SAS Group completes strategic agreement with Carlson Companies

Further to the announcement of a strategic agreement with Carlson Companies, in relation to Rezidor SAS, on 14 March 2005, SAS is pleased to announce that all conditions to the agreement have been satisfied and the transaction has now therefore been completed.

SAS Group and US-based Carlson Hotels Worldwide have completed an agreement
whereby Rezidor SAS Hospitality Group achieves improved commercial terms and extension options until 2052 of its Master Franchise agreements (MFA) with Carlson in return for a 25% shareholding in Rezidor SAS by Carlson. The MFA is incorporating the brand names Radisson SAS, Park Inn and Regent throughout Europe, the Middle East and Africa.

The transaction will substantially increase the annual profitability of Rezidor as from
the closing date June 30. Under the improved terms of the transaction, and on a fully annualized basis for 2005, Rezidor SAS profitability before tax is estimated to be impacted positively by MEUR11. The impact for the second half of 2005 is expected to be MEUR 6. This profit enhancement is expected to increase in the future as the business grows and its revenues increase.

The deal will give Carlson two seats on the six-member board of Rezidor SAS.

For further information please contacts
Gunnar Reitan, Deputy CEO SAS Group, +46 8 797 2844
Sture Stølen, VP Head of SAS Group Investor Relations +46 8 797 1451

SAS Group Investor Relations