• Sweden edition
 
Troubled SAS rejects bankruptcy rumours

Troubled SAS rejects bankruptcy rumours

Published: 28 Oct 2012 09:07 GMT+01:00
Updated: 28 Oct 2012 09:07 GMT+01:00

"There has been speculation all autumn, there are new things almost everyday, but nothing is decided," said SAS communications head Knut Morten Johansen to the Norwegian website E24.no.

The media has been awash with reports that SAS is facing insolvency, that its banks were losing patience and that the company is set to be sold.

Johansen rejected the sale rumours, explaining that the speculation was "frustrating".

According to a report in the Dagens Industri business daily this week, the airline and its three major shareholders - the Swedish, Norwegian and Danish states - held meetings with its creditors to discuss the airline's future.

The Swedish state has invested some 2.4 billion kronor ($360 million) in the loss-making airline in the past three years, money which has long since been exhausted.

The airline posted losses of 1.69 billion kronor in 2011 and CEO Rickard Gustafsson pledged to accelerate the firm's cost-cutting programme, seeking five billion kronor in savings and new revenue in 2012.

According to the Dagens Industri report, the company's loan facilities expire in March 2013 and rumours that the banks were disinclined to extend the loans have persisted.

Rumours of a sell-off have been circulating since 2008, with Lufthansa long seen as the most probable buyer. A concrete bid has however never been tabled.

Any sale of the company is complicated by its ownership structure with Sweden, Norway and Denmark all required to agree any eventual sale.

TT/The Local/pvs (news@thelocal.se)

Your comments about this article

09:56 October 28, 2012 by Attestupa
Come on guys !!! Do NOT allow SAS to be absorbed by a larger airline. It is Scandinavian and is a great airline.
13:21 October 28, 2012 by Rap43
I haven't voluntarily flown SAS since they stopped supplying free coffee and sandwiches while still charging full fares...

Lufthansa, British Airways, two of the biggest in the world, charge about the same and still supply full service, not to mention better connections with the rest of the world.
17:16 October 28, 2012 by JulieLou40
It would be such a shame to see SAS go, we've always had great service from them. And I don't know why the other poster complained about not getting anything for free-every time we've taken the first flight of the day, we've been given a delicious breakfast, warm bread, and all the tea and coffee we can drink-Norwegian don't do that. I think they're great, and hope the company survives.
17:18 October 28, 2012 by matona1
nothing special about the airline,and what is the diffrent between the local and Sj,why the local blocked coment on the first article,(SJ apologizes after 'asylum-seeker' gaff) same sjit
17:54 October 28, 2012 by Flygger
@Rap43 You may be keen to hear that free coffee has been re-introduced for some time now and I even get a free refill !!

They could drop the newspapers though as far as I would care.

Best airline though is Finnair. Miles better in my humble opinion.
19:44 October 28, 2012 by eurobloke
@Rap43, have you tried BA coffee? It taste like s***, and it is probably instant.
23:08 October 28, 2012 by johan rebel
The Scandinavian governments should have pulled the plug on SK years ago, instead of repeatedly propping it up at the taxpayers' expense
08:23 October 29, 2012 by cattie
I am a frequent flyer to USA and live in Stockholm. I always avoid flying SAS since they only give 25% mileage credit on economy tickets. Lufthansa gives full credit. While I may need an extra stop in Germany, I want to elite status and free flights, I consider it a waste of a trans-atlantic flight to fly SAS.

A couole of years ago, I wrote SAS and explained to them that the purpose of a loyalty program was to INCREASE loyalty and sales -- not decrease it. I really think they do not run the airline like a business, they responded with the typical Jante-like "We do not do that in Sweden..."
10:09 October 29, 2012 by Andrew
I will avoid flying on SAS both on domestic and international flights. Finnair is way much better in terms of service and inflight entertainments. Prices is not even competitive anymore. Lufthansa is good too and together with Swiss Airlines, I rather choose them then SAS.
10:45 October 29, 2012 by EP
SAS can't even get their website to work properly on occasion, and if you want to book Eurobonus tickets, the same destination options do not even show up as when you would be buying the ticket, even though they (SAS) fly their (via code-share).

I use Norwegian or other Star Alliance partners whenever I can
Today's headlines
National
Swedish town 'like Venice' after heavy rains
Photo: TT

Swedish town 'like Venice' after heavy rains

Torrential rains in western Sweden have left some towns submersed as water levels have risen to 1.5 metres above normal for the season with forecasts indicating that is worse to come. READ  

Ebola crisis
Sweden pledges new aid to UN Ebola fund
Photo: TT

Sweden pledges new aid to UN Ebola fund

Sweden has offered a new sizeable contribution to the fund set up by UN chief Ban K-moon to fight the Ebola outbreak. READ  

Society
'Dark forces' target refugee hunting scheme
Photo: Lars-Göran Thuresson/Älgriket

'Dark forces' target refugee hunting scheme

The Swedish hunting association runs a project to encourage young asylum-seekers to learn about hunting, a move which has proved controversial among some far right groups. READ  

Business & Money
American sales squeeze Ericsson profits
Ericsson CEO Hans Vestberg presents the third-quarter earnings report at the company's headquarters in Kista. Photo: Janerik Henriksson/TT

American sales squeeze Ericsson profits

Swedish telecoms equipment maker Ericsson reported a decline in net profit in the third quarter despite an increase in sales, boosted by business in emerging markets. READ  

Interview
'Too many concerts feel the same'
Sofar hosts secret gigs in Swedish apartments. Photo: Sofar

'Too many concerts feel the same'

