Ladies and gentlemen, welcome to the SAS Interim Report Q1 2022. Today, I am pleased to present Anko van der Werff, President and CEO, Magnus Örnberg, Executive Vice President and CFO, and Karl Sandlund, Executive Vice President and CMO. For the first part of this call, all participants will be in a listen-only mode, and afterwards, there will be a question and answer session. Speakers, please begin. Good morning, ladies and gentlemen. My name is Louise Bergström, and I'm Vice President of Investor Relations here at SAS. Today, I would like to welcome you to Scandinavian Airlines first quarter of fiscal year 2022 presentation, which will be presented by our President and CEO, Mr. Anko van der Werff, together with our CFO, Mr. Magnus Örnberg, as well as with our Chief Commercial Officer, Mr. Karl Sandlund. Before we start, I would like to highlight that the information being given to you in this presentation today is a summary and should not be considered as advice or recommendations to investors or potential investors in relations to purchasing or selling securities. Forward-looking statements presented to you today by Anko, Magnus, or Karl do not guarantee future results or developments, and the actual outcome could differ materially from the forward-looking statements. For further information, please read our financial and annual report. With that, I hand over to you, Anko, to start the presentation. The floor is yours. Thank you, Louise, and a very good morning to all of you, ladies and gentlemen. Thank you for joining us here at SAS for our first quarter of the fiscal year 2022 report. My name is Anko van der Werff, and I am the President and CEO of Scandinavian Airlines. I'll start by providing you with, of course, the overview, and then Magnus Örnberg, our CFO, will take you through our financial figures in more detail. I will then take over again and present the future plan of SAS FORWARD. SAS FORWARD is a comprehensive business and a financial transformation plan designed to place SAS on solid financial footing, which will allow us to, of course, further invest in our network, our people, fuel-efficient aircraft, and all in all, making us competitive in the long term. I will do this together with Magnus, and also with us today is Karl Sandlund, who is our Chief Commercial Officer. After that, when the presentation is finished, we will have a Q&A session with all of you as we always do. You can follow our presentation online. We will try to guide you to the pages that we're talking about. With that, please let's flip to the first slide. I will highlight some of the key takeaways from the quarter. Starting off with the quarter, we saw, of course, a strong demand continuing that we saw in the fall, autumn period. We saw healthy demand leading really up to Christmas and New Year's all the way out through September, October, and November. However, as November came to an end, we saw the impact of Omicron, which negatively affected the quarter. Omicron did not only affect the number of passengers flying, but it also meant that there were operational challenges throughout the world and industry due, of course, to an increased number of sick leaves, and we were also hit by that. Winter is generally a slower season, which is just in line with seasonality and should, of course, be remembered by all. All in all, the numbers did not improve as much as we had hoped for, even though we were on the right track, as I said, from September to the end of November. In the next few slides, I will present to you more in detail the passenger developments, as well as going through a selection of operational metrics. I think, there's gonna be quite some repetition in a way over the next few slides because really, Omicron or the first quarter as such was really a tale of two cities, and we'll come back to that over the next few slides. Now look, looking back, we've said it before, worth mentioning again, very committed here at SAS to driving a more sustainable future for the entire industry, certainly for SAS, of course. It is everyone's responsibility, and you have to be on the forefront. We are working on positioning SAS as a leader in sustainable aviation, and we are progressing on associated projects such as renewing the fleet, replacing our old aircraft with new, more fuel-efficient planes, such as the A320neo, the A321LR that are now really starting to get used by us. Again, we'll come back to some of that. During the quarter, we launched a cooperation with Vattenfall, LanzaTech, and Shell Aviation, where we are working together in order to produce synthetic sustainable aviation fuel, where one of the ingredients will be captured carbon dioxide. It's a very interesting project, progressing very well, and we have true belief that that will be part of our future. Another interesting sustainable effort, where we are enabling success by using our network of loyal customers, is that we've introduced the possibility to receive additional EuroBonus points when sustainable aviation fuel is bought. I am a big believer in this. This is at the center of that sustainability drive, and it allows, of course, us to really also put our money where our mouth is. We are incentivizing people to do the right thing and buy biofuel for their trips. Another point I would like to comment here is that our cash position has been closing at SEK 3.4 billion, which I think is relatively stable in that sense when you look at what went on during the quarter. Our cash position has since then improved further, because we have drawn on the SEK 3 billion term loan that has been provided by our largest owners as you know already that we signed last year. Of course, over the last few weeks since the Omicron restrictions are lifted, the ticket sales are picking up ahead of what we foresee is indeed a very healthy summer. In that sense, the cash position is really one of the stronger ones we've had over the last two years at least. Looking ahead, as I alluded to, it's interesting to see that the booking momentum has once again pivoted. It's increased. Like I said, ticket sales are going well. We're looking forward to a summer with increased capacity. We are ramping up ourselves, and we have launched our summer program with all in all 230 routes on 120 destinations, and really expect to be back at least to 80% this summer. Making that, of