SAS investors jam the exits - European airline share wrap
Shares in Scandinavian aviation group SAS collapsed 25% yesterday as investors responded to the group's plan to streamline operations by merging SAS Copenhagen, SAS Stockholm, SAS Norway and SAS Worldwide into one over the next few months.
The move will result in the loss of 9,000 jobs and slimmed down executive ranks. Of the total, 3,000 job losses are related to a reduced flying programme, to reflect sharply lower demand.
The airline's share price has crumbled this year and government interests, which control 50% of the carrier, will be putting more capital into the business soon.
SAS Group share price: 02-Jan-09 to 23-Mar-09
Elsewhere, Lufthansa had a strong day, with its shares putting on 5.8%, while Iberia rose 5.5%.
European selected airlines daily share price movements (% change): 23-Mar-09