October 4, 2023

SAS applies to bankruptcy protection in the United States

SAS applies to bankruptcy protection in the United States

STOCKHOLM – Troubled Scandinavian airline SAS has filed for bankruptcy protection in the United States. The company said Tuesday that the application is part of a business restructuring plan and is voluntary under Chapter 11 of the US Bankruptcy Code.

It is a financial restructuring procedure under judicial supervision. SAS shares came under pressure Tuesday morning.

The company said operations and flight schedules would not be affected. However, after collective bargaining failed, the pilots of the SAS went on strike, which meant that half of the flights were cancelled. According to SAS, 30,000 passengers are affected every day.

CEO Anko van der said: “In the past few months, we have been working hard to improve our cost structure and strengthen our financial position. We are making progress, but there is still a lot to do and the ongoing strike has exacerbated an already difficult situation.” Werff according to the advertisement. He called for an end to the strike.

SAS announced an austerity program earlier this year. According to the company, it assumes that it will be able to meet its obligations from the ongoing business in the near future. The company’s cash flow as of June 30 was 7.8 billion Swedish kronor (724 million euros). I also had discussions with several potential lenders.

© dpa-AFX | Fig: Airbus | 07/05/2022 09:48

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