SAS’ shares gained 1.2%, as the carrier confidently announced “it is time to expand again”, following deep capacity cuts in 2009. The carrier plans to launch four new routes during 2010 (to Lyon, Vilnius, Bardufoss and Bisbee) and increase frequency on three routes (Brussels, Stockholm and Oslo).
SAS cut its capacity by around 15% in 2009.
Full service airline capacity reductions in 2009*
Confidence in Aeroflot’s cost cuts carries through
Shares in Aeroflot surged 8.7% yesterday, as investors welcomed deeper than expected cost cuts. The carrier’s financial report for the nine months ended 30-Sep-2009, released on Tuesday, revealed it cut costs by 33.5%. Aeroflot's cost reduction instilled confidence, as the airline managed to contain a drop in operating profit to just 8.8%, when consolidated income fell 31.2% year-on-year, in the period.
Elsewhere, shares in Austrian Airlines jumped (+2.8%), Air France-KLM gained (+2.2%), Aer Lingus up (+1.3%), Lufthansa higher (+0.7%), Iberia flat, while British Airways dipped (-0.5%), Turkish Airlines closed lower (-0.9%) and Eurofly declined (-1.3%).
Europe selected airlines daily share price movements (% change): 23-Dec-09