course, the best summer since 2019. We are following demand and of course, booking window developments very closely. We've said this before, it does feel a bit different now, but we always have to be very cautious with COVID and that we have had, of course, many surprises over the last years, but it really starts to feel different now, and hopefully that is a good sign for the future. That means still that, we are finding ourselves in a different market. Travel patterns have really changed. You see that both in terms of booking windows, you see it in terms of price points, mix of passengers because, that mix has now come with a higher number of leisure travelers. We have also, over the last few weeks announced that we are starting new routes. I'll highlight at least here Copenhagen to Toronto and Stockholm to Toronto. We've also added destinations to Southern Europe and we are in the process of looking at introducing new bases throughout Scandinavia to enhance the customer experience. Just a few weeks ago, we announced that we are launching a base in Bergen, starting flying there from the summer. Moving over to the right-hand side of the slide, we'll have a look at the numbers. You see the passenger numbers are up more than 200% since last year. Capacity is up more than 150%. Revenue has also increased versus last year, but has come down versus the previous quarter. If it hadn't been for Omicron, I think we would've definitely seen something much stronger. It's time for Magnus to take us through those numbers in detail in a short while. I'll leave that to him. Now, let's go to slide number 2, please. If we start by looking at the numbers on the right-hand side, generally, as I said earlier, winter is a lower demand season, but the ramp up that we have seen during the summer as well as during the fall was indeed very encouraging. Suddenly we had that effect of Omicron hitting us and the abrupt changes in demand that suddenly stopped at that point, impacting of course, the ramp up. This meant that we were unable to adjust our cost rapidly because it really happened throughout the month of December, and we didn't want to, of course, affect all too many passengers for the Christmas and New Year season, and decided to keep much of that capacity in. I think that is again the good news. It's really a clear trend that as restrictions are lifted, there really is that pent-up demand for travel. We do see an augmented demand that people travel when markets are opening up. That is once again making us quite optimistic at least about the summer season. Let's move on to slide number three, please. Again, repeating myself, it is that tale of two cities. September, October, November, every single month doing better, and that came to a halt in December. It shows again, of course, the need for flexibility. It shows that need for flexibility and the ability to adapt quickly to changes. That is also something that we very much talk to our workforce about. With that, let's move on to slide number four, please, and go to Magnus. Yeah. Thanks, Anko. I will try to wrap up the financial portion of the quarter one so we can jump into our new plan as well. If we look at this slide, we can see that until Q2 last year, we really had a reduced revenue quarter by quarter. The focus then was how quick can we reduce cost? I think we were down on something like -54% or something in Q2 last year. You saw a big gap between revenues. In Q3, we closed the gap to a large extent, and in Q4 we closed it even more. Of course, our ambition now going to Q1 was basically probably the best sort of almost the best winter because we were sort of adjusting the capacity already going into it. Of course, as Anko said, we then were hit by Omicron in the middle of it. I would say that at least SEK 1 billion revenue impact in December and January on that, maybe a little bit more. On the cost side, we have seen, yes, of course it's difficult to just put a brake and reduce it. We have also seen impact on real cost increases, for example, the fuel price going up, but also the exchange rate impact on that fuel price. Also if you compare quarter from the previous quarter, we also see less furlough compensations as we have gotten benefits from in, say, Q3 and Q4. Going to the next slide, the revenue, I think I've commented on it. If you go back one year, of course, there's a significant increase. It's mainly driven by the passenger revenues, both capacity but also the load factor. So more than doubling of the volume cargo continues to contribute in a good way as well. Next slide is the EBT development in the quarter. Here I just want to highlight a bit on the currency side. Last year we had -SEK 1.9 billion, which was basically a decent number in spite of the in light of the very low volume. If you compare this quarter now we have a currency impact of SEK 1.5 billion, and this is basically the revaluation of the balance sheet on the U.S. dollar. No real cash impact on that. It's more an accounting treatment. - SEK 3.4 billion, and we have then this quarter more revenues. Of course, we have more costs due to the fact that we are flying more. The net effect then is improved by some SEK 800 million. Probably the most important, next slide, is the cash. There we started a quarter, as Anko said, on SEK 4.3 billion. We have, and I want to point that out, more or less zero operational cash flows. Even though we have a challenge on the EBT level, we have managed to compensate the lower result with more sale of ticket. I think that started something, you know, middle of January or early January, started to really pick up. Therefore we compensated that and basically... When we talk about cash burn, we are basically almost having a positive cash burn as I have defined it before, operating cash flow, and you add back the refunds. If you compare that to one year ago, we had negative SEK 5 billion. It's a completely different picture at this time. Of course, we are continuing to investing. We are paying PDPs for deliveries coming and financing activities more the scheduled amortization on our leases. The SEK 3.4 billion, and then we have drawn the SEK 3 billion, as Anko said, in early February, and then we have on top of that also positive impact so far this month. Good liquidity going into the spring. Next slide, maturity profile. No big change since previous