SAS — Capital/Financing Update 2019

Oct 16, 2019

SAS AB (PUBL) issues SEK 1,500 million subordinated perpetual capital securities

SAS AB (PUBL) issues SEK 1,500 million subordinated perpetual capital securities

NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY, IN OR INTO

THE UNITED STATES OF AMERICA, CANADA, JAPAN OR AUSTRALIA OR ANY OTHER

JURISDICTION WHERE SUCH PUBLICATION, DISTRIBUTION OR RELEASE WOULD BE UNLAWFUL

OR REQUIRE REGISTRATION OR ANY OTHER MEASURES.

SAS AB (publ) (the "Company" or "SAS") has successfully issued SEK denominated

subordinated capital securities with perpetual tenor and which will be treated

as equity in SAS' accounting in the total amount of SEK 1,500 million. The

capital securities have a floating interest rate of STIBOR three months plus 825

bps and have a first call date on 23 October 2024.

SAS intends to apply for listing of the capital securities on the corporate bond

list of Nasdaq Stockholm.

SAS will use the net proceeds from the issue of capital securities for its

general corporate purposes, including refinancing of financial indebtedness and

funding of aircraft acquisitions.

Danske Bank, Nordea, SEB and Swedbank acted as Joint Lead Managers and Joint

Bookrunners for the transaction.

Important information

The release, publication or distribution of this press release in certain

jurisdictions may be restricted or unlawful, and any person in the jurisdictions

where this announcement has been published or distributed should inform

themselves of, and observe, any such legal restrictions. This announcement does

not constitute an offer, or an invitation to buy or subscribe for, any

securities in SAS AB (publ) in any jurisdiction.

SAS AB (publ)

For further information, please contact:

Michel Fischier

Vice President Investor Relations

Phone: +46 70 997 0673

This information is information that SAS AB (publ) is obliged to disclose

pursuant to the EU Market Abuse Regulation. The information was submitted for

publication, through the agency of the contact person set out above, at 17:45

CET on October 16, 2019.

This announcement is not an offer to sell or a solicitation of any offer to buy

or subscribe for any securities issued by SAS AB (publ) (the "Company") in any

jurisdiction where such offer or sale would be unlawful.

This document and the information contained herein are not for distribution in

or into the United States of America. This document does not constitute an offer

to sell, or a solicitation of an offer to purchase, any securities in the United

States. Any securities referred to herein have not been and will not be

registered under the U.S. Securities Act of 1933, as amended (the "Securities

Act"), and may not be offered or sold within the United States absent

registration or an applicable exemption from, or in a transaction not subject

to, the registration requirements of the Securities Act. There is no intention

to register any securities referred to herein in the United States or to make a

public offering of the securities in the United States.

In the United Kingdom, this document and any other materials in relation to the

securities described herein is only being distributed to, and is only directed

at, and any investment or investment activity to which this document relates is

available only to, and will be engaged in only with, "qualified investors" (as

defined in section 86(7) of the Financial Services and Markets Act 2000) and who

are (i) persons having professional experience in matters relating to

investments who fall within the definition of "investment professionals" in

Article 19(5) of the Financial Services and Markets Act 2000 (Financial

Promotion) Order 2005 (the "Order"); or (ii) high net worth entities falling

within Article 49(2)(a) to (d) of the Order (all such persons together being

referred to as "relevant persons"). Persons who are not relevant persons should

not take any action on the basis of this document and should not act or rely on

it.

This announcement does not identify or suggest, or purport to identify or

suggest, the risks (direct or indirect) that may be associated with an

investment in the capital securities. Any investment decision must be made

solely on the basis of publicly available information, which has not been

independently verified by Danske Bank A/S Danmark, Sverige Filial, Nordea Bank

Abp, Swedbank AB (publ) or Skandinaviska Enskilda Banken AB (publ) (the

"Managers"). The Managers are acting for the Company in connection with the

transaction and no one else and will not be responsible to anyone other than the

Company for providing the protections afforded to its clients nor for giving

advice in relation to the transaction or any other matter referred to herein.

The information in this announcement may not be forwarded or distributed to any

other person and may not be reproduced in any manner whatsoever. Any forwarding,

distribution, reproduction or disclosure of this information in whole or in part

is unauthorised. Failure to comply with this directive may result in a violation

of the Securities Act or the applicable laws of other jurisdictions. This

announcement does not constitute an invitation to underwrite, subscribe for or

otherwise acquire or dispose of any securities in any jurisdiction.

This announcement does not constitute a recommendation concerning any investor's

option with respect to the offering. Each investor or prospective investor

should conduct his, her or its own investigation, analysis and evaluation of the

business and data described in this announcement and publicly available

information. The price and value of securities can go down as well as up. Past

performance is not a guide to future performance.

Neither the content of the Company's website nor any website accessible by

hyperlinks on the Company's website is incorporated in, or forms part of, this

announcement.