Scandinavian Airlines

Scandinavian Airlines
IATA ICAO Callsign
SK SAS SCANDINAVIAN
Founded 1 August 1946 (1 August 1946)
Hubs
Focus cities
Frequent-flyer program

EuroBonus

  • SAS Gold Lounge
  • SAS Business Lounge
  • SAS Café Lounge
  • SAS City Lounge
Alliance Star Alliance
Fleet size 160
Destinations 119 [1]
Company slogan We are travelers (English)
Parent company SAS Group
Headquarters Solna, Sweden
Key people
Website flysas.com

Scandinavian Airlines, usually shortened to SAS (originally an abbreviation of its former name Scandinavian Airlines System or legally Scandinavian Airlines System Denmark–Norway–Sweden) is the flag carrier of Sweden, Norway and Denmark,[2] and the second largest airline in Scandinavia in terms of passengers (after fellow rival Norwegian).[3]

Part of the SAS Group and headquartered at the SAS Frösundavik Office Building in Solna, Sweden, the airline operates 182 aircraft to 90 destinations. The airline's main hub is at Copenhagen-Kastrup Airport, with connections to over 50 cities in Europe. Stockholm-Arlanda Airport (with more than 30 European connections) and Oslo Airport, Gardermoen are the other major hubs.[4] Minor hubs also exist at Bergen Airport, Flesland, Göteborg Landvetter Airport, Stavanger Airport, Sola and Trondheim Airport, Værnes. SAS Cargo is an independent, wholly owned subsidiary of Scandinavian Airlines and its main office is at Copenhagen Airport.[5]

In 2012, SAS carried 25.9 million passengers, achieving revenues of SEK 36 billion.[6] This makes it the eighth-largest airline in Europe. The SAS fleet consists of Airbus A319, A320, A321, A330 and A340, and Boeing 737 Next Generation aircraft. In addition, SAS also wetleases ATR 72, Saab 2000 and Bombardier CRJ900 aircraft.[7]

The airline was founded in 1946 as a consortium to pool the transatlantic operations of Svensk Interkontinental Lufttrafik, Det Norske Luftfartselskap and Det Danske Luftfartselskab. The consortium was extended to cover European and domestic cooperation two years later. In 1951, all the airlines were merged to create SAS.

SAS is also one of the founding members of the world's largest alliance, Star Alliance.

History

Original emblem, displaying each Scandinavian flag as coats of arms, with surmounting crowns

Founding

A privately preserved Douglas DC-3 wearing SAS late 1940s-style markings

The airline was founded on 1 August 1946, when Svensk Interkontinental Lufttrafik AB (an airline owned by the Swedish Wallenberg family), Det Danske Luftfartselskab A/S and Det Norske Luftfartselskap AS (the flag carriers of Denmark and Norway) formed a partnership to handle the intercontinental air traffic of these three Scandinavian countries.[8] Operations started on 17 September 1946. In 1948 the Swedish flag carrier AB Aerotransport joined SAS and the companies coordinated European operations and finally merged to form the SAS Consortium in 1951. When established, the airline was divided between SAS Danmark (28.6%), SAS Norge (28.6%) and SAS Sverige (42.8%), all owned 50% by private investors and 50% by their governments.

Trans polar route

In 1954 SAS was the first airline to start scheduled flights on a polar route. The DC-6B flew from Copenhagen to Los Angeles, California, United States with stops in Søndre Strømfjord (now Kangerlussuaq), Greenland, and Winnipeg, Manitoba, Canada. By summer 1956 frequency had increased to three flights per week. It was popular with Hollywood celebrities and film industry people, and the route turned out to be a publicity coup for SAS. Thanks to a tariff structure that allowed free transit to other European destinations via Copenhagen, this trans-polar route gained increasing popularity with American tourists throughout the 1950s. In 1957 SAS started a second polar route when a DC-7C flew from Copenhagen to Tokyo, Japan, via the Anchorage International Airport. The flight via Alaska was a compromise solution since the Soviet Union would not allow SAS, among other air carriers, to fly across Siberia between Europe and Japan, and the Chinese airspace was also closed. SAS publicized this service as "round-the-world service over the North Pole".

