Tag Archives: Scandinavian Airlines-SAS

SAS reports increased passenger numbers compared to November driven by holiday travel

SAS made this announcement:

Almost 400,000 passengers flew with SAS during December, an increase of 18% compared to last month, but a decline by 80% year over year. At the same time SAS reduced its capacity by 6% compared to November, which corresponds to a reduction of 74% compared to last year. The load factor came in at 33%, an increase of some 8 percentage units (p.u.) compared to the previous month, but down 38 p.u. compared to last year. The increase in passengers and load factor compared to November is mainly driven by an increased demand for domestic travel during the holiday season.

“The overall demand continues to be heavily impacted by continued restrictions, with holiday travel significantly below normal levels in December. SAS continues to adapt its capacity according to the demand, that is expected to stay at low levels throughout the winter season. However, we’re encouraged by the recent vaccine developments and initiated COVID-19 vaccination programs, providing a foundation for a future normalization of our industry” says Rickard Gustafson, CEO SAS.

In other news, the President and CEO of SAS, Rickard Gustafson, has decided to leave SAS after 10 years. He will leave the company, at the latest, on July 1, 2021.

Chairman Carsten Dilling comments:

“I’m both disappointed and sorry that Rickard wants to move on from his important role in SAS. At the same time on behalf of the Board of SAS, I want to thank Rickard for his fantastic performance during his ten years as President and CEO. Under Rickard’s management SAS has made a remarkable turnaround, from loss to several years of profitable performance. Recently he has led the company with safe hands in the first part of the toughest crisis in the company’s 75 year history, the pandemic.

Most of all, Rickard will be remembered for his excellent leadership in SAS’s sustainability initiatives, which was the starting point for a new sustainability era in the whole aviation industry.”

President and CEO Rickard Gustafson comments:

“After ten intense and stimulating years, the time has come for me to pass on the baton to the next CEO of SAS during the first half of 2021, as I have accepted an opportunity to join one of Sweden’s largest industrial groups. SAS has a strong position in the Scandinavian market and is well positioned to lead the aviation industry toward a more sustainable future once the pandemic is under control. I would like to express my sincere gratitude to all esteemed colleagues, customers and other stakeholders in SAS for their engagement, loyalty and support over the years. SAS is a fantastic organization with extraordinary people that will ensure that SAS remains an important and integrated part of the Scandinavian infrastructure”.

“SAS is still in a critical – but stable position – and the board has of course immediately started the process to appoint a new President and CEO of SAS”, Dilling concludes.

SAS scheduled traffic Dec20 Change1 Nov20-Dec20 Change1
ASK (Mill.) 946 -72.4% 1 947 -73.2%
RPK (Mill.) 313 -87.0% 565 -88.9%
Passenger load factor 33.1% -37.1 p u 29.0% -40.8 p u
No. of passengers (000) 388 -79.7% 718 -83.0%
Geographical development, schedule Dec20            vs.          Dec19 Nov20-Dec20   vs. Nov19-Dec19
RPK ASK RPK ASK
Intercontinental -95.7% -79.6% -96.4% -80.2%
Europe/Intrascandinavia -88.9% -80.7% -90.9% -82.9%
Domestic -61.6% -35.7% -67.4% -35.9%
SAS charter traffic Dec20 Change1 Nov20-Dec20 Change1
ASK (Mill.) 6 -96.6% 14 -95.9%
RPK (Mill.) 2 -98.7% 5 -98.3%
Load factor 35.2% -55.7 p u 37.7% -54.6 p u
No. of passengers (000) 1 -98.9% 1 -98.3%
SAS total traffic (scheduled and charter) Dec20 Change1 Nov20-Dec20 Change1
ASK (Mill.) 951 -73.5% 1 961 -74.2%
RPK (Mill.) 315 -87.7% 570 -89.4%
Load factor 33.1% -38.0 p u 29.1% -41.7 p u
No. of passengers (000) 389 -80.2% 720 -83.3%

1 Change compared to same period last year. p u = percentage units

Preliminary yield and PASK Dec20 Nominal change FX adjusted change
Yield, SEK 1.26 32.9% 39.6%
PASK, SEK 0.42 -37.4% -34.2%
Dec20
Punctuality (arrival 15 min) 82.0%
Regularity 97.4%
Change in total COemissions, rolling 12 months -68.3%
Change in COemissions per available seat kilometer -6.5%
Carbon offsetting of passenger related emissions 44%

Definitions:

RPK – Revenue passenger kilometers
ASK – Available seat kilometers
Load factor – RPK/ASK
Yield – Passenger revenues/RPK (scheduled)
PASK – Passenger revenues/ASK (scheduled)
Change in COemissions per available seat kilometers – SAS passenger related carbon emissions divided with total available seat kilometers (incl. non-revenue and EuroBonus), rolling 12 months
Carbon offsetting of passenger related emissions – Share of SAS passenger related carbon emissions compensated by SAS (EuroBonus members, youth tickets and SAS’ staff travel)

From fiscal year 2020 we report change in CO2 emissions in total and per Available Seat Kilometers (ASK) to align with our overall goal to reduce our total CO2 emissions by 25% by 2025, compared to 2005.

