
All airlines currently at T2 are handled by Menzies, so moving Pegasus should be the obvious first choice. Apart from that, they'll have to move some Aviator customers.
Norwegian used to dominate T2 prior to their long-haul launch back in 2013. With widebodies in the fleet, they had to move to T5. Now that all widebodies are gone, maybe moving back to T2 would be an option.
May 1, 2024, 10:28 am
#966
Join Date: Jan 2022
Location: Sweden & UK
Programs: Eurobonus, Iberia Plus
Posts: 160
According to the Arlanda web site, Icelandair is handled by SAS, while the other three airlines mentioned are handled by Aviator. Moreover, Icelandair passengers can access the SAS lounge.
All airlines currently at T2 are handled by Menzies, so moving Pegasus should be the obvious first choice. Apart from that, they'll have to move some Aviator customers.
Norwegian used to dominate T2 prior to their long-haul launch back in 2013. With widebodies in the fleet, they had to move to T5. Now that all widebodies are gone, maybe moving back to T2 would be an option.
All airlines currently at T2 are handled by Menzies, so moving Pegasus should be the obvious first choice. Apart from that, they'll have to move some Aviator customers.
Norwegian used to dominate T2 prior to their long-haul launch back in 2013. With widebodies in the fleet, they had to move to T5. Now that all widebodies are gone, maybe moving back to T2 would be an option.
May 1, 2024, 10:53 am
#967
Join Date: Feb 2008
Location: Stockholm
Programs: Various
Posts: 3,376
That's a problem you would have by moving Norwegian too.
I've been in T2 when there was 2 flights departing within an hour from each other in the non-Schengen area. It's doable but it requires passengers to wait for passport control for as long as possible. This is perhaps the bigger issue with the Pegasus crowd(and I'm not bothered if someone finds that judgemental). The NileAir passengers were waiting for hours beyond passport control when I was there.
I've been in T2 when there was 2 flights departing within an hour from each other in the non-Schengen area. It's doable but it requires passengers to wait for passport control for as long as possible. This is perhaps the bigger issue with the Pegasus crowd(and I'm not bothered if someone finds that judgemental). The NileAir passengers were waiting for hours beyond passport control when I was there.
May 2, 2024, 2:06 am
#968
Join Date: Oct 2011
Programs: EuroBonus Diamond, Delta Skymiles 360, BAEC LTG, Hilton Diamond, Marriott Ambassador
Posts: 2,863
Used to be terrible when SU departed there as well. Between a perpetual supply of BA passengers and a few of these flaky flights, the queue for passport control just gets terrible and the space after is to small.
May 3, 2024, 6:16 am
#969
Join Date: Jul 2014
Location: 280 from HMR DVOR
Programs: EBG
Posts: 336
May 3, 2024, 7:08 am
#970
FlyerTalk Evangelist
Join Date: Jul 2011
Location: Tokyo
Programs: JAL Metal Card (OWE), SAS Eurobonus Gold (*G), Marriott Titanium (LTP), Tokyu Hotels Platinum
Posts: 21,540
May 3, 2024, 9:57 am
#971
Join Date: Jan 2012
Location: Koala Lemur
Programs: SK EBD LTG (*G)
Posts: 2,466
When AB fell down there was almost no interesting offers (but I am not based in Germany, which was also a limiting factor). I created a MM account today. But still counting that I will not to have to earn SEN without access to lounges.
Also I am wondering how long I will be flying into CPH on *A (to have access to lounge in outstations), and out of CPH on SK (to have access to lounges in CPH). I hope they get their acts together and the lounge situation will be sorted out before September. I am more optimistic about *A in CPH striking a quick deal though, than SK offering lounges in outstations where they used *A lounges.
EDIT: sorry for the "wrong thread". It appears that right now all threads on this forum are converging to a single topic
Also I am wondering how long I will be flying into CPH on *A (to have access to lounge in outstations), and out of CPH on SK (to have access to lounges in CPH). I hope they get their acts together and the lounge situation will be sorted out before September. I am more optimistic about *A in CPH striking a quick deal though, than SK offering lounges in outstations where they used *A lounges.
