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SAS CEO: Airline's restructuring starting to create tangible effects on income

13-Jun-2013 12:17 PM

SAS Scandinavian Airlines CEO Rickard Gustafson announced (12-Jun-2013) the airline is continuing to deliver on its 4XNG restructuring plan and its extensive restructuring effort is now starting to create tangible effects on the airline's income. Mr Gustafson also said the airline's rationalisations in administration are continuing with the number of full time positions reduced by around 300 in 1Q2013 with a total reduction aim of around 1000 for the full year. The airline's total payroll expenses were also reduced by around 10% during the quarter, and were adjusted for the positive effects of early retirement pensions and restructuring costs. Meanwhile the airline also signed a new agreement for IT services which will see a decrease of around 15% in IT costs. During 1Q2013 the airline started operating 18 new routes and plans to launch another 32 routes in summer 2013. On the condition no unexpected external events occur, SAS Group expects to achieve a positive EBIT margin exceeding 3% and a positive EBT is possible for the Group to achieve for FY2013. [more - original PR]