General Industry

SAS Tweaks Leases For 36 Aircraft To Cut Costs

By Dave Simpson
SAS Tweaks Leases For 36 Aircraft To Cut Costs

Crisis-hit airline SAS has said it had reached agreements with 10 of its lessors representing 36 aircraft to amend the terms of existing lease contracts.


The Scandinavian carrier said in a statement the tweaked agreements constituted an important step in reconfiguring its fleet and achieving a plan to save 7.5 billion Swedish crowns ($690 million) annually by 2026.

"Through the amended lease agreements, SAS is well on track in achieving the targeted annual cost savings of at least 850 million Swedish crowns to 1.0 billion in reduced aircraft lease and capital costs," it said.

Long-struggling SAS, ravaged by the pandemic and pressured by low-cost rivals, sought bankruptcy protection in the United States in July. It has said reducing costs for unused leased planes has been a key component of its savings plan.

Continuing Negotiations

It said it intended to continue negotiations with some of its other lessors.

News by Reuters, edited by Hospitality Ireland. Click subscribe to sign up for the Hospitality Ireland print edition.