Year-End Report

2/18/1999 10:37 AM EST

January-December 1998


MAIN POINTS IN THE FINAL ACCOUNTS AS PER DECEMBER 31, 1998:


SAS Group's income before taxes amounted to MSEK 2,829 (2,231).

SAS Group's operating revenue increased by 5.2% to MSEK 40,946.

Cash flow from operations was MSEK 3,807 (3,954).

Capital gains from sale of aircraft and buildings amounted to MSEK 1,014 (83).

Earnings per share for SAS Danmark A/S was SEK 13.78 (9.57), for SAS Norge ASA
SEK 12.13 (10.11), and for SAS Sverige AB SEK 12.77 (10.13).

Income after tax reported in SAS's parent companies amounted to:

S Danmark A/S MDKK 545(389)
S Norge ASA MNOK 541(440)
S Sverige AB MSEK 900(714)

The Board of Directors expects income before taxes for 1999 to be considerably
below the 1998 level.




Year-end report SAS Sverige AB 23

Changed accounting principles

The SAS Consortium and the SAS Commuter Consortium have adopted IAS accounting
principles, entailing that subsidiaries and associated companies are reported
according to the equity method, whereby income and shareholders' equity in the
SAS Group on the one hand and the SAS Consortium and the SAS Commuter
Consortium on the other hand are the same.

The accounting principles for the parent companies have been changed during
the fiscal year insofar as they each include their own share of income and
shareholders' equity in the SAS Group in their accounts.

The comparison figures in both the statements of income and the balance sheets
have been corrected accordingly.