SAS reports reinforced travel restrictions has led to reduced demand and capacity in November

Scandinavian Airlines-SAS has issued this traffic report:

In the month of November 331,000 passengers flew with SAS, a decline by 86% year over year and 45% compared to the previous month. At the same time SAS reduced its capacity by 75% compared to last year and by 20% compared to October.

The load factor came in at 25.3%, down some 45 percentage points (p.p) compared to last year and 13 p.p. compared to October. The decline in number of passengers and load factor was driven by the accelerated number of reported COVID-19 cases across Europe, resulting in renewed travel restrictions followed by a significant drop in demand, also for domestic travel.

In addition, we have noted an increased number of no-show passengers in November, impacting the load factor negatively versus the previous month. Furthermore, as we have gradually reduced our European and Scandinavian capacity, intercontinental traffic sustained by cargo revenues, have a larger proportional share of the reported load factor, and thus impacting comparison with the previous month negatively.

“The sharp increase in the number COVID-19 cases, reintroduced travel restrictions and recommendations for social distancing, instantly impacted overall demand and willingness to travel. Even though SAS quickly responded by reducing offered capacity, unavoidable lead time from implemented crew rosters and adherence to local furlough schemes, unfortunately created some unbalance between capacity and demand during the month. However, entering into December, we have made further adjustments to adapt our capacity with available demand for Scandinavian connectivity” says Rickard Gustafson, CEO SAS.

SAS scheduled traffic Nov20 Change1
ASK (Mill.) 1 001 -73.9%
RPK (Mill.) 252 -90.6%
Passenger load factor 25.1% -44.3 p u
No. of passengers (000) 330 -85.7%
Geographical development, schedule Nov20            vs.         Nov19
RPK ASK
Intercontinental -97.1% -80.8%
Europe/Intrascandinavia -92.6% -84.9%
Domestic -72.3% -36.0%
SAS charter traffic Nov20 Change1
ASK (Mill.) 8 -95.3%
RPK (Mill.) 3 -98.0%
Load factor 39.3% -54.1 p u
No. of passengers (000) 1 -97.7%
SAS total traffic (scheduled and charter) Nov20 Change1
ASK (Mill.) 1 009 -74.8%
RPK (Mill.) 255 -91.0%
Load factor 25.3% -45.2 p u
No. of passengers (000) 331 -86.0%

1 Change compared to same period last year. p u = percentage units

Preliminary yield and PASK Nov20 Nominal change FX adjusted change
Yield, SEK 1,65 57,6% 64,7%
PASK, SEK 0,41 -43,0% -40,4%
Nov20
Punctuality (arrival 15 min) 94.6%
Regularity 98.4%
Change in total COemissions, rolling 12 months -63.1%
Change in COemissions per available seat kilometer -6.0%
Carbon offsetting of passenger related emissions 32%

Definitions:

RPK – Revenue passenger kilometers
ASK – Available seat kilometers
Load factor – RPK/ASK
Yield – Passenger revenues/RPK (scheduled)
PASK – Passenger revenues/ASK (scheduled)
Change in COemissions per available seat kilometers – SAS passenger related carbon emissions divided with total available seat kilometers (incl. non-revenue and EuroBonus), rolling 12 months
Carbon offsetting of passenger related emissions – Share of SAS passenger related carbon emissions compensated by SAS (EuroBonus members, youth tickets and SAS’ staff travel)

From fiscal year 2020 we report change in CO2 emissions in total and per Available Seat Kilometers (ASK) to align with our overall goal to reduce our total CO2 emissions by 25% by 2025, compared to 2005.