quarter. We have roughly SEK 3.5 billion that is maturing this year. But I will highlight that a lot of this is either PDPs, which will be handled when we get deliveries of new aircraft or engine financing that will be rolled over. And maybe, I don't know, SEK 1.5 billion of it is basically scheduled amortization, which really should be covered by running positive cash flow. On the right side, you see also the aircraft deliveries, and we have a big year when it comes to deliveries, but we also have a big year in phasing out older aircraft. We are really pushing on that renewal phase and a lot will happen during this year. On the fuel price, we have no hedges. On the currencies, we have more or less the same hedges as we have seen earlier, around 40%-50%. My final slide to touch on the financial targets, and I would love to report positive return on invested capital. I cannot do that this time. Negative eleven, less negative, and we are of course working our way to the right side. On the financial preparedness, around 50%, 48% to be exact. We will talk more about that in the plan that we're coming to in the end. Then our financial net, of course, I put not applicable, but if you read the report very carefully, you will see that this is actually the first time since I joined that we have a positive EBITDA. Very small, but still a positive. We are moving in the right direction, but more to do of course on that. With that, I close the Q1, and then I think we jump straight into the plan forward. Anko? Yeah. Perfect. Thank you very much. Let's move to slide 11, please. Are we there? Where's that slide? 13. There we are. Yeah. Perfect. Thank you. Yeah. To set the stage here, SAS has, of course, for many years been burdened by a challenging cost structure, one that prevents the company from reaching its full potential. We have seen on top of that the last two years having been the most challenging in the history of aviation, of the aviation history. Now we find ourselves, as we have commented on, in a changed market. Travel patterns are different, market conditions are changing, and of course, we therefore are really in need to look forward and chart a new course, for that future. That is really why we are launching today our SAS FORWARD. The plan is derived because of the prolonged pandemic, but once again, I want to make it very clear, it is almost as if there was that perfect storm and the reasons for doing this. If you go from the left-hand side to the right-hand side, the financial position, of course, that sense of urgency that we have seen over the last years, that liquidity position, we are now in a short-term good liquidity position. We still need to make sure that it stays that way and that we move forward. The balance sheet, we have to be very clear there, needs significant work. Demand, as we have pointed out, is changing. The demand is changing into more leisure, relatively less business, especially for airlines such as SAS. We do need to adapt to that, and we do need to, of course, put the customer at the center of everything we do. It also means that the leisure passenger will be traditionally at least, and we do think we see it also in our data going forward, being more peaky. It will be peakier. It will be the peaks will be more pronounced than what we have seen in the past. The competition we have already over the last few quarters also in our earnings calls commented on it. We see some restructured business around us, and we also see, of course, new competition coming in. Last but not least, being SAS, being Scandinavian, and truly having the ambition ourselves here around the table, we want to be able to fund our transition to a sustainable aviation future. Now, we will of course focus on many of the elements in our immediate vicinity. Let's call it our ecosystem. We will once again start with that customer, right? The customer that is at the core and at the center of everything that we do. For that, we have a very powerful brand, a brand that is built on several pillars that we will not change. EuroBonus as a key feature, part of the alliance. Of course, our product offering. When we see that currently our customers like very much our network and our product offering, those things also together with EuroBonus, we will not change. What we will do is change fundamentally our cost structure. We have to be fully competitive, and we have therefore embarked also on a very ambitious investment in digital and IT, and we will come back extensively on that. It is of course in the current digital world, important to be at the forefront and there are several areas that will be beneficial, coming out of this investment, both from a customer experience point of view, but also to improve and of course enable enhanced revenues, personalization through ancillaries that we also spoken about. Our fleet to be redesigned through the network. That's really a fleet review and a fleet close up as we call it here, and a redesigned network. That will improve margins. We already have started quite some good work on that with utilization being significantly increased and also stage length which will drive the cost further down. Older planes of course being replaced by new ones. Already, Magnus spoke about that as well, will allow us to invest into sustainable aviation fuel also of course, while optimizing the utilization of all the resources throughout the organization. More bases we have announced, for instance, Bergen. I've shared that, where we will recruit up to 100 people this summer already. In the end, relatively speaking, balance our capacity a bit more towards that leisure market, certainly during the peaks. This also means that already for this summer we will be flying more to Southern Europe than we have ever done. What makes, of course, our business thrive is our people. We want to build a sustainable future. When we talk about sustainable future, we really talk about three things here. It is, of course, that environmental sustainability, again through fleet renewal, sustainable aviation fuel. When it comes to social sustainability, attract, recognize, and of course also retain our talent. We can only do that, and that really is now the core of that third level of sustainability when we provide financial returns. First and foremost, SAS has to be profitable. SAS has to be able to stand on its own. In