SAS seeks to return ten aircraft as part of its restructuring process

Multinational carrier Scandinavian Airlines System (SAS) wants to return ten aircraft owned by leasing companies, ch-aviation reported. The move is part of the company’s voluntary restructuring process under the protection of Chapter 11 of the United States Bankruptcy Act.

On 3 September, the airline’s legal representatives filed a motion to reject the leases and implement return procedures for five narrow-body and five wide-body aircraft. They also requested to return four CFM International CFM56 engines.

The resizing of the fleet is a key part of the restructuring programme, which the company called «SAS Forward». In this regard, management and partners stated that they do not need «excess leased equipment» to meet scheduled commercial operations. In addition, they assured that the units involved are «no longer part of the business plan».

The return request follows a comprehensive review to reduce the mix of aircraft in operation based on an analysis of market conditions, observed demand and other business factors. The company said it will continue to analyse its fleet and aircraft powerplants to determine the necessary reductions.

According to ch-aviation, Scandinavian Airlines’ fleet currently consists of four Airbus A319s (all owned), eleven A320s (two owned), fifty-two A320neo (eleven owned), seven A321s (four owned), three high density A321neo (all leased), eight A330-300s (four owned), six A350-900s (four owned), ten Boeing 737-700s (eight owned) and four 737-800s (all owned). In addition, three Embraer 195s are operated through its subsidiary SAS Link.

The ten aircraft that the airline requested to return

• Airbus A320neo, registered as EI-SIF (MSN 8109), leased from SMBC Aviation Capital.
• Airbus A320neo, registered as SE-ROD (MSN 7755), leased from SMBC.
• Airbus A320neo, registered as SE-ROC (MSN 7723), leased from SMBC.
• Airbus A321, registered as OY-KBL (MSN 1619), leased from IC AirLease One Limited.
• Airbus A330-300, registered as LN-RKU (MSN 1715), leased from Jin Shan 7 Ireland Company.
• Airbus A330-300, registered as LN-RKT (MSN 1697), leased from Jin Shan 7 Ireland Company.
• Airbus A330-300, registered as LN-RKS (MSN 1665), leased from Jin Shan Ireland Company Limited.
• Airbus A350-900, registered as SE-RSC (MSN 391), leased from FS World Leasing Co.
• Airbus A350-900, registered as SE-RSB (MSN 378), leased from FLIP No.247 Co. Ltd.
• Boeing 737-700, registered as SE-RET (MSN 32734), leased from ACS 18-Pack Irish DAC.

The ten airplanes are currently parked at Scandinavian Airlines’ bases in Copenhagen, Stockholm and Oslo. Previously, the airline had agreed to terminate the lease of the Airbus A321 registered as LN-RKK (MSN 1848), according to a notification dated 25 August.

See also: SAS closes 700 million dollars financing deal with private equity firm