Jet Era

SAS entered the jet age in 1959 when the Caravelle entered service. In 1971, SAS put its first Boeing 747 jumbo jet into service.[9]

The company logo in the 1980s was made up of stripes in the colours of the flags of Denmark, Norway, and Sweden
SAS operated flights to Greenland for more than 50 years until March 2003, the route re-opened spring 2007 until January 2009. The Boeing 767-383ER at Kangerlussuaq Airport (2001)

Acquisition of local airlines

SAS gradually acquired control of the domestic markets in all three countries by acquiring full or partial control of local airlines, including Braathens and Widerøe in Norway, Linjeflyg and Skyways Express in Sweden and Cimber Air in Denmark. In 1989, SAS acquired 18.4% of Texas Air Corporation, parent company of Continental Airlines, in a bid to form a global alliance. This stake was later sold. During the 1990s, SAS also bought a 20% stake in British Midland. SAS bought 95% of Spanair, the second largest airline in Spain, as well as Air Greenland. There are plans to dispose of all of these holdings[10] and an agreement to divest more than 80 percent of the holdings in Spanair was signed with a Catalan group of investors led by Consorci de Turisme de Barcelona and Catalana d'Inciatives in January 2009.[11]

Star Alliance founding member

In May 1997 SAS formed the global Star Alliance network with Air Canada, Lufthansa, Thai Airways International and United Airlines. Four years earlier SAS unsuccessfully tried to merge with KLM, Star Alliance partner Austrian Airlines, and the now defunct Swissair, in a project called Alcazar.[10] This failure led to the departure the following year of CEO Jan Carlzon, who was credited for the financial turnaround of the company starting in 1981 and who envisioned SAS ownership of multiple airlines worldwide. The ownership structure of SAS was changed in June 2001, with a holding company being created in which the holdings of the governments changed to: Sweden (21.4%), Norway (14.3%) and Denmark (14.3%) and the remaining 50% publicly held and traded on the stock market.

Recent history (2004–present)

In 2004 Scandinavian Airlines System (SAS) was divided into four companies; SAS Scandinavian Airlines Sverige AB, SAS Scandinavian Airlines Danmark A/S, SAS Braathens AS and SAS Scandinavian International AS. SAS Braathens was re-branded SAS Scandinavian Airlines Norge AS in 2007.[12] In October 2009 the four companies were once again united into one company, SAS Scandinavian System AB.

With the coming of low-cost airlines and decreasing fares in Scandinavia the business turned into the red. To be profitable again, the airline had to cut costs. In a first step the airline sold its stakes in other companies, such as bmi, Spanair and AirBaltic, and began to restructure its operations.[13][14][15] This was to save costs by about 23 percent between 2008 and 2011. The next big cost-cutting measure followed by the end of 2011. It should generate cost savings of another three to four percent until 2015. In June 2012 the airline announced that they will extend this measure.[16] In November 2012 the company came under heavy pressure from its owners and banks to implement even heavier cost-cutting measures as a condition for continued financial support. Negotiations with the respective trade unions took place for more than a week and exceeded the original deadline, but in the end SAS and the trade unions reached an agreement that would increase the worktime, cutting salary between 12-20%, pension and retirement plans, and thus keep the airline flying. SAS drew some criticism for how they handled the negotiations, in denying facilities to the union delegations.[17] As of November 2013, there was the expectation that the company would show 2013 as its first profitable year since 2007.[18]

In 2017, it was announced that SAS would form a new airline, operating out of Heathrow Airport and Malaga Airport, named ″Scandinavian Airlines Ireland,″ to fly European routes on its parent’s behalf using nine new A320Neo aircraft.

Corporate affairs

Radisson Blu Royal Hotel in central Copenhagen, originally SAS Royal Hotel, built by Arne Jacobsen 1960

During its first decades, Scandinavian Airlines, SAS, built two large hotels in central Copenhagen, SAS Royal Hotel (5 stars) and the even larger SAS Hotel Scandinavia (4 stars with a Casino on the 26th floor). After the deregulation of European commercial aviation, and the crisis afterwards which affected SAS, like many other national airline corporations, Scandinavian Airlines sold their hotels to Radisson.

Corporate offices

The current head office, the SAS Frösundavik Office Building as seen in 2007

Scandinavian Airlines's head office is located in the SAS Frösundavik Office Building in Frösundavik, Solna Municipality, Sweden, near Stockholm.[19] Between 2011 and 2013, the head office was located at Stockholm Arlanda Airport (ARN) in Sigtuna Municipality, Sweden.[20] The SAS Cargo Group A/S head office is in Kastrup, Tårnby Municipality, Denmark.[21]

The SAS Frösundavik Office Building,[22][23] was designed by Niels Torp Architects and built between 1985-1987. The move from Solna to Arlanda was completed in 2010.[24] A previous SAS head office was located on the grounds of Bromma Airport in Stockholm.[25] In 2013 SAS announced that it once again would relocate to Frösundavik.[26]

Partners

Besides the agreements SAS has with its Star Alliance partners, SAS has strategic agreements with Lufthansa, Swiss International Air Lines, Austrian Airlines, Air Canada and United Airlines. The agreement includes code sharing and schedule coordination to facilitate improved connections between SAS and its partner airlines. SAS also co-operates with the other airlines in the SAS Group.