SAS aircraft slide show:

SAS loses $235 million in the third quarter, will early retire 21 aircraft

Scandinavian Airlines-SAS reported a significant loss in the third quarter due to surging COVID-19 pandemic:

FULL-YEAR FINANCIALS SIGNIFICANTLY IMPACTED BY THE ONGOING PANDEMIC

AUGUST 2020–OCTOBER 2020

  • Revenue: MSEK 3,035 (13,435)
  • Income before tax (EBT): MSEK -3,271 (1,096)
  • Income before tax and items affecting comparability: MSEK -3,043 (1,226)
  • Net income for the period: MSEK -2,579 (861)
  • Earnings per common share: SEK -4.46 (2.19)

SIGNIFICANT EVENTS DURING THE QUARTER

  • SAS completed a successful recapitalization adding SEK 12 billion in liquidity and SEK 14.25 billion in strengthened equity
  • SAS repays a SEK 3.3 billion revolving credit facility agreement in accordance with its terms

NOVEMBER 2019–OCTOBER 2020

  • Revenue: MSEK 20,513 (46,112)
  • Income before tax (EBT): MSEK -10,151 (794)
  • Income before tax and items affecting comparability: MSEK -8,619 (786)
  • Net income for the period: MSEK -9,275 (621)
  • Earnings per common share: SEK -21.55 (1.54)

COMMENTS BY THE CEO

Since the beginning of 2020, the coronavirus has changed the fundamentals for the aviation industry through globally imposed travel restrictions and general travel concerns among the broader population. Naturally, SAS is no exception, and our quarterly and fiscal year earnings were severely impacted by the ongoing pandemic. After seeing demand slowly improve during the summer, an accelerated number of COVID-19 cases in September and October unfortunately led to reinforced restrictions across Europe with reduced demand as a direct consequence.

SEVERE NEGATIVE IMPACT FROM THE PANDEMIC

The ongoing COVID-19 pandemic has led to a decrease in total revenue of over 77% compared to same quarter last year. To mitigate the revenue shortfall, we continued to deliver on our cost reduction initiatives and total operating expenses were reduced by 53% year-on-year to SEK 5.8 billion. However, the current limited demand for travel precludes positive earnings, which ended at negative SEK 3 billion, down SEK 4.3 billion on last year.

Following a successful recapitalization process, our cash position remains strong at SEK 10.2 billion at the end of the quarter. Cash flow from operating activities ended at negative SEK 2.9 billion. This was within the previously communicated range taking the increased pace of refunds to our customers into account.

The full fiscal year 2020 was of course also heavily impacted by the pandemic. Since March, most of our traffic has been temporarily paused, and demand hasn’t yet returned to anywhere near the previous year’s levels. This led to a decline in revenue of 55% to SEK 20.5 billion, in part mitigated by a 37% reduction in costs due to a lower variable cost and an exhaustive cost reduction program. Still, full-year earnings declined SEK 9.4 billion to negative SEK 8.6 billion.

RENEWED RESTRICTIONS SLOWED DEMAND RECOVERY

There were signs of a demand recovery during the summer season, but as the number of observed COVID-19 cases in Europe and North America accelerated in September and October, renewed travel restrictions reversed a positive trajectory.  At the beginning of the fourth quarter, some 40% of SAS’ pre-COVID markets were under travel restrictions, growing to over 65% by the end of the quarter.

To adapt to the recent developments, SAS had to gradually reduce offered seat capacity to well below 40% by the end of October. However, SAS is maintaining the backbone of the aviation infrastructure in Scandinavia, with a significantly broader offering to, from and within Scandinavia than any other carrier.

ACCELERATED PACE OF CUSTOMER REFUNDS

At the end of the quarter, we launched a set of initiatives to improve the refund lead time, including automated self-service options for travel agents and consumers, robots to tackle the backlog and hiring additional resources to handle more complex cases. We’re pleased to see that our efforts have significantly improved an otherwise unsatisfactory situation. During the quarter, SEK 1 billion was repaid for canceled flights, which is an increase of more than 50% compared to the previous quarter. However, we will not rest until all rightful claims have been settled, amounting to approximately SEK 0.9 billion as of 1 December. I would like to take this opportunity to apologize to all customers who have experienced unsatisfactory lead times, caused by an unprecedented situation for the whole airline industry.

SECURING COST-EFFECTIVE OPERATIONS

Capability and flexibility to scale capacity up or down to mirror the current volatile demand is of utmost importance to preserve liquidity and avoid unnecessary cost. Available furlough (temporary layoff) schemes across Scandinavia are therefore of significant importance as they provide a foundation for more disciplined capacity management to offset volatility in demand. We welcome the fact that the existing schemes have been extended in all three Scandinavian countries, as it enables us to maintain flexibility in capacity planning and in our operating procedures.

