Scandinavia carrier SAS has launched a business restructuring plan to improve competitiveness and boost its balance sheet.
The SAS Forward plan, announced during the airline’s first quarter results this week, aims to transform the business across its network, fleet, labour agreements and other units.
It said that lockdowns, travel restrictions and other pandemic-related effects had a “fundamental impact” on the airline adding that without significant change, SAS’s cash resources would be depleted.
Key elements of the SAS Forward plan include reducing annual costs by more than $782 million, redesigning the fleet, network and product offering and refocusing on long-haul routes.
The airline hopes to be able to raise capital off the back of stripping out the costs.
Digital transformation is part of the plan to boost the customer experience and SAS is also positioning itself as a leader in sustainable aviation.
The Sweden-based airline, which plans to issue an update on its progress in April, announced a net loss of $255 million for the three months between November 2021 and January 2022.