SAS Receives Court Approval for Collective Bargaining Agreements with SAS Scandinavia Pilots' Unions

08 Dec 2022 17:56 CET

SAS AB ("SAS" or the "Company") announces that the U.S. Bankruptcy Court for the
Southern District of New York (the "Court") has approved SAS' previously
announced new collective bargaining agreements as well as a settlement agreement
with SAS Scandinavia pilots' unions*.

On July 19, 2022, SAS announced that it had reached new 5.5-year collective
bargaining agreements with SAS Scandinavia pilots' unions, subject to Court
approval. The terms of the collective bargaining agreements, as well as the
settlement agreement (under which the Company agreed to a general unsecured pre
-petition claim of the unions in SAS' chapter 11 process), were approved by the
Court today.

Anko van der Werff, President and Chief Executive Officer of SAS, comments:

"We continue making progress with SAS FORWARD and in our chapter 11 process.
Today, the 5,5 year collective bargaining agreements with SAS Scandinavia
pilots' unions, which were negotiated this summer, were approved by the U.S.
Court. Today's approval reflects the support and contribution from the pilots
towards our SAS FORWARD transformation plan, necessary to building a strong and
competitive SAS for generations to come."

* SPF (Svensk Pilotförening), NSF/NF (Norsk Flygerforbund), SNF (SAS Norge
Pilotforening) and DPF (Dansk Pilotforening)

Additional Information About the Chapter 11 Process and implementation of SAS
FORWARD

On July 5, 2022, to accelerate the implementation of its comprehensive business
transformation plan SAS FORWARD, SAS announced that it had voluntarily filed for
chapter 11 in the U.S., a well-established and flexible legal framework for
restructuring businesses with operations in multiple jurisdictions. Through this
process, SAS aims to reach agreements with key stakeholders, restructure the
Company's debt obligations, reconfigure its aircraft fleet, and emerge with a
significant capital injection. The SAS FORWARD plan encompasses raising at least
SEK 9.5 billion in new equity capital as well as reducing or converting SEK 20
billion of debt into common equity (of which a majority is on-balance sheet
debt), including state hybrid notes, commercial hybrid notes, Swiss bonds, term
loans from states, aircraft lease liabilities and maintenance contract
obligations and other executory contract obligations. SAS targets to complete
its court-supervised process in the U.S. during the second half of 2023, the
implementation of which is likely to entail additional legal proceedings in
other jurisdictions than the U.S. As a result, there is no assurance that there
will be any recovery for the shareholders of SAS AB.

Additional information about the Company's voluntary chapter 11 process is
available on the Company's dedicated restructuring
website,https://sasgroup.net/transformation. Court filings and other documents
related to the chapter 11 process in the U.S. are available on a separate
website administered by SAS' claims agent, Kroll Restructuring Administration
LLC, athttps://cases.ra.kroll.com/SAS. Information is also available by calling
(844) 242-7491 (U.S./Canada) or +1 (347) 338-6450 (International), as well as by
email at SASInfo@ra.kroll.com.

Advisors

Weil, Gotshal & Manges LLP is serving as global legal counsel and Mannheimer
Swartling Advokatbyrå AB is serving as Swedish legal counsel to SAS. Seabury
Securities LLC and Skandinaviska Enskilda Banken AB are serving as investment
bankers, Seabury is also serving as restructuring advisor, and FTI Consulting is
serving as financial advisor to SAS.

For further information, please contact:

SAS Press office, +46 8 797 29 44

Louise Bergström, VP Investor Relations, +46 70 997 0493

SAS, Scandinavia's leading airline, with main hubs in Copenhagen, Oslo and
Stockholm, is flying to destinations in Europe, USA and Asia. Spurred by a
Scandinavian heritage and sustainable values, SAS aims to be the global leader
in sustainable aviation. We will reduce total carbon emissions by 25 percent by
2025, by using more sustainable aviation fuel and our modern fleet with fuel
-efficient aircraft. In addition to flight operations, SAS offers ground
handling services, technical maintenance and air cargo services. SAS is a
founder member of the Star AllianceT, and together with its partner airlines
offers a wide network worldwide. Learn more athttps://www.sasgroup.net.

ADDITIONAL INFORMATION

The press release does not constitute an offer to sell or issue, or the
solicitation of an offer to buy or acquire, or subscribe for, shares or any
other financial instruments in SAS.

This press release contains forward-looking statements that reflect SAS' current
view of future events as well as financial and operational development. These
statements may include, without limitation, any statements preceded by, followed
by or including words such as "intend", "assess", "expect", "may", "plan",
"estimate" and other expressions involving indications or predictions regarding
future development or trends and other words and terms of similar meaning or the
negative thereof. These forward-looking statements have been prepared for
illustrative purposes only, are not based on historical facts, are not
guarantees of future performance, reflect SAS' beliefs and expectations, and are
subject to known and unknown risks, uncertainties and assumptions and other
factors that could cause actual events and performance to differ materially from
any expected future events or performance expressed or implied by such forward
-looking statements. As a result of these risks, uncertainties, assumptions and
other factors, you should not place undue reliance on these forward-looking
statements as a prediction of actual future events or otherwise. The information
contained in this press release is subject to change without notice and, except
as required by applicable law, SAS does not assume any responsibility or
obligation to update publicly or review any of the forward-looking statements
contained in it, whether as a result of new information, future events or
otherwise. Nothing in this press release constitutes or should be construed as
constituting a profit forecast.

More information:
Access the news on Oslo Bors NewsWeb site

577760_SAS_Receives_Court_Approval_for_Collective_Bargaining_Agreements_with_SAS_Scandinavia_Pilots_Unions.pdf