Even though we constantly monitor demand and adapt our capacity accordingly, travel restrictions are imposed instantly while capacity adjustments require some operational lead time. Consequently, we noted a ten-percentage-point reduction in the cabin factor and somewhat higher operational costs in the fourth quarter compared to the previous quarter.

However, we negotiated new and more flexible terms with our regional production partners during the quarter, shifting more costs from fixed to variable, and thereby allowing for better alignment between offered capacity and available demand.

Furthermore, we have initiated the process to phase out 21 of our older and less fuel-efficient aircraft at an earlier stage than originally planned, including 15 Boeing 737NG, five Airbus A340 and one Airbus A330 aircraft. The accelerated phase-out will support liquidity through the sales of aircraft and engines, as well as reduce spend on maintenance and leasing. Together with the agreement with Airbus on deferred deliveries of new aircraft, it will also better align our fleet with current and expected demand. The accelerated phase-out will also contribute to lower emissions. Over the last 12 months, our total CO2 emissions have decreased 57.2%, where the majority is related to reduced capacity as a consequence of the pandemic, but usage of more efficient aircraft connected to our ongoing fleet renewal has also contributed with 2.3 percentage points, in line with our ambitious target to reduce total CO2 emissions 25% by 2025.

Scandinavian Airlines-SAS Boeing 737-783 WL LN-RRB (msn 32276) ZRH (Rolf Wallner). Image: 952158.

Above Copyright Photo: Scandinavian Airlines-SAS Boeing 737-783 WL LN-RRB (msn 32276) ZRH (Rolf Wallner). Image: 952158.

In addition, the initiatives implemented since the second quarter, including renegotiated contracts with our major suppliers and halting all non-necessary spend on e.g., marketing, product and IT development, have also further reduced cash burn and overall spend.

We have also remained resilient in our endeavor to secure long-term efficiency gains. The 5,000 redundancies, which were announced in the second quarter, have now been finalized, and as of November 1, 2020, a new organization reflecting the reduced number of positions was fully operational.

We have also advanced the dialogue with our unions to secure additional long-term productivity improvements. In the fourth quarter, a number of changes to local agreements have been implemented and two new agreements securing the required productivity uplift were reached, one with our SAS Ireland crew and one with employees at the technical department in Copenhagen.

SUCCESSFUL RECAPITALIZATION FINALIZED

By the end of the quarter, our recapitalization initiative was finalized, raising SEK 12 billion in new liquidity and 14.25 billion in equity.

According to the terms of the utilized SEK 3.3 billion state guaranteed revolving credit facility, it was repaid in full by the end of the quarter. Following the completed rights issue, we aim to apply for the Norwegian state guaranteed term loan and to explore additional options to preserve a strong liquidity, such as aircraft financing.

To illustrate the value of Scandinavia’s largest loyalty program, EuroBonus, we transferred it to a separate entity in which we will continue to further strengthen the relationship with our customers.

The finalized recapitalization, followed by additional initiatives to manage liquidity, makes SAS prepared for a tough winter season and a challenging fiscal year 2021, that most likely will be loss making. I am grateful for the support that our largest owners, the governments of Denmark and Sweden, and the Knut and Alice Wallenberg Foundation, have demonstrated throughout this recapitalization process. I am also thankful for the support and trust demonstrated by individual and institutional investors by participating in the rights issue, despite the challenging times that the aviation industry is currently undergoing.

LOOKING AHEAD

Until demand returns and the world recovers from the COVID-19 pandemic, we will continue to persistently execute on our business plan and thereby return to a sustainable position both financially and environmentally.

Even though we’re encouraged by the recent progress related to the development and distribution of COVID-19 vaccines, demand remains uncertain and makes it impossible to provide any guidance on the financial performance for the coming fiscal year. However, we expect weak operating cashflow in the first quarter of 2021 due to low demand during the winter season combined with accelerated refunds. Our view continues to be that the ramp-up phase for the airline industry will last until 2022 before demand can reach more normalized levels, with a return to pre COVID-19 levels a few years thereafter.

I would like to express my sincere appreciation to all colleagues at SAS for their fighting spirit and dedication during this turbulent year and I know that all of us are looking forward to once again welcoming our travelers onboard!

Rickard Gustafson,

President and CEO

Stockholm, December 3, 2020

SAS aircraft photo gallery:

SAS announces its destinations during the holiday season

Scandinavian Airlines-SAS has made this announcement:

From mid-December to mid-January, SAS will fly all domestic routes in Norway and Sweden, as well as domestic routes in Denmark except for Billund. SAS continues to fly its routes between the Scandinavian capitals and is reopening a number of routes to Europe. The routes to New York, Chicago, San Francisco, Washington and Shanghai will continue to operate.

