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Published on : Friday, October 7, 2016
The demand for long haul traffic, European leisure routes and domestic routes continues to grow. At the same time, the overall Scandinavian market capacity has increased resulting in intensive competition. This combined with lower jet fuel prices have put pressure on the yield that has declined more than anticipated in 2016.
SAS is increasing its intercontinental capacity by about 25% during fiscal year 2015/2016 through new routes and frequencies. Overall, this has resulted in a longer average stage length and will contribute to an expected scheduled capacity growth of 10% during 2015/2016.
In 2016/2017, SAS plans to increase its capacity (ASK), primarily as a result of the full-year effect of the investment in the intercontinental routes that was started in 2015/2016, increased capacity on leisure routes and the fact that the Airbus A320neo is larger than the aircraft it will be replacing. The total increase will be lower than in 2015/2016.
SAS scheduled traffic development in September SAS increased its scheduled capacity in September by 7% and the traffic grew 7.6%. The overall load factor was 77.6%, the highest September load factor recorded for SAS. The improvement was driven by positive development on SAS’s intercontinental routes and in particular the domestic routes in Norway and Sweden.
SAS intercontinental traffic increased 22.4% and the capacity was up 21.8%. The growth was driven by the new routes to Los Angeles and Boston and also toward the end of the month Miami.
The traffic on the Europe/Intrascandinavian routes decreased by 2%, primarily due to reduced capacity to/from Norway. On domestic routes, the capacity was decreased by 0.9% but the traffic was up by 5.7% following positive developments in all three Scandinavian domestic markets.
Source:- SAS Airlines
Tags: SAS Airlines