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SAS files for bankruptcy protection as pilot strike grounds flights

Scandinavian Airlines filed for bankruptcy when it warned that a pilots’ strike would paralyze its long-term financial troubles.

SAS on Tuesday filed for bankruptcy protection in the United States, a process that would allow it to continue flying while rebuilding its funds.

Anco van der Wharf, the airline’s CEO, said a pilots’ strike that began this week accelerated the decision to go into bankruptcy proceedings after leading to a wave of flight cancellations.

“The strike has a negative impact on the company’s liquidity and financial condition, and if prolonged, such an impact could become material,” a SAS statement said.

Van der Werf, the day before, had warned the pilots that the strike was “reckless” and would put “the future of society, along with the jobs of thousands of colleagues, at stake.”

SAS is one of a handful of airlines that have gone bankrupt following the disruption caused by the epidemic.

Norwegian Air Shuttle filed a request for protection against creditors under the Irish equivalent of Chapter 11 as part of a large-scale reduction that caused it to abandon its long-term business at the end of 2020.

The largest airline in Latin America, LatAm, has filed for bankruptcy protection in New York, as the world has largely stopped flying in the spring of 2020.

SAS files for bankruptcy protection as pilot strike grounds flights Source link SAS files for bankruptcy protection as pilot strike grounds flights

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