SAS will offer a total of 129 routes to 82 destinations, including major cities such as Berlin, London, Paris, Rome and Athens.

From Norway, SAS is reopening direct routes between Norway and Europe, and will fly 20 direct routes to the continent.

The traffic program has been reduced compared with a normal year, and fewer tickets will be available than usual. SAS urges customers to plan their travel well in advance to ensure they can get tickets for their preferred departures. SAS wishes to note that the traffic program may be amended if travel restrictions are introduced which indicate that routes should be cancelled.

Read more about SAS’ traffic program here

We know that flexibility is important for our travelers in these turbulent times and have consequently introduced more flexible rebooking options. Our travelers can cancel their trip until 72 hours before departure and get a SAS Travel Voucher that is valid as payment on all SAS destinations. This offer applies for all international travel. SAS also offers rebooking free of charge for all international flights until 72 hours before departure. All trips booked through SAS are refundable within 24 hours of purchase, regardless of ticket type.

Read more about SAS Flexible Booking

The safety of our passengers and employees is SAS’ primary concern and travelling by air is very safe, also with regards to infection control. SAS has introduced a range of measures to ensure that passengers feel safe when travelling with SAS. For example, procedures have been introduced for extra onboard cleaning, new boarding procedures and the mandatory wearing of face masks on board during the journey. Research has shown that the likelihood of being infected on board an aircraft is microscopic, partly because the dry air on board is filtered every three minutes.

