SAS — Earnings Release 2019

Jun 11, 2019

Scandinavian Airlines 195 87 Stockholm Telephone: +46 8-797 0000 Fax: +46 8-797 1515 www.sasgroup.net

May traffic figures affected by two days of pilot strike

The pilot strike had a negative impact also on May traffic figures as it affected nearly 100 000 customers. Underlying trend of positive unit revenue development continues with an increase of 1.6% compared to same period last year.

Scheduled capacity decreased with 6.6% and number of passengers decreased with 10.0% as a result of the 1 200 flights that were canceled due to the pilot strike in the first two days of May. The positive underlying trend in currency adjusted unit revenue and yield continues, with May figures showing an increase of 1.6% and 5.4%, respectively.

• Despite that SAS was negatively affected by the strike also in May, we were able to resume normal operations swiftly. We are now looking forward to our summer season, in which we have added 25 new routes and five new destinations - Florence, Marseille, Szczecin, Cornwall and Oulu. We have also strengthened our product offering by opening 12 new Fast Tracks in Europe and providing priority boarding with a friend or family for our EuroBonus Gold and Diamond members, says Rickard Gustafson, CEO of SAS.

SAS scheduled traffic	May19	Change1	Nov18-May19	Change1
ASK (Mill.)	4 047	-6.6%	25 940	-3.5%
RPK (Mill.)	2 887	-10.0%	18 003	-4.3%
Passenger load factor	71.3%	-2.7 p.p.	69.4%	-0.6 p.p.
No. of passengers (000)	2 404	-10.0%	15 023	-3.5%
Geographical development, schedule	May19 vs. May18 Nov18-May19 vs. Nov17-May18
	RPK	ASK	RPK	ASK
Intercontinental	-9.6%	-10.3%	-3.7%	-5.4%
Europe/Intrascandinavia	-11.3%	-5.3%	-5.8%	-3.6%
Domestic	-7.3%	-2.6%	-1.5%	0.6%
SAS charter traffic	May19	Change1	Nov18-May19	Change1
ASK (Mill.)	304	-7.2%	1 330	15.2%
RPK (Mill.)	254	-13.8%	1 186	11.1%
Load factor	83.7%	-6.4 p.p.	89.2%	-3.3 p.p.
No. of passengers (000)	98	-14.2%	399	6.6%
SAS total traffic (scheduled and charter)	May19	Change1	Nov18-May19	Change1
ASK (Mill.)	4 351	-6.6%	27 270	-2.7%
RPK (Mill.)	3 141	-10.3%	19 189	-3.5%
Load factor	72.2%	-3.0 p.p.	70.4%	-0.5 p.p.
No. of passengers (000)	2 502	-10.1%	15 422	-3.3%

p.p. = percentage points

Scandinavian Airlines

195 87 Stockholm Telephone: +46 8-797 0000 Fax: +46 8-797 1515 www.sasgroup.net

Preliminary yield and PASK	May 2019	Nominal change	FX adjusted change
Yield, SEK	1.03	+7.4%	+5.4%
PASK, SEK	0.73	+3.5%	+1.6%

	May 2019
Punctuality (arrival 15 min)	86.3%
Regularity	94.0%
Change in CO2 emissions per passenger kilometer	-0.7%
Carbon offsetting of passenger related emissions	39%

Definitions:

RPK – Revenue passenger kilometers

ASK – Available passenger kilometers

Load factor – RPK/ASK

Yield – Passenger revenues/RPK (scheduled)

PASK – Passenger revenues/ASK (scheduled)

Change in CO2 emissions – SAS passenger related carbon emissions divided with the total number of passenger kilometers

(incl. non-revenue and EuroBonus) rolling 12 months

Carbon offsetting of passenger related emissions – Share of SAS passenger (EuroBonus members, youth tickets and SAS' own travel) related carbon emissions compensated by SAS

SAS, Scandinavia's leading airline, carries more than 30 million passengers annually to, from and within Scandinavia. The airline connects three main hubs - Copenhagen, Oslo and Stockholm - with 125 destinations in Europe, the US and Asia. Spurred by a Scandinavian heritage and sustainable values, SAS will reduce total carbon emissions by 25% and operate with biofuel equivalent to equal the total consumption of fuel used to operate all domestic SAS flights, by 2030. In addition to airline operations, SAS offers ground handling services, technical maintenance and air cargo services. SAS is a founding member of Star Alliance™ and together with partner airlines offers almost 19,000 daily flights to more than 1,300 destinations around the world. Learn more at https://www.sasgroup.net