The airline has less depth and a smaller fleet now.
Norwegian announced that it has successfully emerged from the reconstruction processes.
Throughout Reconstruction processes, Norwegian has managed to reduce its total debt since the end of 2019 by approximately NOK 63 – 65 billion (app. EUR 6bn).
In addition, the carrier discontinued its long haul operations, reduced its fleet from 156 aircraft to 51 aircraft, as well as terminated aircraft orders with Boeing and Airbus representing CAPEX commitments of approximately NOK 85 (EUR 8.3bn) billion in aggregated value.
Norwegian has negotiated and signed competitive agreements for 4 owned and 44 leased aircraft and intends to operate the fleet on a short-haul network primarily in Norway and the Nordics or from Norway/the Nordics to Continental Europe. An additional 3 aircraft are under documentation to be retained and leased. All 51 aircraft will be operated based on “Power by the Hour” agreements through Q1 2022 which significantly increase the Norwegian’s flexibility and limit lease payments in the event of a prolonged period with challenging markets due to the COVID-19 pandemic.
Norwegian’s total liabilities upon completion of the Restructuring Proposal will be approximately NOK 16 – 18 billion, of which NOK 5.8 – 6.3 billion is aircraft related debt.