Read more about safe travel with SAS

Intercontinental

CPH-PVG            Copenhagen-Shanghai

CPH-EWR           Copenhagen-New York

CPH-IAD             Copenhagen-Washington DC

CPH-ORD           Copenhagen-Chicago

CPH-SFO            Copenhagen-San Francisco

Routes from Norway to Europe

OSL-ALC             Oslo-Alicante

OSL-AMS            Oslo-Amsterdam

OSL-BER             Oslo-Berlin

OSL-BRU            Oslo-Brussels

OSL-DUS            Oslo-Düsseldorf

OSL-FRA             Oslo-Frankfurt

OSL-GDN            Oslo-Gdansk

OSL-HAM           Oslo-Hamburg

OSL-KBP             Oslo-Kiev

OSL-KEF             Oslo-Reykjavik

OSL-LHR             Oslo-London

OSL-LPA             Oslo-Las Palmas

OSL-MAN           Oslo-Manchester

OSL-MUC           Oslo-Munich

OSL-VNO            Oslo-Vilnius

OSL-WAW          Oslo-Warsaw

OSL-ZRH            Oslo-Zürich

SVG-ABZ             Stavanger-Aberdeen

SVG-WAW          Stavanger-Warsaw

Routes from Denmark to Europe

CPH-AGP            Copenhagen-Malaga

CPH-ALC            Copenhage-Alicante

CPH-AMS           Copenhagen-Amsterdam

CPH-ATH            Copenhagen-Athens

CPH-BER            Copenhagen-Berlin

CPH-BHX            Copenhagen-Birmingham

CPH-BRU           Copenhagen-Brussels

CPH-CDG            Copenhagen-Paris

CPH-DUS            Copenhagen-Düsseldorf

CPH-FAO            Copenhagen-Faro

CPH-FCO            Copenhagen-Rome

CPH-FRA            Copenhagen-Frankfurt

CPH-GDN           Copenhagen-Gdansk

CPH-GVA            Copenhagen-Geneva

CPH-HAM          Copenhagen-Hamburg

CPH-KEF             Copenhagen-Reykjavik

CPH-LHR            Copenhagen-London

CPH-LPA             Copenhagen-Las Palmas

CPH-MAN          Copenhagen-Manchester

CPH-MIL             Copenhagen-Milan

CPH-MUC           Copenhagen-Munich

CPH-NCE            Copenhagen-Nice

CPH-OTP          Copenhagen-Bucaresti

CPH-PLQ            Copenhagen-Palanga

CPH-PMI             Copenhagen-Palma de Mallorca

CPH-PRN          Copenhagen-Pristina

CPH-STR            Copenhagen-Stuttgart

CPH-SZG            Copenhagen-Salzburg

CPH-TLL             Copenhagen-Tallinn

CPH-VNO           Copenhagen-Vilnius

CPH-WAW          Copenhagen-Warsaw

CPH-ZRH            Copenhagen-Zürich

Routes from Sweden to Europe

ARN-AGP            Stockholm-Malaga

GOT-AGP            Gothenburg-Malaga

ARN-ALC            Stockholm-Alicante

ARN-AMS          Stockholm-Amsterdam

ARN-ATH            Stockholm-Athens

ARN-BER            Stockholm-Berlin

ARN-BRU           Stockholm-Brussels

ARN-CDG           Stockholm-Paris

ARN-DUB           Stockholm-Dublin

ARN-DUS           Stockholm-Düsseldorf

ARN-FAO            Stockholm-Faro

ARN-FCO            Stockholm-Rome

ARN-FRA            Stockholm-Frankfurt

ARN-GVA            Stockholm-Geneva

ARN-HAM          Stockholm-Hamburg

ARN-HEL            Stockholm-Helsinki

ARN-LHR            Stockholm-London

ARN-LPA            Stockholm-Las Palmas

ARN-MAN          Stockholm-Manchester

ARN-MIL             Stockholm-Milan

ARN-MUC          Stockholm-Munich

ARN-NCE            Stockholm-Nice

ARN-PMI            Stockholm-Palma de Mallorca

ARN-RIX             Stockholm-Riga

ARN-SKG            Stockholm-Thessaloniki

ARN-TLL             Stockholm-Tallinn

ARN-VNO           Stockholm-Vilnius

ARN-ZRH           Stockholm-Zürich

SAS aircraft photo gallery:

SAS reports its traffic was down 78.7% in October

Scandinavian Airlines-SAS has made this announcement:

The ongoing pandemic continues to severely impact SAS and reported traffic figures for October are broadly in line with September this year.

During October, SAS carried just over 0.6 million passengers, down 78.7% compared to last year. Similarly, SAS reduced its capacity by 73.3% year-over-year. Compared to the previous month, demand, capacity and load factor remained broadly unchanged.

“Reported traffic is close to what we experienced in September and demand continues to be stronger for domestic than for European and Intercontinental travel, which is also reflected in the network and schedule we offer. Regretfully, the accelerated number of COVID-19 cases in October have led to reinforced restrictions across Europe, which naturally impacts the willingness to travel negatively. Even though we expect the low demand environment to be maintained for the next few months, our view remains firm that the ramp-up phase for the airline industry will continue until 2022 with demand returning to levels before the pandemic a few years thereafter” says Rickard Gustafson, CEO SAS.

SAS scheduled traffic Oct20 Change1 Nov19-Oct20 Change1
ASK (Mill.) 1 224 -72.3% 22 357 -53.9%
RPK (Mill.) 457 -86.3% 13 259 -63.0%
Passenger load factor 37.3% -37.9 p u 59.3% -14.6 p u
No. of passengers (000) 593 -78.3% 12 315 -56.7%
Geographical development, schedule Oct20            vs.          Oct19 Nov19-Oct20     vs.    Nov18-Oct19
RPK ASK RPK ASK
Intercontinental -97.1% -81.4% -69.6% -59.8%
Europe/Intrascandinavia -88.2% -78.6% -64.8% -57.6%
Domestic -56.3% -38.7% -42.3% -31.4%
SAS charter traffic Oct20 Change1 Nov19-Oct20 Change1
ASK (Mill.) 29 -89.6% 1 008 -74.1%
RPK (Mill.) 24 -90.9% 867 -75.6%
Load factor 82.8% -11.2 p u 86.0% -5.0 p u
No. of passengers (000) 10 -89.4% 295 -77.5%
SAS total traffic (scheduled and charter) Oct20 Change1 Nov19-Oct20 Change1
ASK (Mill.) 1 253 -73.3% 23 365 -55.4%
RPK (Mill.) 481 -86.6% 14 127 -64.1%
Load factor 38.4% -37.9 p u 60.5% -14.7 p u
No. of passengers (000) 602 -78.7% 12 610 -57.6%

1 Change compared to same period last year. p u = percentage units

Preliminary yield and PASK Oct20 Nominal change FX adjusted change
Yield, SEK 1,18 14,5% 20,7%
PASK, SEK 0,44 -43,2% -40,1%
Oct20
Punctuality (arrival 15 min) 91.7%
Regularity 99.3%
Change in total CO2 emissions, rolling 12 months -57.2%
Change in CO2 emissions per available seat kilometer -5.3%
Carbon offsetting of passenger related emissions 42%

Definitions:

RPK – Revenue passenger kilometers
ASK – Available seat kilometers
Load factor – RPK/ASK
Yield – Passenger revenues/RPK (scheduled)
PASK – Passenger revenues/ASK (scheduled)
Change in CO2 emissions per available seat kilometers – SAS passenger related carbon emissions divided with total available seat kilometers (incl. non-revenue and EuroBonus), rolling 12 months
Carbon offsetting of passenger related emissions – Share of SAS passenger related carbon emissions compensated by SAS (EuroBonus members, youth tickets and SAS’ staff travel)

From fiscal year 2020 we report change in CO2 emissions in total and per Available Seat Kilometers (ASK) to align with our overall goal to reduce our total CO2 emissions by 25% by 2025, compared to 2005.