the plan, six key pillars, if you like, key areas that we are working very hard on to, of course, implement and where the whole plan really comes together. If you go through, in a way, some of the sequencing here, then you can say it like this. First, really, the goal is in all our ports, reducing the annual cost by SEK 7.5 billion. That is a far more ambitious plan that we've had before, simply because also COVID lasted longer, and we are now in a different market that requires us to be more ambitious about that cost savings target. The original SEK 4 billion is included, part of that has already been delivered. This time around, we will expand the scope of the cost savings target to look far more external, for instance, also in our lessor executory and maintenance contracts. The second one, which touches upon that, is what we call here the retired fleet, that network utilization that we spoke about. We'll give you plenty of examples of where we already see the benefits going forward as of this summer in an implemented new fleet and new schedule. There are certain parts of our business that work really well. There are certain parts, such as, for instance, the long hauls to Asia, that clearly don't work very well. An underpinning of the whole plan will be the digital transformation. Cost out, revenue is up. It is really that simple. There is a lot of and many of the very practical examples that Karl will also come back to. It is a significant program already approved by our board a few months ago. We have already recruited into the digital and IT department up to 50 people, and we will do at least another 50 more that will drive, like I said, the cost out and the additional revenues. Sustainable aviation and everything that we can do around new tech, right? Emerging tech in that field, but also the emerging products around sustainable aviation fuel. We ourselves, we are Scandinavian, and we really take sustainability at the heart. The fifth one, our operating platform. The competitiveness will, for a large extent, mean that we have to implement market-based contracts. That is the case, of course, for those new platforms that we have created. It also means that we have to go back to market-based contracts for so much of our ecosystem. This is not an internal plan. This really is an all comprehensive encompassing plan. The sixth one, strengthening, of course, the SAS balance sheet by deleveraging and raising new capital. Here's the sequencing that we see. Make sure that we are cost competitive, then do that burden sharing track well, including the debt equity swaps. That will allow us to attract new capital. With that, let's go into the details, please. Yeah. First, Magnus, and then Karl. Very good. We will try to give a little flavor on those 6 areas. I start with the first one, and Karl will jump in, and then Anko as well. We continue to implement our improvement program and plan and substantially increase the ambition, like Anko said. SEK 4 billion becomes now SEK 7.5 billion. This will be executed mainly over the next 5 years, but with the main focus on the coming 3 years. It really covers all aspects of the company, including all major stakeholders. Of course, the target is to become competitive in the new market environment and also managing the changed customer behavior, and in addition, should support increased profitability, of course, which is the target here. I will mention some of them for not to take all the time here, but the operating model and planning is a large portion of it, and we will continue to develop our operating model in order to face new market realities, and this includes improving productivity and flexibility. We need to be able to meet the customer demand with a cost-efficient and flexible setup, i.e., we need to fly where the customer wants to fly. This will include setting up and developing three specialized production platforms focusing on different segments in the market. This way, we are able to serve leisure market with the needs of that market, i.e., lower cost and more seasonality in production, while continuing to serve the corporate market with its needs. Here we establish a highly efficient operational structure that with improved productivity, cost competitive and lower cost emissions. The planning capabilities will improve the planning capabilities will lead to improved aircraft utilization and crew optimization. I jump into the fleet and maintenance, which I think, Anko has also alluded to a little bit of a changed focus in now, but we continue to phase out the older, less fuel-efficient aircraft. We will secure competitive ownership cost structure and engage with lessors to reach mark to market cost level. We have also reviewed the need for wide-body aircraft, and we see a lower need, partly due to low demand, i.e., and the process of adjusting the fleet have started. In addition, we see a need to add additional capacity in the smaller segments to meet demand on thinner routes. This should also support our sustainability goals. On the maintenance side, we see a large opportunity to increase productivity through revised labor agreements and digitalization. We will also secure lower maintenance costs by reducing the age of the fleet as we are now doing, reducing number of aircraft types and renegotiate external contracts. Digitalization and process improvements will drive improved aircraft availability and utilization. I want to highlight one more thing, and that is on the airport services. We see a large opportunity to increase productivity and flexibility in our ground operations through digitization and new resource planning concepts. Fully digitalized customer touch points and our staff with world-class mobile technology will drive improvement, both in cost as well as in customer experience. We will implement new resource planning concepts to enhance resource utilization, and we will also evaluate opportunities throughout the value chain and renegotiate external ground handling contracts. I leave the rest, but I can say that in the admin side, we did a big reduction already 18 months ago, and that has basically been part of what we have already been delivering on this cost saving. But we will continue to review more of that as well. With that, I hand over to Karl to talk about the fleet. Well, thank you, Magnus, and moving on to the next