Kattis Bjork founded Stockholm's secret gig scene - Sofar - a year ago. The Local caught up with her as she prepared to celebrate the project's anniversary this weekend and revealed the concept will spread to other Swedish cities in 2015. READ  

Stockholm 'sub hunt'
Sweden calls off suspect submarine search
Ships are returning to shore in Sweden. Photo: TT

Sweden calls off suspect submarine search

The core search for a suspected foreign vessel in Swedish waters has been called off. The armed forces said they remained convinced foreign underwater activity had taken place but had not identified an intruder. READ  

Business & Money
US and Japan fuel surge for Volvo trucks
Ed Carbaugh prepares to install parts on a truck engine on an assembly line at Volvo Trucks' powertrain manufacturing facility in Hagerstown, Maryland, March 2014. Photo: Patrick Semansky/AP

US and Japan fuel surge for Volvo trucks

Sweden's Volvo, the world's second-largest maker of trucks, said Friday it saw a spike in profits in the third quarter, boosted by thriving sales in the US and Japanese markets. READ  

Inspectors attacked at rogue doc’s surgery
Cigarettes and beer photo: Shutterstock

Inspectors attacked at rogue doc’s surgery

Inspectors who were sent to shut down a doctor’s surgery in Gothenburg were physically attacked and fled the premises to get help from the police. READ  

Police turn Swede’s vodka into water
A Swede loads a car with alcohol in northern Germany. File photo: Drago Prvulovic/TT

Police turn Swede’s vodka into water

Swedish police say they will pay a man 16,000 kronor ($2,200) in damages after much of the alcohol they confiscated from him was stolen, while many of the bottles they returned were filled with water. READ  

Diplomacy
US to get first female ambassador in Sweden
File photo: Athena Center for Leadership Studies

US to get first female ambassador in Sweden

The United States Embassy in Stockholm is set to get its first female ambassador after the White House announced it was nominating the Iranian-American ex-investment banker Azita Raji to take over from Mark Brzezinski. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Lifestyle
What's On in Sweden: October 24th - 31st
Gallery
People-watching: October 22nd
Gallery
In Pictures: Prince Carl Philip and Sofia Hellqvist
Lifestyle
Eight things to love about renting a Swedish apartment
National
Vasa ship cannon blasted in Sweden
Blog updates

24 October

Editor’s blog, October 24th (The Local Sweden) »

"Hi readers, Get ready to read our weekly digest of Swedish news in less than 60 seconds. The..." READ »

 

24 October

Is darkness weather? (Blogweiser) »

"I try very hard not to talk about the weather. This has come after a decade..." READ »

 
 
 
National
Sub hunt: Day-by-day
National
Sub hunt: Stockholm islanders share their fears with The Local
Sponsored Article
The best options for oversea transfers
National
Get 20% off unique Swedish homeware
National
Dentist gives free care to Roma beggars
Business & Money
Get your own office in Gothenburg or Stockholm - free for a day
Gallery
Property of the week: Malmö
Gallery
PHOTOS: 'Foreign activity' in Swedish waters
Gallery
People-watching: October 19th
TT
Society
QUIZ: How good is your Swedish?
Lifestyle
What's on in Sweden: October 17th - 24th
Society
The nudity... and nine other things expat men notice in Sweden
Gallery
People-watching: October 15th
Gallery
Your views: Should outdoor smoking be banned in Sweden?
Business & Money
Sweden has 'large hole' in finances
Sponsored Article
Introducing... Finding a job in Stockholm
Society
Monster salmon caught in northern Sweden
Gallery
Property of the week: Lorensberg
National
Scandinavia's child bride
National
Ebola crisis: How is Sweden preparing?
Business & Money
How Sweden is becoming a cashless society
Gallery
Stockholm Burlesque Festival 2014
National
How a little red horse became a symbol for Sweden
Gallery
People-watching: October 12th
Business & Money
The hottest start-ups from southern Sweden
National
What's on in Sweden: October 10th - 17th
National
Stockholm is 'best' region for well-being
Gallery
People-watching: October 8th
National
Five facts to know about Patrick Modiano
Society
My Swedish Career: A French fashionista in Sweden
Society
Swede's anti-bully Facebook tale goes viral
Society
Have you seen Sweden's viral subway cancer campaign?
National
Isis: Swedes linked to Turkish prisoner swap
National
Should Swedes be banned from buying sex abroad?
Gallery
Fredrik Reinfeldt's leaving presents
National
Five Swedish TV shows you shouldn't miss
Gallery
A tool belt, a casserole, and a book. Fredrik Reinfeldt's parliament gifts
TT
Lifestyle
Top five winter festivals in Sweden
TT
National
Sami reindeer herders win mine reprieve
Gallery
Property of the Week: Gamla Enskede
Sponsored Article
How to catch the first lobster of the year
Team SCA
Sponsored Article
All-female SCA team takes off on Volvo Ocean Race
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Germany

More news from Germany at thelocal.de

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

985
jobs available
Swedish Down Town Consulting & Productions
Swedish Down Town Consulting & Productions is an innovative business company which provides valuable assistance with the Swedish Authorities, Swedish language practice and general communications. Call 073-100 47 81 or visit:
www.swedishdowntown.com
PSD Media
PSD Media is marketing company that offers innovative solutions for online retailers. We provide modern solutions that help increase traffic and raise conversion. Visit our site at:
http://psdmedia.se
If you want to drink, that’s your business.
If you want to stop, we can help.

Learn more about English-language Alcoholics Anonymous in Sweden. No dues. No fees. Confidentiality assured.
AA-EUROPE.ORG/SWEDEN