SAS-SIA joint venture eyes growth, new route
Published: May 14, 2012
Scandinavian Airlines A321. By Rob Finlayson
Scandinavian Airlines (SAS) and Singapore Airlines (SIA) have finalized a joint venture (JV) agreement that is expected to stimulate growth in existing air services between the two regions. It could also potentially pave the way for a new route between Singapore (SIN) and Stockholm.
SIA operates three flights a week between SIN and Copenhagen under a codeshare arrangement with SAS.
The new JV agreement fosters the development of business opportunities between the two carriers, such as coordination of flight schedules and joint sales activities, subject to regulatory approval from authorities in Singapore and Europe.
The JV agreement follows the signing of a memorandum of understanding between the two carriers in January, covering routes between Scandinavia and SIN (ATW Daily News, Jan 18).
SIA CEO Goh Choon Phong called the agreement “a win-win for SIA and SAS. When market conditions allow for it we … look forward to expanding frequency between Singapore and Copenhagen, and adding new destinations in Scandinavia.”
SAS president and CEO Rickard Gustafson said: “Singapore Airlines will be a vital part of our Asian strategy and we look forward to jointly exploring further growth opportunities in this exciting and important market.”