slide. Also going forward, as you heard, Anko mention, we remain fully committed to our customers, and we will build on our strong foundation and make further improvements going forward to our offerings. That's why we now, as we ramp up our business, are introducing new planning principles to further strengthen our network. We are, for example, improving co-planning of aircraft and crew. We optimize buffers in the system and secure that we have an optimal allocation of capacity between base and platforms. Those changes will reduce complexity in the network, and that's important because with reduced complexity, we can improve both robustness and our flexibility. At the same time, this enables us to increase productivity. So far, we have found 10% increased aircraft utilization, and that will enable both more cost-efficient production, but also more revenue. In addition, as you heard, we continue to phase in Airbus A320neo aircraft in the network, and we secure, as Magnus mentioned, also access to smaller aircraft, both on short haul, but also for long haul. Those smaller aircraft enable us to profitably operate also on traffic flow with lower demand, but also to increase frequencies on larger routes while supporting our sustainability targets. Together with the establishment of more regional bases, this will further strengthen our relevance in all parts of Scandinavia. As you heard, as you've seen, we have already announced a new base in Bergen, but we are also assessing additional bases in different parts of Scandinavia. In addition to securing the best network on our traditional core markets, we are also adapting the route portfolio to strengthen our position in the growing leisure segment. As Anko mentioned already, this summer we will operate 235 routes to 120 destinations, and we will offer more than 500 flights per week between Scandinavia and Southern Europe. Now, this is something that we will continue to develop going forward, both when it comes to leisure offering during the summer season, but also to make sure that we have attractive weekend travel and so on throughout the year. All in all, the changes that we make to fleet and network design will further strengthen our customer offering and at the same time increase efficiency. If we move on to the next slide, Louise, as you heard from Anko, SAS will undergo a comprehensive digital transformation the next years. All parts of the businesses are involved in this, from improvement of the customer interface to leveraging data to improve our operations. We have already started. We have, for example, already launched a new app design on short haul to facilitate for our customers to choose between our different product bundles, from the unbundled SAS Go Light to our SAS Plus and SAS Go Flex bundles. We have also launched a new upgrade solution and new EuroBonus functionality. Overall, we will continue to adapt to changing customer demands with even stronger emphasis on the digital side. In pipeline, we have activities such as new ancillary pages, more EuroBonus features, and improved customer communication, all with ambition to substantially increase our ancillary revenue going forward. The digital transformation is not only in the customer interface. As you heard from Magnus, it's also in operation, both when it comes to improved systems for optimized workforce planning and resource planning, but also to improved digital functionality for our employees. A couple of recent examples are automatic document control and new payment solutions in the ground handler app, but also in automated back-office processes. To deliver on this, of course, the right capabilities is really important. As you heard, we aim for some hundred additional tech specialists to join the company, and we have already onboarded many of them and more to come. The digital transformation has already started, and we'll make sure that we realize our full digital benefits and potential, both financial, but also when it comes to the customer experience as well as for our employees. Another very important area on the next slide is sustainability. Already in 2025, that's only three years from now, we will have reduced our total CO2 emissions by 25% compared to 2005. That reduction corresponds to emissions from all our flights within Scandinavia in 2019. By 2030, we will use sustainable aviation fuel equivalent to all domestic production. By 2050, our target is net zero carbon emission. The cornerstone to realize this is our ongoing fleet renewal, where we continue to stay in the A320neos, which have 15%-18% lower emissions than the previous generation aircraft that they replaced. Another important area, as you heard, fuel. For over a decade, we have worked on various activities to promote the development of alternative and more sustainable aviation fuels also in Scandinavia. A couple of examples are our collaboration with Neste, Preem, Gevo, and as you heard in the beginning, also with Vattenfall, Shell, and LanzaTech. Since a couple of years, we have invited our customers on this journey, and it's really promising to see that we now see a change in customer behavior with an increased demand for biofuel or sustainable aviation fuels. Biofuel can since long be added to all our ticket types, and since December, as you heard in the beginning, we also reward our EuroBonus members with points when they purchase biofuel. We have also a corporate sustainability program where our corporate customers can buy sustainable aviation fuel for their travel and thereby reduce their Scope 3 emissions. These initiatives, these types of initiatives will be further accelerated going forward so we can go on this journey together with our customers. In addition, we are of course exploring new innovative product materials, use of data and so on to make sure that we reduce or eliminate waste throughout the travel journey. All in all, this focus aim to secure our position as a leader when it comes to sustainable aviation also going forward. Next slide, operating platform. Let's start on the left-hand side. Right? It's important once again to realize that the market pre-COVID was already predominantly leisure when actually SAS had a 50-50 split leisure business passengers. In our plan, what we've modeled is that the business passengers will further reduce and that therefore the leisure segment will grow. Now, that