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airBaltic a buyer for SAS. Baltic carriers flex their muscles

Analysis

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There would not be many buyers for SAS today and the Latvian government has its tongue in cheek when it suggests it may buy the airline that is currently its joint venture minority shareholder in airBaltic. SAS founded the carrier with the Latvian government in 1995 in a 47.2%-52.6% joint venture, when EU membership for Latvia was on the horizon (Transaero holds 0.2%). Since then airBaltic has functioned largely as an extension of SAS and enjoyed the glow of SAS' Star membership (although not a member itself).

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