SAS has begun code-sharing with Shanghai Airlines, complementing its code-share arrangement with Air China.

The key trends for Scandinavian Airlines Group (which includes SAS Cargo, SAS Ground Handling and SAS Tech), are shown below:

2008 2009 2010 2011 2012
Jan-Oct
2013 2014 2015 2016
Turnover (SEKm) 47,536 39,696 36,524 36,735 33,148 42,182 38,006 39,650 39,459
Profits (EBT) (SEKm) 188 1,522 33 543 228 1,648 918 1,417 1,431
Number of passengers (m) 30.9 27.0 27.1 29.0 25.9 30.4 29.4 28.1 29.4
Passenger load factor (%) 72.3 72.7 75.6 74.9 76.7 75.0 76.9 76.3 78.0
Total unit cost (CASK) (SEK) 0.94 1.01 0.95 0.86 0.81 0.80 0.75 0.79 0.70
Total unit revenue (RASK) (SEK) 0.91 0.92 0.86 0.82 0.82 0.78 0.70 0.80
Number of aircraft (at year end) 181 172 159 147 145 139 138 152 156
Number of employees (average for year) 16,286 14,438 13,723 13,479 13,591 14,127 12,329 11,288 10,710
Figures for SAS Group. Notes/sources: [27] [27] [28] [29] [30][31] [32] [33]

(In 2012 the company changed its financial year to 1 November–31 October, instead of the calendar year.[34] The figures above are therefore for years ending 31 December until 2011, for the 10 months to 31 October 2012, and for years ending 31 October thereafter.)

Destinations

SAS destinations in 2012

Codeshare agreements

Scandinavian Airlines codeshares with the following airlines:[35]

Interline agreements

Scandinavian Airlines has interlining agreements with the following airlines:

City statistics

These statistics about each of SAS hubs and busiest airports are current as of W17/18. (Ranked by weekly departures).

Rank Airport Weekly Departures Destinations Served
1 Stockholm (ARN) 978 92
2 Copenhagen (CPH) 938 73
3 Oslo (OSL) 903 84
4 Bergen (BGO) 222 49
5 Stavanger (SVG) 221 35
6 Trondheim (TRD) 214 44
7 London (LHR) 121 5
8 Gothenburg (GOT) 109 17
9 Bodø (BOO) 102 19
10 Tromsø (TOS) 99 31

Fleet

Current fleet

Scandinavian Airlines operates the following aircraft (as of August 2017):[37][38][39]

Scandinavian Airlines Fleet
Aircraft In Service Orders Options Passengers Notes
C Y M Total
Airbus A319-100 4 0 0 141 141 OY-KBO painted in retro livery.[40]
Airbus A320-200 12 0 0 168 168
Airbus A320neo 11 19 11 0 0 174 174 All aircraft have new interior.
Nine aircraft to be transferred to Scandinavian Airlines Ireland starting in late 2017[41]
Airbus A321-200 8 0 0 198 198
Airbus A330-300 8 32 56 174 262 All aircraft have new interior and Wi-Fi.[42]
178 266
Airbus A340-300 8 42 28 164 234 Seven aircraft have new interior and Wi-Fi.[42][43]
OY-KBM painted in Star Alliance livery.[44]
40 179 247
Airbus A350-900 8[45] 6 TBA Delivery starts from 2019.[46]
Boeing 737-600 17 0 0 120 120 To be retired and replaced by Airbus A320neo by 2019.[47]
Boeing 737-700 29 0 0 141 141 Older aircraft will be phased out and replaced by Airbus A320neo by 2019.
Boeing 737-800 29 0 0 181 181 LN-RRL and LN-RRW painted in Star Alliance livery.[48]
LN-RGI painted in SAS 70th years anniversary livery.[49]
Ten aircraft are equipped with Wi-Fi.[50]
Wetleased aircraft
ATR 72-600 10 0 0 70 70 Operated by Flybe and Jet Time.
Jet Time operated aircraft to be replaced 2 September 2017 by Regional Jet OÜ with 4 aircraft.[51]
Boeing 737-700BBJ 1 20 0 66 86 Operated by Privatair
To be phased out the 20 August 2017.
To be replaced by an A330 on CPH - BOS route.[52]
Bombardier CRJ900 23 8[53] 0 0 88 88 Operated by Cimber
Eleven older aircraft will be phased out between second half of 2017 and March 2018.[54]
90 90 Operated by CityJet
Total 160 37 17

