Huge success for SAS in government procurement

SAS received the maximum allotment in the Swedish government’s procurement process for foreign air travel that was recently completed. The government selected SAS as its supplier on all 105 destinations in Europe, North America and Asia for which SAS had submitted offers.“This is a major success for us and satisfying confirmation of the confidence that the company’s largest customer has in SAS,” says Anders Ehrling, President of Scandinavian Airlines Sverige.

The result of the procurement process means that SAS will be the new supplier for government travel to Brussels and Amsterdam, as well as Washington, New York and Chicago.

“The outcome of the procurement process means that the government will increase its foreign travel with us by about 25 percent,” says Marie-Louise Kjellström, Vice President Sales for SAS in Sweden. “This is yet another in a series of sales successes during the spring, in which many of our corporate customers are now considerably increasing their travel with SAS.
“The fact that SAS is the choice of the Swedish government for more than 100 destinations from Gothenburg strengthens our cooperation with City Airline and our activities to contribute to the development of business and tourism in Gothenburg.”

Through its procurement, the government also selected SAS as the new provider of travel to Beijing and Shanghai.

“For us in Sweden, this is strong support from the Swedish government prior to a decision to launch the new Stockholm-Beijing route,” says Anders Ehrling.

Background
Swedish Armed Forces Logistics (FMLOG) is the authority responsible for procurement of air travel within the framework of the regulation of coordination of government procurement (SFS 1998:796). This procurement involves Europe, North America and the rest of the world. The agreement becomes effective on July 1, 2006 and applies until June 30, 2007, with the option of an extension of 1+1 year, that is until June 30, 2009.

In the choice of supplier for European routes, price is weighted at 70 percent and the number of nonstop flights at 30 percent. The corresponding weightings for North America and the rest of the world are 80 percent and 20 percent.
The procurement process included a total of 44 destinations in Europe, 28 in North America and 52 in the rest of the world.

For further information, please contact:
Stefan Larsson, Key Account Manager, tel: +46 70-626 50 33
Marie-Louise Kjellström, Vice President Region Sweden, tel: +46 70-997 15 77

Scandinavian Airlines Sverige Corporate Communications