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Scandinavian Airlines CEO rules out starting new low-cost carrier

Published lördag 20 december 2014 kl 11.23
File photo: Johan Nilsson / TT
File photo: Johan Nilsson / TT

Scandinavian Airlines CEO Rickard Gustafson says his airline is not planning to start its own low-cost carrier, unlike rivals Lufthansa and Air France-KLM.

Speaking to Swedish Radio News, Gustafson says he does not think that it is the way forward for SAS. "You have to have the passenger base", he says.

Gustafson wrote of the changing face of the airline industry in Scandinavian Airlines's latest annual report, with competitors starting budget airlines and using staffing companies, all to cut costs. That means SAS will also have to increase its flexibility to be able to challenge its competitors, and while he Gustafson rules out starting a new airline, he does not rule out using staffing companies more.

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