leisure segment is of course characterized by a few things, lower willingness to pay, right? There are lower price points. Secondly, that peaky structure, the increased seasonality of those passengers. Now then there's other characteristics, different booking window, the ancillaries of course, right? Within, let's call it the golden window of selling that. That was all explained by Gala in the digital transformation. We see the need therefore to really focus on the operating model, as we call it, having those different platforms that will provide us with the flexibility around the product and customer offering. That is on the multiple platforms that we have below, two of them that you have already heard of, and of course, a third one that we are building at the moment, SAS Link, where we also are recruiting. Once again, I'm gonna refer to the one based in Bergen that we have just opened with more to come. Over time, the external partners will decrease in importance, simply because SAS Link will be a platform that we intend to grow, and therewith with that fleet size and those aircraft sizes, we'll see less need for the smaller aircraft that currently those external partners are giving. Again, moving things actually to SAS and therefore really focusing on one SAS. With that one SAS, of course, we also very much determine that that one SAS is one brand and will provide one unified customer experience all across the platforms. Okay, next slide. After all of that is done, and we are successfully sort of embarking on this journey, of course, the target is to also review and strengthen the balance sheet. This plan is targeting to reach a liquidity of more than 30% of annual revenues and also to reach a capital structure that de-leverage the company to be well in line with industry competition. What are we gonna do now? After all of these actions that we have just talked about, we will also target to convert debt to equity. This includes hybrid bonds and other secured debts. It also includes claims arising from mark to market of aircraft financing agreements. Here we have started a dialogue and we are in an early stage, but we have started that dialogue. In addition, we are also including discussions with aircraft manufacturers, maintenance providers, and other vendors. The idea is that all relevant stakeholders participate in this. We are also planning to propose a new capital raise. This is of course subject to shareholder and regulatory approval. We have initiated the dialogue with the main shareholders, the Danish and Swedish state, although very early stage. In addition, we and our financial advisors expect to undertake a broad and comprehensive capital market process for investors. What will this result in? The goal is to secure solid balance sheet. A solid balance sheet supports investing in new fleet and positions us to significantly grow its routes and frequencies. It will also support the sustainability targets, i.e. Investing in fuel efficient fleet and also increasing use of sustainable aviation fuels. The goal is also to secure, as I said, improved liquidity, plan and targeting a level of 30% by 2025, and this will be achieved by new capital raise, delivering of cost savings target, and thus deliver of improved profitability and positive cash flow. The target is to reach a fully competitive position to gain market share on our core markets. We believe that the success of the program and the ability to attract new potential capital relies on the participation from all stakeholders. With that, I leave hand over to Johan again. Thank you very much. We're gonna speed up the last 1 or 2 slides and then have 15 minutes for questions. Of course, after that, if any of you require more information, then of course our IR team and others are here for you. Now, really, here is what we then will be high on customer experience and once again, making the customer even more of a priority than that we've always made it. We will be able to grow new bases, more routes. You have seen this launch already, some of them, and of course be more relevant. I always consider also that regional relevance through stepping up those bases such as Bergen, and once again, more to come, truly important for an airline our size. Digitalization and personalization, the digitalization driving out that cost, but also increasing the opportunities for ancillary revenues and really for that personalization around EuroBonus and ancillaries combined. Our plan, we have included significant investment in funding our own sustainable green energy transition. Very much focusing here on the right-hand side because in order to save a bit of time, right, increased customer preference, truly competitive in our markets on our unit cost, a redesigned network and fleet, all stakeholders to really participate in building a sustainable future. As I said, it was on three levels, environmental, of course social, but first of all and foremost for SAS, we need to be profitable and therewith financially very solid. That's why we're launching today SAS Forward, and we will now hand over to all of you. Thank you for listening and happy to take your questions. Thank you. Ladies and gentlemen, if you have a question for the speakers, please press zero one on your telephone keypad and you'll enter the queue. If you wish to withdraw your question, you may do so by pressing zero two to cancel. Once again, if you have a question for the speakers, please press zero one on your telephone keypad now. Our first question comes from the line of Jacob Pedersen from Sydbank. Please go ahead. Your line is now open. Yeah. Hi, guys. Thanks for an extensive review of your new strategy plan. I have a couple of questions. How fast do you expect to implement the cost savings? As I understand it, we have SEK 5.5 billion in actually new cost savings being implemented. It's over three or five years. Now it's depending on whether it's over three and over five. It's ranging from ambitious to maybe not that ambitious. How fast will you be able to implement the cost savings? Okay. I thought you were gonna have more questions. I'm happy to take this one, Jacob, first of all. I would say more questions lined up. Don't worry. Okay. I think I was maybe We'll start with this one. Okay. We'll start with this one. Look, the speed of cost savings, and maybe break down indeed