[ad_1]
Final fall, it was introduced that Air France-KLM, at the side of different entities, have been chosen because the successful bidders in Scandinavian Airways’s (SAS) restructuring course of.
On the time, the Stockholm-based airline had been below chapter safety for greater than a yr, and was trying to carve itself a brand new path by way of the SAS Ahead plan.
We now know extra about SAS’s plans, together with when it is going to formally exit the Star Alliance and start integrating with SkyTeam.
Scandinavian Airways to Go away Star Alliance for SkyTeam
On October 3, 2023, it was introduced that Air France-KLM, at the side of non-public funding agency Castlelake, the Danish authorities, and Lind Make investments, have been chosen because the successful bidders in Scandinavian Airways’s restructuring.
As a part of the deal, Air France-KLM will purchase a 19.99% stake in SAS, Castlelake will purchase a 32% stake, the Danish authorities will purchase a 25.8% stake, and Lind Make investments will purchase an 8.6% stake.
We now know that SAS will go away Star Alliance as of August 31, 2024, at which level it is going to start to combine with SkyTeam, the alliance to which Air France-KLM belongs.
Initially, EuroBonus members will start to take pleasure in comparable loyalty advantages with SkyTeam airways as of September 1, 2024. It’s not clear if SAS will formally be a part of SkyTeam at that time, or if it is going to occur additional down the road.
SAS was a founding member of Star Alliance, and its departure will cut back the variety of airways in Star Alliance to 25, and lift the quantity in SkyTeam to twenty.
For its half, Star Alliance has indicated that its different members will proceed to serve Scandinavia as soon as SAS makes its formal departure, as indicated in a press launch:
Going ahead, 17 Star Alliance member airways will proceed to supply direct flights to and from Scandinavia, together with Aegean Airways, Air Canada, Air China, Air India, Austrian, Brussels Airways, Croatia Airways, EgyptAir, Ethiopian Airways, LOT Polish Airways, Lufthansa, Singapore Airways, Swiss, TAP Air Portugal, Thai, Turkish Airways, and United. These Star Alliance member airways will function greater than 3,700 flights per 30 days to Scandinavia from 23 hubs worldwide, providing prospects connections to greater than 1,100 worldwide locations — probably the most by any airline alliance. Sooner or later, Star Alliance member airways could convey extra service to Scandinavia.
What Does the Future Maintain for SAS and Air France-KLM?
Till August 31, 2024, it’s enterprise as ordinary for SAS, which plans to proceed its operations with out interruption till the deal is finalized. If all works out, SAS expects the deal to be carried out within the second quarter of 2024.
Air France and KLM have sturdy networks working from their hubs in Amsterdam and Paris, and the addition of SAS would add Nordic hubs to its community.
Because it stands, SAS operates long-haul flights out of Copenhagen, Oslo, and Stockholm; nevertheless, it’s value noting that its community isn’t fairly as huge as these of Air France and KLM.
Other than loads of short- and medium-haul locations in Europe and its environs, SAS at the moment solely flies to 3 locations in Asia, in addition to 9 locations in Canada and the US.
With entry to Air France and KLM’s a lot wider route maps, passengers originating in Scandinavia would take pleasure in easy accessibility to a broader community, together with to locations within the Center East, Asia, and South America, in addition to extra locations in North America.
It’s value noting that SAS isn’t the one European airline whose future is in flux at the moment.
Not too long ago, Star Alliance member Lufthansa acquired a 41% stake in SkyTeam-member ITA Airways, with choices to accumulate the remaining from the Italian authorities sooner or later.
Moreover, one other Star Alliance member, TAP Air Portugal, has been put up on the market by the Portuguese authorities.
It’s reported that Air France-KLM is among the events, alongside Worldwide Airline Group, which governs Oneworld carriers British Airways, Iberia, Aer Lingus, and Vueling, in addition to Star Alliance member Lufthansa.
Relying on the outcomes of the aforementioned gross sales, the European aviation panorama may look remarkably completely different within the subsequent few years, which may additionally embrace a shakeup to the membership of main airline alliances.
Conclusion
On October 3, 2023, SAS introduced the successful group of bidders for its restructuring. Air France-KLM, Castlelake, the Danish authorities, and Lind Make investments have been chosen because the events that may convey SAS out of chapter safety.
We now know that SAS will go away the Star Alliance on August 31, 2024, to hitch Air France-KLM within the SkyTeam alliance sooner or later sooner or later.
Assuming no additional hindrances, the deal is predicted to be finalized within the second quarter of 2024.
[ad_2]