EDIT: sorry for the "wrong thread". It appears that right now all threads on this forum are converging to a single topic
May 3, 2024, 1:03 pm
#972
Join Date: Oct 2015
Location: Alvesta, Sweden
Programs: SAS Diamond, UA Gold, Hilton Gold
Posts: 152
Not sure if this is best forum to ask or better under the EB faqs (mods please move if this is not) just hoping /trying to avoid having to phone in to SAS🙄
Soon will need to book my first ST flights given my itinerary will overlap beyond the 1/9/2024 date, but also, given that my outbound flights will still be in Aug, I am just wondering if anyone might already know how, or even if, one will be able to utilize any ST benefits via their EB acct/status, or will I then have zero tier benefits on my outbound if not specifically flying on SAS metal? (ie.if booked on AF, KLM, or delta) And if so, is there any workaround other than trying to get a status match prior (am aware that FB is offering the paid one for EB members)
So just wondering if anyone might know how this situation will be handled, if it even will be at all, &/or how other EB members are doing their bookings around this timeframe(?)
TIA.
Soon will need to book my first ST flights given my itinerary will overlap beyond the 1/9/2024 date, but also, given that my outbound flights will still be in Aug, I am just wondering if anyone might already know how, or even if, one will be able to utilize any ST benefits via their EB acct/status, or will I then have zero tier benefits on my outbound if not specifically flying on SAS metal? (ie.if booked on AF, KLM, or delta) And if so, is there any workaround other than trying to get a status match prior (am aware that FB is offering the paid one for EB members)
So just wondering if anyone might know how this situation will be handled, if it even will be at all, &/or how other EB members are doing their bookings around this timeframe(?)
TIA.
May 3, 2024, 1:17 pm
#973
Join Date: Jan 2012
Location: Koala Lemur
Programs: SK EBD LTG (*G)
Posts: 2,466
One solution is to fly SK (which I understand is not an option). SK will offer more or less consistent benefits on both sides of the transfer date. Another is to book two one-ways: *A outbound, ST inbound. Then you should also get the benefits both ways.
May 3, 2024, 9:37 pm
#974
Join Date: Nov 2014
Location: Probably not too far away from wherever you are
Programs: SAS EBD, Marriott Lifetime Titanium, Hilton Diamond, United MileagePlus Silver, AA Lifetime Gold
Posts: 211
Strangely, they also seem excited about the higher prices that SK wants to charge for providing the same service it does today just because it joins a JV.
It's also peculiar that most of the people supporting this move aren't talking about flying SK more as a result - it's only about access to the other Sky Team airlines they fly more often. If I understand their motivations correctly, then SK is in just as much trouble on 1 September as it is today on 4 May.I agree with status matches...so far nothing great. I am also wondering what could any of them really offer that wouldn't be a one-time/one-year band-aid unless they are investing in more flights to Scandinavia that head towards Western Europe. Direct flights to cities like Amsterdam, Paris, and London are their most immediate issue. No one who values time over money would fly to Germany to connect to those destinations.
May 3, 2024, 10:55 pm
#975
Join Date: Feb 2008
Location: Stockholm
Programs: Various
Posts: 3,376
I'm not sure about status matches. I have moved over to FB for other reasons already so this doesn't do anything to me other than make EB redundant for status purposes. I will of course keep it for the points.
I wonder how many regular EB flyers would benefit from eg. M&M status match since many would be domestic flyers? Maximisers of the type you can find on the Swedish forum who fly maximum 20 flights a year won't get anything out of M&M anyway. Those people will be the ones signing up though.
I wonder how many regular EB flyers would benefit from eg. M&M status match since many would be domestic flyers? Maximisers of the type you can find on the Swedish forum who fly maximum 20 flights a year won't get anything out of M&M anyway. Those people will be the ones signing up though.