Airline SAS critical of EU 'cautious' approach to consolidation

Sas AB

29/01/2024 17:18

DUBLIN, Jan 29 (Reuters) - The head of Scandinavian
airline SAS  SAS.ST  criticised the European Commission on
Monday for taking a "cautious" approach to consolidation in the
industry at a time when the EU is adding to the cost of flying.
    Anko van der Werff, whose long-struggling carrier is the
largest in Scandinavia, listed the European Union's flagship
scheme to help curb greenhouse gas emissions as among the
reasons why the EU "clearly wants flying to be more expensive".
    He said the opening by EU antitrust regulators last week of
in-depth investigations into Lufthansa's  LHAG.DE  bid for a
minority stake in ITA and IAG's  ICAG.L  bid to buy out Air
Europa demonstrated its cautious approach. 
    SAS is under bankruptcy protection and bringing in new
owners as part of a rescue plan. It said last week that it
expected to emerge from an amended Chapter 11 plan of
reorganization by the end of the first half of 2024.
    "I am concerned because if you make flying more expensive,
but you don't allow us to actually be a business, that is a
problem," Van der Werff told the Airline Economics conference in
Dublin.
    "I am afraid that the European Commission is not really able
to make his own mind. They want flights be more expensive, but
they seem to be cautious for consolidation, that's not a great
recipe."
    The Commission is being contacted for comment.

 (Reporting by Padraic Halpin
Editing by Mark Potter)
 ((padraic.halpin@thomsonreuters.com; +353 1 500 1504; Reuters
Messaging: padraic.halpin.thomsonreuters.com@reuters.net))