By Niklas Pollard
STOCKHOLM (Reuters) -A whole lot of SAS flights have been cancelled on Thursday because the airline wrestled with a strike by pilots at its principal SAS Scandinavia arm, overshadowing a visitors surge throughout June.
Talks between the airline and pilots over a brand new collective bargaining settlement collapsed on Monday, prompting a strike which provides to journey chaos in Europe and deepens the monetary disaster at SAS, which estimated it will floor half its flights.
The troubled airline, whose greatest homeowners are the Swedish and the Danish states, filed for Chapter 11 chapter safety in the US on Tuesday. The primary listening to was because of start at 1400 GMT in New York with SAS anticipating the method to take between 9 and 12 months.
Tuesday’s visitors figures highlighted what SAS was now lacking within the peak summer season interval, with the airline flying 1.9 passengers in June, a 220% improve on the 12 months.
Knowledge from flight tracker FlightAware confirmed 202 flights, 66% of the airline’s every day whole, have been cancelled on Thursday.
“The discover of strike from the SAS Scandinavia pilots’ unions began impacting our bookings towards the top of the month,” SAS CEO Anko van der Werff mentioned in a press release.
“We proceed our SAS FORWARD restructuring plan through which all stakeholders have to take part in an effort to safe SAS’ monetary stability.”
SAS, which has struggled for many years with a excessive price base relative to low-fare rivals in Europe, has mentioned the strike will price it $10 million to $13 million per day and had accelerated its choice to hunt chapter safety.
SAS has mentioned the transfer will assist it speed up restructuring plans, together with deep price cuts, introduced in February.
The placing pilots have mentioned they’d contemplate pay cuts, however can’t settle for SAS hiring new pilots by way of two new subsidiaries, beneath what unions say are worse phrases.