those cost savings, a bit more, right? So SEK 7.5 billion, SEK 4 billion out of the original plan. Then there is a part of fleet and ownership changes, ancillary contracts. Then there is also a part of when we do this, debt equity and of course the new capital structure where you can save on interest. So all together, really that makes up then the total plan of SEK 7.5 billion. Speed is of the essence, right? I mean, right, rightfully so, you're saying, look, if you're gonna take five years to implement all of this. Yeah, it is a five-year plan, but it is more front-loaded than back-loaded. We need, of course, our stakeholders to come together. We really have designed a plan that makes sure that stakeholders will understand that if they participate, that that is a better alternative. That means, once again, burden-sharing across the ecosystem. Of course, part of that in the burden-sharing, let's call it in debt to equity, and then going for new money. Now, that new money, and that is very clear, and I've also very clearly told that to internal stakeholders. New money will not come in, of course, if they don't have clear visibility and clear guarantees that that cost structure will be different. More front-loaded than back-loaded to answer your question. Okay. Maybe also a comment on your confidence in reaching agreement with the workers. We saw a strike in Denmark, in Copenhagen, last week. How close are you to getting workers on board? That is why one of the reasons why we moved the date of this announcement to earlier, right? We need, of course, people to understand our situation. We need more time for that. We are very, in a way, lack of a better word maybe, but happy that we can now finally come out and share this plan and share the details. Really now it's time for also, of course, the employees of the company to come together, as one of the main stakeholders, of course, of the company and say, "Yes, we will rally behind the plan. We, of course, will do our part." Now, I'm having good hopes of that. We have, of course, initiated already reach out and have constant dialogues with unions. I think this is much broader than that, right? This touches really the employees. This touches the entire employee base in that sense, right? That all of us are committed and that all of us see the need for SAS to really be a strong player and be a competitive player. I'm repeating myself quite a bit here, but the plan is designed in such a way that all stakeholders really need to participate. Why would anyone in that sense participate if others don't, right? That, let's be more specific. It requires labor, it requires lessors, it requires, of course, so many other stakeholders to really say that, "Yes, we are going forward." That is what needs to happen, and then we can go for the capital raise. Okay. How concerned are you that the next couple of months, quarters, and your possibly very uncompetitive position will drag passengers away from you into competitors' aircraft and make life even more difficult for you? No, I'm not too concerned because I think we are explaining it well. This isn't about customers in a negative sense. This is about customers in a very positive sense going forward. I think our customers really deserve, of course, that stability, right? They deserve a company that can really invest in them, whether it's EuroBonus, whether it's fleet, whether it's a network, right? That is what, of course, our customers demand from us. Now, we have made, in that sense, some, let's call it, defensive moves. On top of the SEK 3.4 billion in cash, we have drawn on the SEK 3 billion, but to make it clear to the world this is not about a short-term liquidity crisis. This is not a rescue plan. This is about setting SAS up for future success. What is needed is new money, right? New equity. What we also need is a lower cost base. What we also need is that deleveraging, right, making sure that there is a debt equity swap. We have made in this plan, right, all three interdependent on each other. We can really be a very successful company, but all of those three pillars need to work hand in hand. Okay, thanks so much. That was my questions. Thank you, Jacob. Our next question comes from the line of Hans Jørgen Elnæs from WINAIR. Please go ahead. Your line is now open. Good morning, Anko and Magnus. Thank you for your comprehensive update on the forward plan. Three questions from me, please. The change in travel behavior leading to less corporate travel and more leisure going forward. In January, SAS estimated the ticket revenues was almost double as for Norwegian, though SAS had only 93,000 more passengers than Norwegian. In real RPK terms, SAS passengers paid almost double than those flying on Norwegian. Is this sustainable for SAS? As corporate travel is estimated to drop while the leisure, that is much more price sensitive will increase. Secondly, to follow up Jacob's question on the unions, do you have any updates on the dialogue with the pilot unions, as for now? The last question from me, can Airbus be positive to postpone pre-delivery payments if needed to support SAS liquidity? Hans Jørgen, good morning. I hope you're well. Thanks for the questions. Let me maybe start with the third one. That's the shortest one. I'll take the second one, and then I think Karl and I will take your first question together. I'll have a first stab, and then I'll ask Karl to also complement. On Airbus, it won't come as a surprise to you that I'm not gonna comment on ongoing conversations and negotiations. But of course, we are reaching out to everyone in the ecosystem, and that of course includes all of the ones that you and others can think of. So that is ongoing. For the unions, and maybe it is a bit the same for what I just said about lessors or whoever you may think of. Once again, this plan is designed so that people understand that this really is the best alternative and that the alternative, right, would be worse. We want to make this very consensual. We want to make this, of course, out of court. We have very clear that we need this, though, right? The company needs this to be successful going forward. I think with the unions, I really honestly think that I have a very constructive and open dialogue. Is there a breakthrough and a solution that we can sign and a deal next week? No, I don't think so. That is also why