Future fleet plans

On 20 June 2011, SAS announced an order for 30 new A320neo aircraft as part of its fleet harmonisation plan. SAS had earlier announced that the fleet will be harmonized. Its short-range aircraft consists of two types from 2016: Airbus A320 family at the bases in Copenhagen and Stockholm and Boeing 737NG at the bases in Oslo and in Stockholm .There were six leased A320s in the SAS fleet at the beginning of May 2013.


The current (August 2017) short haul fleet consists of 34 Airbus aircraft: 4 A319/12 A320/10 A320neo/8 A321 where six 320neos are based in Stockholm and four operate out of Copenhagen, SAS also operate 76 Boeing 737NG based in Stockholm and Oslo. Combined with wetleased ATR72 and CRJ900.

That situation will however change when the first A320neo on order are being delivered in September 2016. It will, with the first seven A320neos, be based in Stockholm were they will replace the oldest and smallest Boeing 737NGs. Aircraft deliveries after that will be based in either Stockholm or Copenhagen, however 9 A320neo will be moved to SAS Ireland at its bases in London LHR and Malaga AGP. The A320neos based at Copenhagen CPH will replace A320ceos that will be moved to Stockholm as SAS' goal is to have an all-Airbus fleet at their bases in Stockholm and Copenhagen by 2019 when all A320neos have been delivered. That will say a mixed A320neo and A320ceo fleet operation at both bases. The Boeing 737-600s as well as a few old 737-700 will be scrapped or sold. The remaining 737-700 as well as the 737-800 will be moved to the base in Oslo and all the remaining 737NGs and A320ceos will be upgraded with a cabin similar to A320neos to have the same standard.[47]

On 25 June 2013, SAS and Airbus signed a Memorandum of Understanding stating that SAS intends to buy twelve new-generation aircraft, including six options. The agreement consists of eight A350-900 with six options, and four A330-300E. The first new long haul aircraft to enter service will be the A330-300E, which were originally planned to replace the aging A340-300 in 2015 as leasing agreements on these aircraft expire. Instead SAS renewed the leasing agreements to be able to expand its long-haul fleet and used the new A330-300Es to add more long-haul destinations to its network. The A350-900 is planned to enter service beginning in 2018. SAS has dubbed this "A total renewal of long haul fleet", indicating that all former A340 and A330 will in fact be replaced, although the total renewal could also refer to the new interior in the long haul fleet.[55]

Removal of SAS Dash Q400 fleet

A Bombardier CRJ900 NextGen at Copenhagen (2011)

In September 2007, two separate incidents of similar landing gear failures occurred within four days of each other on SAS Dash 8-Q400 aircraft. A third incident occurred in October 2007. On 28 October 2007, in a move that was described as unique by the Swedish press, the board of directors announced that all 27 Dash 8 Q400 aircraft were to be removed from service due to three landing gear failures.[56]

A press release from SAS said that the company had reached a settlement with Bombardier and Goodrich, whereby the airline would receive SEK one billion as compensation, while SAS would purchase 27 new aircraft, with an option of 24 more. These aircraft will consist of 13 of the CRJ900 Nextgen (10 to SAS and 3 to Estonian Air) and 14 of the updated Q400 Nextgen units (8 to airBaltic and 6 to Widerøe), with 7 additional options.[57][58]

SAS received the first CRJ-900 on 3 December 2008, with others soon to follow. The CRJ900 fleet now consists of 12 aircraft.

SAS sold its original Bombardier Dash 8-Q400 fleet to Philippine Airlines for operation with subsidiary PAL Express, and also to Malev Hungarian Airlines.

