Scandinavian Airlines, also known as SAS, is the flag carrier organization established on August 1, 1946. It serves as the flag carrier for Denmark, Sweden, and Norway. The airline's primary hubs are located at Copenhagen Airport, Stockholm Arlanda Airport, and Oslo Airport, Gardermoen. SAS stands for Scandinavian Airline Systems, and part of the SAS group is headquartered at the SAS Frosundavik office in Solna. The airline operates a fleet of 180 airplanes serving approximately 90 destinations.
SAS Cargo is an independent and fully owned subsidiary of the airline, with its main base at Copenhagen Airport.
In 2017, SAS carried approximately 28.6 million passengers, generating revenue of 40 billion Swedish Kronor. This positions it as the eighth-largest airline in Europe and the leading carrier in Sweden and Denmark. The SAS fleet includes Airbus A319, Airbus A320neo, Airbus A321, Airbus A330, Airbus A350, and Airbus A319 aircraft.
In June 2018, the Norwegian government announced the sale of all its shares in SAS. Additionally, SAS was one of the founding members of Star Alliance in 1997.
Founding
The airline organization was established on August 1, and its first president was Per A. Norlin. The airline's operations commenced under the new entity, and its very first international service flew between Stockholm and New York on September 17, 1946.
The airline also set a record by transporting the heaviest single piece of air cargo across the Atlantic on a passenger flight. It transported a 1400-pound electrical panel from New York to Sandvik Corporation in Sweden.
Transpolar Route
In 1954, SAS became the first airline to operate scheduled flights on a polar route, flying Douglas DC-6Bs from Copenhagen to LA. The popularity of this route led to an increase in frequency, with three flights per week by the summer of 1956.
The fare structure allowed for free travel to other European destinations via Copenhagen, attracting American tourists throughout the 1950s. In 1957, SAS became the first airline to propose around-the-world service over the North Pole.
Jet Era
The airline also embraced the jet age by introducing French-built Sud Aviation Caravelles as its first jetliners in 1959.
SAS also introduced innovative operational practices and systems to enhance the customer experience. In 1965, Scandinavian Airlines became the first airline to introduce an electronic reservation system.
In 1971, SAS introduced its iconic Boeing 747. In 1982, SAS was recognized as the most reliable airline in Europe.
The airline also ventured into the hotel business by establishing two large hotels in Central Copenhagen: SAS Royal Hotel and, in 1980, the first hotel beyond Scandinavia. The SAS hotel division also held a 40% stake in the Intercontinental Hotels Group in 1989.
Consolidation, Acquisitions, and Partnerships
Jan Carlzon was appointed as President of SAS in 1981, and during his tenure, the airline underwent a highly successful financial turnaround. The company gradually gained control of domestic markets by acquiring full or partial ownership of numerous competing local airlines.
In 1989, SAS acquired an approximately 18.4% stake in the Texas Air Corporation as part of an effort to form a global alliance. In the 1990s, SAS acquired a 20 percent stake in British Midland.
In the early 1990s, SAS attempted to merge with Dutch carrier KLM, Swissair, and Austrian airlines, collectively known as Alcazar. However, this endeavor proved to be a significant failure. The airline marked its 50th anniversary on August 1, 1996.
Ownership of SAS also evolved, with the government's holdings shifting to Sweden (21.4%), Denmark (14.3%), and Norway (14.3%) in June 2001.