SAS Airlines finishes 2-year restructuring process, arises from bankruptcy in US
Date
8/28/2024 4:59:05 AM
(MENAFN) Sweden-based SAS airlines has successfully completed a two-year restructuring process and emerged from Chapter 11 bankruptcy in the U.S. on Wednesday. During the restructuring, SAS managed to overhaul more than USD2 billion of debt, optimize its aircraft fleet and associated costs, and secure agreements with crucial stakeholders, creditors, and vendors. This marks a significant milestone in the airline's recovery and strategic overhaul.
As part of the restructuring, SAS finalized a substantial USD1.2 billion investment led by a consortium including Castlelake and Air France-KLM Group, alongside contributions from the Danish government and Lind Invest. This injection of capital is set to underpin the airline's operations and future growth as it transitions into a new phase.
SAS Airlines, which filed for Chapter 11 bankruptcy in New York in July 2022, has reported serving 18 million passengers in the fiscal year spanning from November 2023 to July 2024. This figure represents a 6.5 percent increase in passenger numbers compared to the previous year, indicating a rebound in the airline's operational performance.
With the restructuring complete, the new ownership has appointed a fresh board of directors, chaired by Kare Schultz. This leadership change is expected to steer SAS into its next chapter, focusing on stabilizing and expanding its business in a competitive aviation market.
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