SAS aircraft photo gallery:

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SAS takes delivery of its first Airbus A321LR

SAS has taken delivery of its first of three Airbus A321LR on lease from Air Lease Corporation, becoming the newest operator of the most efficient long-haul single aisle aircraft. The A321LR is powered by CFM Leap-1A engines.

The delivery flight from Airbus Hamburg to its home base in Copenhagen uses a 10 percent sustainable jet fuel blend. The initiative is part of SAS’s commitment to reducing its carbon footprint and Airbus’ objective to contributing to the aviation sector’s ambitious decarbonisation targets. Airbus is the first aircraft manufacturer offering customers the option of receiving new jetliners with sustainable fuel. Such delivery flights have been available since 2016.

SAS’s A321 features a modern and highly comfortable three-class cabin layout with 157 seats (22 “SAS Business” class, 12 “SAS Plus” class and 123 “SAS Go” class seats). The airline plans to deploy the aircraft from the Nordic countries on transatlantic routes.

The A321LR, a member of the A320neo Family, delivers 30 percent fuel savings and nearly 50 percent reduction in noise footprint compared to previous generation competitor aircraft. With a range of up to 4,000nm (7,400km) the A321LR is the unrivalled long-range route opener, featuring true transatlantic capability and premium wide-body comfort in a single aisle aircraft cabin.

The airline operates an Airbus fleet of 76 aircraft comprising 63 A320 Family, 9 A330 Family aircraft, and four new generation aircraft A350 XWB.

At the end of September 2020, the A320neo Family had received 7,450 firm orders from over 110 customers worldwide.

SAS launches new shareholder program

Scandinavian Airlines-SAS has made this announcement:

SAS shareholders are an important part of the company’s future. SAS consequently launches a new shareholder program with exclusive travel benefits for shareholders that are EuroBonus members and own more than 4 000 shares.

All shareholders that are EuroBonus members and owners of more than 4 000 shares on November 30, 2020, are eligible to join the shareholder program. Members of the program will receive the campaigns provided to SAS employees 2-3 times a year, with heavily discounted prices on selected domestic and international air fares.

Shareholders with 100 000-1 million shares by November 30, 2020, also have a possibility to receive EuroBonus Gold status.

Shareholders with more than 1 million shares by November 30, 2020, have a possibility to receive EuroBonus Diamond status.

SAS shareholders play an important part in supporting SAS as a vital part of Scandinavian infrastructure and on our journey towards global leadership within sustainable aviation.

SAS reports a traffic reduction of 73% in September

Scandinavian Airlines-SAS made this announcement:

In September SAS carried 0.6 million passengers and reports a capacity reduction of 73% compared to the same period last year.

The COVID-19 pandemic continues to impact SAS’ traffic negatively. In September, the total number of passengers ended at 0.6 million, a decrease by 2.3 million, and total capacity was down by 72.7% compared to the same period last year. Demand for domestic travel continues be stronger than for European and Intercontinental traffic and SAS has adapted its network accordingly.

“Since March, when nearly all traffic was halted, we have slowly started to rebuild our network. Today SAS operates up to 380 daily flights servicing 75 destinations and I am pleased that we now have resumed our presence at mainland China after 9 months interruption. Overall demand is heavily dependent on imposed travel restrictions. In September more countries were unfortunately classified as “red”, reducing the number of passengers somewhat versus August. However, in the last six months we have seen a slow but steady recovery in demand, and in September SAS reports half a million additional passengers than in April. Looking ahead, we continue to monitor the market development and stand ready to make further adjustments in accordance with how demand evolves,” says Rickard Gustafson, CEO SAS.

