August 8, 2022

ModularPhonesForum

Complete News World

- I've never seen anything like it before

– I’ve never seen anything like it before

– It must be difficult for SAS, says aircraft analyst Hans Jørgen Elnæs at Winair, explaining:

They must fulfill the negotiations with the pilots, but also with creditors and investors, and in the “Chapter 11” process that the company will go through.

The airline has been granted bankruptcy protection, which is called “Chapter 11” – a legal process of financial restructuring under the oversight of a US federal court.

This gives the SAS some relief from the existing creditors. But:

Then they must have a plan whereby the company will raise new capital, and the creditors will see that there is light at the end of the tunnel here, so that they agree to convert the debt into equity.

The Norwegian state is among the creditors who are open to converting all or part of the outstanding debt into new shares – if certain conditions are met.

He’s never seen anything like it

At the same time, the trial strike begins on the twelfth day. The Scandinavian Airlines is hit hard.

Elnæs says he has never seen a similar labor struggle in Scandinavia.

If we stay at home in Scandinavia, I think this is the most extensive and most dramatic labor conflict we have ever seen in modern aviation.

There have been big campaigns in Europe and North America before, but we’ve never seen anything like this here at home in Scandinavia.

Then he loses a lot of money.

Recently, aviation analyst Espen Andersen described the strike as a disaster for SAS.

– Then they lose a lot of money in hell, and that is when they have to make a lot of money. It’s as bad timing as it could have been.

See also  GameStop rises significantly on quiet Wall Street - E24

According to him, the SAS could go bankrupt, even if it managed to resolve the conflict with the pilots.

In just under two weeks, the company lost nearly SEK 1.3 billion, the company said, noting that it only had about SEK 8 billion on records.

More than 2,550 flights canceled. It has affected more than 270,000 passengers.