In November 2007, it was revealed that Swedish Civil Aviation Authority began an investigation and accused Scandinavian Airlines System of cutting corners for maintenance. The airline reportedly made 2,300 flights in which safety equipment was not up to standard.[59]

Livery

OY-KBO, Christian Valdemar Viking at Geneva Airport

The current livery was introduced in 1998, and is designed by SthlmLab (Stockholm Design Lab). SAS aircraft look predominantly white, however, the fuselage is in a very light beige (Pantone Warm Gray 2/Pantone 9083C) with "Scandinavian" above the windows in silver lettering (Pantone 877) and "Airlines" below the windows in white. The typeface used is Rotis Semi Serif. The vertical stabiliser (and winglets) are painted blue (Pantone 2738C) with the classic white SAS logo on it. It is a variant of the traditional SAS logotype, slimmed slightly and stylised by the design company Stockholm Design Lab, as part of the SAS livery change. The engine casing is painted in scarlet (Pantone Warm Red/Pantone 179C) with the word Scandinavian in white, the thrust reversers in the colour of the fuselage. All other text is painted in Pantone Warm Gray 9. The design also features stylised versions of the Scandinavian flags. All aircraft are named, traditionally after Vikings.

Apart from the standard livery, SAS also has an Airbus A319 in retro livery and two Boeing 737 and one Airbus A340 in Star Alliance-livery.

Cabin

Business class

On long-haul flights business class, called SAS Business, is still offered and features wide sleeper seats. On the Airbus A330s and upgraded A340s seating is 1-2-1 on seats that convert into 196–202 cm flat beds, with power sockets and a 15-inch screen. A340 which have not yet been upgraded, seating is 2-2-2 that converts into angled beds. On the Boeing 737 used on the Copenhagen-Boston route, seating is 2-2 with the old business class seats.

SAS Plus

Plus is SAS premium economy class. On intercontinental flights, seating is 2-3-2 on wide bodies. The seats offered on SAS Plus are wider than those in the SAS Go section.

On European flights, SAS Plus tickets are refundable, and include a meal, a double checked-in baggage allowance, and access to lounges and fast track security at the airport. The SAS Plus passengers are seated at the front of the aircraft and passengers can choose their seat at booking for free, but the seats there are otherwise the same as the SAS Go seats. The two-class system was introduced in June 2013, when business class was eliminated from intra-European flights.[60]

SAS Go

SAS Go, or economy offers 3-3 seating on intraeuropean flights, and 2-4-2 on the A330s and A340s.

SAS offers free coffee & tea to GO passengers on short-haul services, except very short flights like Bergen-Stavanger and Stockholm-Visby. Meals are served to all passengers on long-haul flights.

SAS Go Light

Available on all European routes (excluding intra-Scandinavia) from 27 April 2016, SAS Go Light is aimed at competing with low-cost carriers for those who travel with hand luggage only.

Services

Lounges

The following locations are SAS Scandinavian, Stockholm, and Business Lounge locations:

Fingerprint biometric identification

In 2006, SAS Sweden launched a new biometric system for use throughout Sweden. Each passenger's fingerprints are, for security purposes, matched to their respective checked baggage. The new technology will be phased in at all the airports served by SAS, although use of the system is voluntary for passengers. The system has been introduced in Norway.

EuroBonus

SAS's frequent-flyer program is called EuroBonus. Members earn points on all SAS and Widerøe flights as well as on Star Alliance flights. The EuroBonus program has more than four million members.[61]

Fly Home Club

Fly Home Club was SAS's membership club for Scandinavians living in Spain. It has closed ever since economic conditions have worsened in Spain and as Scandinavians living in Spain have decided to return home or change locations.

Hovercrafts

Between 1984 and 1994 SAS operated a Hovercraft service between Malmö and Copenhagen Airport. Travellers could check in for their flights in Malmö and the Hovercrafts were operated as connecting flights. In 1994 the hovercrafts were replaced by catamarans that operated until 2000 when the Öresund bridge was opened and offered a rail link between Malmö and Copenhagen airport.[62]

Wi-Fi

SAS offer WiFi onboard 10 of their 737-800 aircraft and several of their long haul aircraft.[50] WiFi is free for Eurobonus Gold and Diamond members as well as for those travelling in SAS Plus or Business. Otherwise, Wifi can be purchased for €6/$7/1000 EuroBonus points for flights in Scandinavia/Europe and for €15/$19/3000 EuroBonus points on all other flights.

Awards

Incidents and accidents

Traffic statistics

Revenue Passenger-Kilometers, scheduled flights only, in millions
Year Traffic
1950 509
1955 1086
1960 2199
1965 3189
1969 4797
1971 5682
1975 7955
1980 10996
1985 12063
1995 18506
Source: ICAO Digest of Statistics for 1950-55, IATA World Air Transport Statistics 1960-1995

See also

References

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