SAS scheduled traffic Sep20 Change1 Nov19-Sep20 Change1
ASK (Mill.) 1 254 -71.3% 21 132 -52.0%
RPK (Mill.) 448 -86.7% 12 802 -60.6%
Passenger load factor 35.8% -41.5 p u 60.6% -13.2 p u
No. of passengers (000) 595 -78.6% 11 723 -54.4%
Geographical development, schedule Sep20            vs.          Sep19 Nov19-Sep20     vs.    Nov18-Sep19
RPK ASK RPK ASK
Intercontinental -97.3% -84.7% -66.8% -57.7%
Europe/Intrascandinavia -88.6% -74.9% -62.5% -55.5%
Domestic -56.9% -37.3% -40.9% -30.6%
SAS charter traffic Sep20 Change1 Nov19-Sep20 Change1
ASK (Mill.) 58 -86.6% 979 -72.9%
RPK (Mill.) 46 -88.6% 843 -74.3%
Load factor 79.2% -13.9 p u 86.1% -4.7 p u
No. of passengers (000) 20 -87.5% 285 -76.6%
SAS total traffic (scheduled and charter) Sep20 Change1 Nov19-Sep20 Change1
ASK (Mill.) 1 312 -72.7% 22 111 -53.6%
RPK (Mill.) 494 -86.9% 13 646 -61.9%
Load factor 37.7% -41.0 p u 61.7% -13.4 p u
No. of passengers (000) 614 -79.1% 12 008 -55.4%

1 Change compared to same period last year. p u = percentage units

Preliminary yield and PASK Sep20 Nominal change FX adjusted change
Yield, SEK 1.25 19.0% 26.1%
PASK, SEK 0.45 -44.9% -41.7%
Sep20
Punctuality (arrival 15 min) 96.2%
Regularity 99.4%
Change in total CO2 emissions, rolling 12 months -50.3%
Change in CO2 emissions per available seat kilometer -4.5%
Carbon offsetting of passenger related emissions 37%

Definitions:

RPK – Revenue passenger kilometers
ASK – Available seat kilometers
Load factor – RPK/ASK
Yield – Passenger revenues/RPK (scheduled)
PASK – Passenger revenues/ASK (scheduled)
Change in CO2 emissions per available seat kilometers – SAS passenger related carbon emissions divided with total available seat kilometers (incl. non-revenue and EuroBonus), rolling 12 months
Carbon offsetting of passenger related emissions – Share of SAS passenger related carbon emissions compensated by SAS (EuroBonus members, youth tickets and SAS’ staff travel)

From fiscal year 2020 we report change in CO2 emissions in total and per Available Seat Kilometers (ASK) to align with our overall goal to reduce our total CO2 emissions by 25% by 2025, compared to 2005.

SAS to restore the Copenhagen – Shanghai route

Scandinavian Airlines-SAS has made this announcement:

From September 29, 2020, it will once again be possible to fly direct from Scandinavia to China with SAS. There have been no direct flights since January 31, 2020, but SAS has now obtained approval from the Chinese authorities and is reopening the route from Copenhagen to Shanghai with a weekly frequency.

The reopening of the route is vital for trade. With the reopening of the route, SAS is aiming to meet demand for business travel and air freight services between Scandinavia and China.

At the end of October, SAS is also planning to resume flights to Beijing provided that SAS obtains the necessary approval from the authorities.

SAS will operate the Shanghai route using the new Airbus A350-900. This state-of-the-art aircraft will enable SAS to offer a unique travel experience. The aircraft has a much lower fuel consumption and up to 30 percent lower CO2 emissions than previous comparable aircraft.

SAS is currently flying to 75 destinations and operates up to 380 flights a day. SAS is monitoring market developments on a weekly basis and is ready to step up its services when travel restrictions are eased and demand for travel increases again.

As there is still uncertainty regarding restrictions and there are changes in travel advice, SAS offers travellers the option to change a planned journey/ticket for a SAS Travel Voucher, up to 16 days prior to departure, for all international travel, until January 15.

SAS aircraft photo gallery:

SAS’ total number of passengers was down 74% in August

Scandinavian Airlines-SAS issued this report:

Total number of passengers and capacity in August decreased by 74% and 73% respectively, versus the same period last year. However, August also recorded a small increase of 12 000 passengers compared to July this year.

SAS’ traffic continues to be negatively impacted by COVID-19. In August, total capacity was down by 73.4% compared to the same period last year and number of passengers decreased by 2.1 million. Demand has recovered somewhat better within Scandinavia than in other parts of our network and SAS has deployed its capacity accordingly.

“During fall we aim to increase the number of flights and re-open more routes, in line with the re-bounce in demand. Primarily we’ll resume domestic traffic in Denmark, Norway and Sweden, but also re-open 18 routes to key European destinations. Furthermore, we aim to resume flights to Asia and once again offer flights across all three continents where we normally operate,” says Rickard Gustafson, CEO SAS.