Sabre terminates distribution agreement with Aeroflot

Rhea-AI Summary

On March 3, 2022, Sabre Corporation announced the termination of its distribution agreement with Aeroflot, Russia's largest carrier. This decision follows the ongoing crisis in Ukraine, with Sabre emphasizing compliance with sanctions against Russia. The company plans to remove Aeroflot's flight content from its global distribution system (GDS). Additionally, Sabre has donated $1 million to the Polish Red Cross to support humanitarian efforts in the region. This move underscores Sabre's focus on safety and legal compliance amid evolving geopolitical tensions.

Positive

• Donation of $1 million to Polish Red Cross to support humanitarian efforts.
• Prompt action in terminating Aeroflot's distribution agreement reflects compliance with international sanctions.

Negative

• Termination of Aeroflot's distribution agreement may lead to reduced revenue streams in the travel sector.

SOUTHLAKE, Texas, March 3, 2022 /PRNewswire/ -- Sabre Corporation, a leading software and technology company in the travel industry, today announced that it has terminated its distribution agreement with Aeroflot, the largest government-majority owned carrier in Russia. Sabre is taking immediate steps to remove Aeroflot flight content from its global distribution system (GDS), a marketplace used by travel agencies, travel websites and corporations around the world to shop, book and service flight reservations.

"Sabre has been monitoring the evolving situation in Ukraine with increasing concern. From the beginning, our primary focus has been the safety of our team members in the impacted region, as well as doing our part to support the much-needed relief efforts," said Sean Menke, CEO of Sabre. "We are taking a stand against this military conflict. We are complying, and will continue to comply, with sanctions imposed against Russia. In addition, today we announced that Sabre has terminated its distribution agreement with Aeroflot, removing its content from our GDS."

The Company will continue to monitor the ongoing situation and will evaluate whether additional actions would be appropriate, taking into account legal considerations and any counter measures that could be implemented in response.

To help support humanitarian programs in the region, Sabre, which has approximately 1,500 team members in Poland, has donated $1 million to the Polish Red Cross, a 100-year charity that does exemplary work in conflict zones and for supporting displaced people. The funds donated by Sabre will be used by the Polish Red Cross to purchase, among other materials, much-needed food, hygiene products and sleeping bags, and will support the provision of medical assistance to those seeking shelter in Poland.

About Sabre Corporation
Sabre Corporation is a leading software and technology company that powers the global travel industry, serving a wide range of travel companies including airlines, hoteliers, travel agencies and other suppliers. The company provides retailing, distribution and fulfilment solutions that help its customers operate more efficiently, drive revenue and offer personalized traveler experiences. Through its leading travel marketplace, Sabre connects travel suppliers with buyers from around the globe. Sabre's technology platform manages more than $260B worth of global travel spend annually. Headquartered in Southlake, Texas, USA, Sabre serves customers in more than 160 countries around the world. For more information visit www.sabre.com.

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Sabre Contacts:

Media
Kristin Hays, Senior Vice President, Global Communications
kristin.hays@sabre.com                                                          

Heidi Castle, Senior Director, Global Communications
heidi.castle@sabre.com

Investors
Kevin Crissey, Vice President, Investor Relations
sabre.investorrelations@sabre.com                                                                             

 

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SOURCE Sabre Corporation

FAQ

Why did Sabre terminate its agreement with Aeroflot?

Sabre terminated its agreement with Aeroflot to comply with sanctions against Russia amid the ongoing conflict in Ukraine.

What humanitarian efforts did Sabre support after terminating its agreement?

Sabre donated $1 million to the Polish Red Cross to aid humanitarian programs for those affected by the conflict in Ukraine.

How will the termination of Aeroflot affect Sabre's business?

The termination may lead to reduced revenue streams for Sabre as it removes Aeroflot's content from its global distribution system.

What is the impact of Sabre's actions on investors?

Investors may view Sabre's compliance with sanctions as responsible, but also might be concerned about potential revenue loss from terminating the Aeroflot agreement.