we're releasing SAS FORWARD today now that we can really be open about it. This is the state of the company. This is what we're seeing. In the end, Hans Jørgen, I think no one can really deny the changes in the market behavior. By the way, I'm not saying that the unions or anyone in the company is doing that, right? I'm not negotiating also here through you with anyone. I'm just answering your question. The point of the matter being, really everyone will have to participate. Everyone will have to participate in this plan in order for SAS to be successful. We are going forward. Now on the change of leisure and business, I would characterize that the following way. Look, everyone is only flying for the time being, of course, a very small portion, reduced capacity of their networks. Yeah, whatever you're seeing, you're reverting, of course, to your core strength and to your core network in that sense. Do I think that those levels are sustainable, and what will happen in the future? No, I don't think so because I do think that with the increased pressure on, for instance, Teams and Zoom and what have you, we see that already. We see corporates, of course, changing their behavior. Therefore, I do think that going forward, relatively speaking, SAS will focus more on the leisure segment. Now, with that said, if we were 50/50, right? Business is our stronghold, and business is of course in many ways the reason for our existence, right? We have a strong network. We connect the countries. We connect the countries with the world, and that we will keep on doing. That part of infrastructure is, of course, extremely relevant, especially for businesses. Karl? No, actually not much to add on because as you said, we are also adapting to a change in customer mix going forward. In addition to build on our strong foundation in the corporate segments, in the business segments, we also make sure that we are more relevant also for the leisure partners, both through the cost measures that we are doing, but also through the changes in network, where we add capacity on attractive leisure destinations, but also how we change our product offering with adding an unbundled product that can also attract some of the leisure segments. We are making changes to adapt and take a stronger position in the leisure segments going forward. Okay. We have one last question in the line from Akash Kumar from HSBC. Okay. Yeah. Hi. Thank you so much for opportunity to ask this question. I have a couple of questions, actually. First of all, going back to your choice, or rather option, to have more leisure demand, given that the corporate recovery is expected to be slow. Does that mean your business going forward would be more seasonal in case you are focusing more on the leisure demand? Given that anyway, we are facing a bit of a challenges in the short haul due to the sensitivity around environmental things or emissions. Do you think you'll be more focused on leisure long haul now? Tied to that, my second question is about how do you see the competitive landscape? Because I think there's a lot of competition happening given that, especially given that, the recovery towards Asian side is very slow. Airlines like Finnair and all, they have started deploying capacity in your base. How do you see that competitive landscape? Those are my first two questions in case you could discuss them. Yeah. Yeah. Perfect, Akash. Thank you very much. I could speak again. Look, on leisure, yes, I think that's exactly what we're saying, right? The seasonality around leisure, that will be peakier as I call it, right? The peaks will be more pronounced, and therefore we need to build in also that flexibility around our contracts, right? That is the reality of a changing towards a leisure market. On leisure long haul, yeah, we were not really in that. How do you call that? We're not really long in that field. I think what for us is far more important is for instance, an aircraft such as the A321LR, right? That is really a good aircraft for us. We're starting really to see the first data on that. But when you map it out, then the number of new destinations that we can add from our major cities in Scandinavia, that is, that's quite extensive. We really are, in that sense, long on that aircraft. Then the competitive landscape, yeah, I think, there's many reasons for launching SAS FORWARD, and that's one of them, right? We are taking matters into our own hands here. We want to be competitive, we need to be profitable, and we really have now taken a very clear stance in what the post-COVID direction of this company is, and that is simply forward. I just want to understand, I mean, going back to your discussion, I mean, you mentioned that you've been discussing with your investors. Basically, what kind of discussions are you having with your investors at the moment? Are they happy for you to achieve 7.5 and then they'll come on board? I mean, so what sort of discussions are these? How confident are you that, you know, you'll be able to achieve this SEK 7.5 billion cost cut targets in, well, in time, you know, before you really need to go back to the investor and say, "Come on, I mean, we need your equity." Could you please share your thoughts around that? Yeah. Yeah, sure. First of all, this is really a management plan, right? This is a company-derived plan. We have only recently really started talking to our stakeholders or shareholders, more specifically in this case, right? Early days, I think, clearly, at least for now, an open dialogue, an open conversation, because everyone, and that's not just of course shareholders, everyone understands that we're all better off with a strong SAS, right? We need to move forward. Early days on discussions, they are now, specifically to your question, analyzing. Yeah, it starts very much with that burden-sharing track, right? Across the ecosystem, I've mentioned a few times now, all stakeholders participate. I think by then you're talking really all stakeholders, and including also, of course, owners. But for that, it is really a step too far at the moment. First, it is delivery on the burden sharing. Right. Yeah. Thank you, Rakel. If you have additional questions, please get in touch with me. Unfortunately, we are running out of time, and we thank you all for participating today. Thank you very much. Thank you. Thank you. Bye.