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50SeatsofGrey
02-06-2017, 05:52 AM
Ive been saying it for a while: its not Norwegian we need to be worried about, its the precedent Norwegian is setting. Just like the US Maritime industry, we can and should expect more and more companies to adopt or be established under this model. The question is will the big 3 be able coexist with these flag of convenience operators, unlike the US cruise lines were? A lot of you say yes, but I think it is more likely history will repeat itself.

SAS complements its production with a new air operator certificate (AOC) and bases outside Scandinavia

February 1, 2017 08:30 / Capital market, SAS News / English

SASís strategy is to focus on those customers who travel frequently to, from and within Scandinavia. SAS continuously develops its offering and network to meet this customer groupís needs. The air travel market in Europe is experiencing intense price pressure and rising demand for leisure travel. To secure the companyís long-term competitiveness and to take an active role in the growing leisure market, SAS is now taking a further step to reduce the cost differential to newly established competitors.

If SAS is to secure the long-term profitability of key traffic flows and actively participate in the growing leisure market, SAS must have the same preconditions as other market participants. Therefore, SAS has decided to establish a new AOC in Ireland with operational bases in London and Spain. The aim is for the new operations to be up and running from winter 2017/2018, providing a smaller number of departures as a complement to SASís existing production.

ďIn line with SASís strategy of focusing on those customers who travel frequently to, from and within Scandinavia, the majority of SASís airline operations will continue to be based in Scandinavia moving forward. The establishment of new bases means we can complement our Scandinavian production and, in time, build an even broader network with a superior schedule to the benefit of our customers,Ē says Rickard Gustafson, SAS President and CEO.

The aircraft based in London and Spain will have the same customer offering and appearance as other airline operations at SAS and with corresponding requirements in terms of safety and standards.

At the start, smaller start-up costs for the new AOC and new bases are expected to impact earnings. Initially, the financial effects from operations at these bases will be small, but will gradually increase as operations grow.

In parallel with establishing the new AOC, SAS has planned further structural measures for its operations, in line with those announced in the 2015/2016 year-end report.


ridinhigh
02-06-2017, 04:50 PM
We knew it was a just a matter of when if NAI happened.
Not long is the answer.

Hopefully ALPA and others will win this fight!

The Dominican
02-06-2017, 07:55 PM
Subsidiaries with pilots hired through contract agencies has been going on for over 15 years.


NEDude
02-06-2017, 10:49 PM
Subsidiaries with pilots hired through contract agencies has been going on for over 15 years.

Yep, very common in Europe. It is just a bit new to the long haul side of things.

turkeyburger
02-07-2017, 04:06 AM
So common. They even do it down under with JetConnect flying for Qantas.

50SeatsofGrey
02-07-2017, 04:37 AM
The real issue is the flag of convenience scheme. The fact that they use contract labor is just a kick to the beanbag.

The Dominican
02-07-2017, 08:56 AM
The real issue is the flag of convenience scheme. The fact that they use contract labor is just a kick to the beanbag.

Yeah......, you mean like Endeavor? Gojets and the likes? :rolleyes:

How about Copa? You guys are complaining to the high heavens that this will destroy jobs in the US....., Well, How about UCAL forming a flag of convenience company in Panama and competing into the US market with pilots making 60% of what the NAI pilots are making?

Or DAL investing big into Aeromexico and GOL and competing with their mainline workers on the same markets paying a LOT less than what NAI is paying? A captain at Aeromexico makes about 7 or 8 grand a month....., they are flying 787's purchased with the investments of the mainline carriers flying into the US market.

You want to be the cat chasing the laser pointer handled by the same ****faces that sold everyone out with the regional feeds back in the day........., be my guest:)

CousinEddie
02-07-2017, 11:03 AM
Yeah......, you mean like Endeavor? Gojets and the likes? :rolleyes:

How about Copa? You guys are complaining to the high heavens that this will destroy jobs in the US....., Well, How about UCAL forming a flag of convenience company in Panama and competing into the US market with pilots making 60% of what the NAI pilots are making?

Or DAL investing big into Aeromexico and GOL and competing with their mainline workers on the same markets paying a LOT less than what NAI is paying? A captain at Aeromexico makes about 7 or 8 grand a month....., they are flying 787's purchased with the investments of the mainline carriers flying into the US market.

You want to be the cat chasing the laser pointer handled by the same ****faces that sold everyone out with the regional feeds back in the day........., be my guest:)

You can bet that Aeromexico captain is at least relieved by the fact that he lives on $8K per month in MEX, not JFK. Or in any major Scandinavian city for that matter.

https://www.quora.com/How-good-is-a-100K-MXN-per-month-salary-in-Mexico-City

The real Mike O
02-09-2017, 08:19 AM
Laser light illumination, 12 O'clock.

Shindo
02-11-2017, 09:18 PM
Hopefully ALPA and others will win this fight!

Hah, they are just now figuring out the rj debacle.