Scandinavian Airlines (SAS) Airbus A320 aircraft were stopped at Copenhagen Airport in Kaastrup, Denmark, March 15, 2020.
Johan Nilsson | AFP | Vadivelu Comedy Getty Images
The SAS has filed a bankruptcy in the United States, which a Scandinavian airline said on Tuesday, warning of strikes by pilots was detrimental to its financial situation and financial crisis.
Wage negotiations between SAS and its pilots plummeted on Monday, leading to further unrest in Europe as the summer holiday season begins.
The company said in a statement Tuesday it will continue to serve its customers throughout the breakdown, although a driver’s refusal is jeopardizing its flight plan.
It stated that the purpose of the complaint was to expedite the process, which was announced in February.
“In order to continue to carry out the core activities of this program, SAS and its subsidiaries are committed to Chapter 11 in the US, the legal framework for financial reform is carried out under the jurisdiction of the US court,” he said.
SAS wants to attract new investors and has stated that in order to do so it must reduce prices throughout the company, including personnel and paid airlines that stop operating due to Russian air closures and slow recovery in Asia.
The airline said on Tuesday its assessment was that it has sufficient funds to fulfill its business obligations in the near future.
He added that the strike “is detrimental to the company’s financial position and financial position and, if it continues to be so, such an impact could do things”.
Nordnet analyst Per Hansen said the request indicated that SAS needed a fresh start and thought the strike would continue.
“Chapter 11 protection comes quickly,” he said. “Management and the board want to make it clear to everyone involved that things are getting worse.”
During the epidemic, several airlines such as LATAM and the Philippine Airlines also reported protection for Chapter 11 in the United States. Philippine Airlines is out, while LATAM expects to leave in the second half of this year.
