A restructuring of SAS is a good solution for the company, believes Jacob Pedersen, head of research at Danish Sydbank.
But it is also a sign of how deep the airline’s crisis is.
– This makes it clear to everyone involved what pressure SAS is under and what vulnerable condition the company is in, he says.
When the pilot strike broke out on Monday Jacob Pedersen stated that SAS is a company that “flies straight to bankruptcy” due to its large debts and excessive costs.
Now the company gets some respite and a chance to continue working with the rescue plan SAS Forward.
– This is a good plan for SAS, as the company can continue to run its daily operations regardless of this process, says Jacob Pedersen.
– It is a way to repair the engine while the bus is still running. This is of course positive for SAS and creates little room for the company to force certain necessary changes without having to worry about bankruptcy.
But is it a realistic way?
– I do not know. We shall see. But it is a structured process that has been successful for other companies in the past. Although there are no guarantees, says Jacob Pedersen.
– We do not know where it will end, but at present SAS will not go bankrupt in any case. It is now up to the lawyers, both at SAS and the other parties involved, to find solutions to the financial difficulties.