The SAS group plans a comprehensive restructuring, planning to increase the number of companies under their umbrella from five to 11, industry web site Boarding reports. The strategy is a central part of “Turnaround 2005”, which aims to reduce SAS’ costs by NOK 14 (USD 2.05) billion.
SAS (Scandinavian Airline Systems) is currently composed of Scandinavian Airlines, Braathens, Wideroe, Blue1 and Spanair. Soon the group intends to split Scandinavian Airlines into several subsidiary companies, the Newspapers’ News Bureau (ANB) reports.
“We take today’s five airlines under the SAS umbrella and add Air Baltic and Estonian Air. That makes seven. Then Scandinavian Airline is pulled out and replaced with airlines in each of the three owner nations, plus the intercontinental division. That makes four companies. Finally (budget airline) Snowflake comes in and that brings us up to 11 airlines,” said SAS information director Hans Ollongren.
Ollongren characterized the changes as “undramatic” and said they were designed to create a clearer overview of the separate companies.