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SAS and the future

During the press conference of SAS for the beginning of scheduled flights of…

During the press conference of SAS for the beginning of scheduled flights of the company between Athens and Copenhagen, Soren Belin, Chief Operating Officer, presented SAS future plans.

Belin said that customers travel habits and requirements change and SAS must therefore adapt – both commercially and with regard to costs. To achieve this, the company provides comprehensive air-travel services to their customers.

One of the above services is SAS subsidiary, low fare airline, Snowflake that during the fist year of operations sold 750,000 seats.

Belin presented the program of SAS named Turnaround 2005 with target to decrease unit cost on a competitive level. A major step forward is the conclusion of agreements with all major unions. The new collective agreements will reduce SAS unit cost by 35%.

SAS announced begging of March (TravelDailyNews, 12 March 2004), that the company will be split in 4 airlines, one for each country member (Sweden, Denmark and Norway) and one for intercontinental flights. The reason for this split as Mr Belin said is the fact that traffic mix (domestic-international traffic) is different between the three countries (Sweden: 50-50%, Denmark: 10-90%, and Norway 80-20%) and that with that way the company will reduce costs.

At the end of the presentation Belin mentioned that future SAS will be a profitable airline that will offer priceworthy air travel.

Theodore Koumelis
Co-Founder & Managing Director - Travel Media Applications | Website

Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.