Further cuts at SAS
 

From the BBC website

SAS to cut more than 1,000 jobs

Scandinavian airline SAS has said it will cut another 1,000 to 1,500 jobs as part of a fresh cost-cutting programme.

The cuts aim to save 2bn Swedish kronor ($276m; £166m), with SAS also seeking a 10-20% cut in pay and pensions for cabin crew and pilots.

SAS had already announced a major cost-cutting programme in February, when it said it would be shedding 3,000 jobs.

The airline also announced it had made a net loss of 1.05bn kronor in the second quarter of 2009.

Fighting for survival

"Additional measures are required to manage the unique, fierce competition in today's highly challenging market," said SAS president and chief executive Mats Jansson.

"Accordingly, it is essential that we now completely close SAS's cost gap with our competitors. This is a matter of competing on equal conditions and, ultimately, about the survival of SAS."

SAS said its second-quarter results had been hit by falling demand, with sales for the period down to 12.2bn kronor from 14.4bn in the same period last year.

"The effects of the global recession are being felt extensively throughout the aviation industry," SAS said.

The latest round of job cuts at SAS will trim the size of company's workforce by between 5% and 8%.

In February this year, SAS - 50% of which is jointly owned by the governments of Sweden, Denmark and Norway - announced a major restructuring package, called Core SAS.

The programme involved shedding about 40% of the airline's 23,000 workforce, selling off stakes held in other carriers and raising 6bn kronor though a share sale.

SAS said it was ahead of schedule in implementing the measures under Core SAS.