SAS — Earnings Release 2015

Sep 8, 2015

Scandinavian Airlines 195 87 Stockholm Telephone: +46 8-797 0000 Fax: +46 8-797 1515

SAS traffic figures August 2015

• • SAS carried 2.4 million passengers in August, up 0.1%.
• Scheduled traffic (RPK) was down 1.1% and the capacity (ASK) was reduced by 0.3%.
• The load factor decreased by 0.7 p.u. to 80.5%.
• • The currency adjusted yield and PASK were up 9.4% and 9.9% respectively in July. The nominal yield and PASK were up 10.4% and 11,0% respectively.

Market trends

Market conditions in Scandinavia have temporarily stabilized and the balance between capacity and demand has improved in comparison with 2014. However, the competition remains very intensive in certain markets.

PASK and yield development

In July 2015, SAS' currency adjusted yield and PASK were up 9.4% and 9.9% respectively, higher than guided. The nominal yield and PASK were up 10.4% and 11,0% respectively. In August 2015 the currency adjusted PASK is expected to be in line with last year.

SAS scheduled traffic development in July

SAS strategy is to focus on Scandinavia's frequent travelers. During the summer months the travel pattern amongst frequent travelers changes toward more leisure oriented destinations. Customers have responded well to SAS seasonal destinations, primarily offered to southern European destinations, while demand was slightly lower for traveling within Scandinavia in August.

Scheduled capacity was decreased by 0.3% and traffic was down by 1.1%, which resulted in a 0.7 p.u. lower load factor of 80.5%.

SAS intercontinental capacity was increased by 1,0% but the traffic was down 1.8% with load factors still at 90%. While SAS decreased its capacity on European/ Intrascandinavian routes by 2.3%, traffic only fell 0.6% due to positive response to the seasonal routes. Domestic traffic was down 1.2%. The capacity was up 3.8% primarily reflecting increased capacity on Swedish domestic routes.

Product and news update

• SAS announced three new intercontinental routes between Stokholm-Los Angeles, and Copenhagen -Miami and Oslo- Miami.
• SAS EuroBonus reached 4 million members.
• As a complement to SAS Go and SAS Go Light is introduced on certain European routes for travelers who travel without luggage.

SAS scheduled traffic	Aug 15	Change	Nov-Aug 15	Change
ASK (Mill.)	3 611	-0,3%	33 247	-0,4%
RPK (Mill.)	2 907	-1,1%	24 682	-1,0%
Passenger load factor	80,5%	-0,7 p u	74,2%	-0,5 p u
No. of passengers (Mill.)	2,361	0,1%	21,768	-0,4%

Geographical	Aug 15 vs Aug 14		Nov 14 - Aug 15 vs. Nov 13 - Aug 14
development, schedule	RPK	ASK	RPK	ASK
Intercontinental	-1,8%	1,0%	-3,4%	-1,5%
Europe/Intrascandinavia	-0,6%	-2,3%	-0,5%	-0,2%
Domestic	-1,2%	3,8%	2,0%	1,0%
SAS charter traffic	Aug 15	Change	Nov-Aug 15	Change
ASK (Mill.)	538	-10,6%	2 763	-22,2%
RPK (Mill.)	508	-9,8%	2 602	-21,5%

SAS total traffic
(schedule and charter)	Aug 15	Change	Nov-Aug 15	Change
ASK (Mill.)	4 149	-1,7%	36 010	-2,5%
RPK (Mill.)	3 414	-2,5%	27 283	-3,4%
Passenger load factor	82,3%	-0,6 p u	75,8%	-0,8 p u
No. of passengers (Mill.)	2,555	-0,8%	22,699	-1,3%

Passenger load factor 94,3% +0,8 p u 94,2% +0,8 p u No. of passengers (Mill.) 0,194 -9,8% 0,932 -18,6%

Yield, PASK and punctuality	July 2015	Change
Yield (change is currency adjusted),
SEK	0.80	+9.4%
PASK (change is currency adjusted),
SEK	0.70	+9.9%

	August 2015
Punctuality (arrival 15 min)	88.1%
Regularity	99.1%

SAS' definitions:

RPK – Revenue passenger kilometers ASK – Available passenger kilometers Load factor – RPK/ASK Yield – Passenger revenues/RPK (scheduled)

PASK – Passenger revenues/ASK (scheduled)