The carrier has announced that the Norwegian Government has decided to support and contribute to the airline’s funding, dependent on certain conditions. Norwegian believes the support will substantially enhance their chances of successfully working through the crisis.
On Thursday (January 21, 2021), Norwegian Air announced that the Government of Norway has decided to support and contribute to the carrier’s funding of new capital, providing certain conditions are met. The airline believes that the support will substantially increase their chances of working through the crisis and emerging as a key player in the Norwegian and European markets. In today’s announcement, Norwegian’s CEO, Jacob Schram, said,
“On behalf of everyone at Norwegian, I would like to sincerely thank the government for their support. Norwegian has been faced with a very challenging and demanding situation due to the pandemic, and the government’s support significantly increases our chances of raising new capital and getting us through the reconstruction process we are currently in. We still have a lot of work ahead of us, but a participation from the government underscores that we are heading in the right direction.”
As previously reported, the carrier entered an Irish Examinership process and supplementary reconstruction in Norway late last year. Earlier this month, Norwegian presented a new and simplified business plan focusing on a European route network and the discontinuation of long-haul services. Further expressing gratitude for the Norwegian Government’s support, Mr. Schram, added,
“With a new business plan, and a participation from the government, we are confident we can attract investors and get through the Examinership and reconstruction process. We have received extensive support from political parties, customers, colleagues, shareholders, and business partners, for which we are extremely grateful, especially during these challenging times. Furthermore, the government’s support will contribute to help securing jobs and maintain healthy competition within the aviation sector.”
Norwegian Air was founded in 1993 but began operating as an LCC with Boeing 737 aircraft in 2002. The company’s mission is to offer affordable fares for all, allowing customers to travel the smart way with choice and value throughout their journey. Norwegian has been voted ‘Europe’s Best Low-Cost Airline’ by Skytrax for six consecutive years. For the last four years, the carrier has also won ‘Airline Program of the Year – Europe and Africa’ at the Freddie Awards. Norwegian operates a short-haul network across the Nordics and to key European destinations.
Source: Norwegian Air