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Read the full story from Fortune: CLICK HERE
Norwegian has made this announcement:
Arctic Aviation Assets, a subsidiary of Norwegian Air Shuttle ASA, has signed an agreement for sale of two Airbus 320neo aircraft.
The aircraft are currently leased out and thus not operated by the Company. Delivery will take place during February 2019. The transaction is expected to increase the Company’s liquidity by $26 million after repayment of debt and have a positive equity effect. Sale proceeds will be used to repay debt and to increase the Company’s liquidity.
The sale is in line with the Company’s strategy of capitalizing on the scale built up over the last few years and the changed focus from growth to profitability. This announcement is an extension of the information provided in the stock exchange announcement “Norwegian strengthens its balance sheet through a fully underwritten rights issue of NOK 3 billion” on 29 January, where sale of aircraft was highlighted as a measure to reduce capital expenditures, in addition to postponement of aircraft deliveries.
In other news, Norwegian is continuing to enhance the passenger experience by commencing the rollout of new and improved inflight WiFi connectivity onboard the airline’s Boeing 737-800 fleet.
Norwegian, named Europe’s Best Low-Cost Airline by SkyTrax, was the first airline to offer passengers free in-flight WiFi on all European flights in 2011. The airline became the first to introduce live television over the skies of Europe in 2015 and in 2018 it took delivery of its first Boeing 787-9 Dreamliner equipped with inflight WiFi. Norwegian became the first low-cost airline to offer customers free WiFi for the full duration of intercontinental flights.
Today, Norwegian has launched an upgraded WiFi experience on its Boeing 737-800 aircraft as part of improving the customer experience. Norwegian operates Boeing 737-800 aircraft on intra-European routes, routes connecting Europe with North Africa, Middle East and on flights between the USA and French Caribbean.
Norwegian will gradually roll out the new Premium WiFi service across its Boeing 737-800 fleet and expects to complete the rollout in mid-February 2019.
Three Wi-Fi packages available
Customers travelling on a Boeing 737-800 aircraft with the new Premium Wi-Fi service available will have a selection of three packages – SURF, the free option and two paid options, SOCIAL+SURF and STREAM+SURF, both offering faster speeds.
Norwegian recently started introducing WiFi to its Boeing 787-9 Dreamliner and Boeing 737 MAX fleet. Here, customers have two choices – Basic free Wi-Fi for the full duration of long-haul flights and a premium high-speed option, fast enough to stream television shows and movies.
Norwegian expects to have the rollout of WiFi completed on 50 percent of its Boeing 787-9 Dreamliner aircraft by 2020.
Norwegian operates a young fleet of more than 160 aircraft with an average age of 3.7 years.
Top Copyright Photo (all others by the airline): Norwegian Air Shuttle (Norwegian.com) Boeing 737-8JP WL LN-DYP (msn 39047) (Aksel Sandemose, Norwegian author) ARN (Stefan Sjogren). Image: 945580.
Norwegian aircraft slide show:
Norwegian is upgrading the passenger experience with the introduction of inflight WiFi on its growing long-haul fleet of aircraft. As the first low-cost carrier to introduce free WiFi on intercontinental flights, Norwegian customers will be able to stay connected with the rollout of basic and premium high-speed WiFi connectivity on the carrier’s Boeing 787-9 Dreamliner and 737 MAX aircraft.
The first WiFi connected Norwegian Boeing 787-9 Dreamliner aircraft was delivered on December 18, 2018 (reg: G-CKWP) and features American author Mark Twain on its tailfin. The new aircraft has entered service, which marks the first time Norwegian passengers can experience free inflight WiFi for the full duration of long-haul flights.
Norwegian became the first carrier to offer free WiFi on all European routes in 2011 and the first European airline to successfully offer live television in the skies in 2015. Since 2013, Norwegian has rapidly grown to become a leading long-haul airline offering more than 60 long-haul routes between Europe, the United States, South America and Asia serviced by modern, state-of-the-art, fuel-efficient aircraft.
Norwegian Air’s US route map for the summer of 2019:
More than 50 percent of Norwegian’s 787-9 Dreamliner fleet is expected to offer in-flight connectivity by 2020. The rollout of WiFi on the airline’s Boeing 737 MAX aircraft will commence from mid-January 2019.
“We’re continuously improving the inflight customer experience and we’re delighted to be the first airline offering free WiFi for the full duration of long-haul flights. Millions of Norwegian customers have already enjoyed free WiFi over the skies of Europe and now long-haul passengers can continue to rely on free and high-speed internet connectivity that will enhance and personalize their journeys. From being the first European airline to launch free WiFi on all short-haul flights followed by free live television, Norwegian’s rollout of high-quality inflight broadband services will offer business and leisure travelers even greater value at affordable fares,” said Vice President Business Development Boris Bubresko, Norwegian.
Passengers will enjoy fast speed internet using the wireless inflight connectivity platform, CabinConnect™ by Collins Aerospace. Passengers will have highly secured access to content through CabinConnect including their favorite shows, inflight map and voice and messaging services through their devices.
CabinConnect uses the Inmarsat Global Aviation (GX) satellite network, specifically designed to offer passengers consistent, reliable high-speed global inflight connectivity. Inflight WiFi works via an antenna fitted to each aircraft fuselage that communicates with Inmarsat’s GX satellite network.
“We are collaborating with Norwegian to achieve their vision of optimizing their aircraft and enterprise operations to address both cabin and flight deck requirements, as well as adding new capabilities for the future,” said LeAnn Ridgeway, Vice President of Information Management Services at Collins Aerospace.
In 2019, five brand new Boeing 787-9 Dreamliners and 19 737 MAX aircraft will join Norwegian’s fleet. Norwegian currently operates 24 Boeing 787-9 Dreamliners as part of its overall Dreamliner fleet of 32 aircraft.
Two packages – Basic and Premium inflight WiFi
Norwegian economy and Premium customers on the Boeing 787-9 Dreamliner and 737 MAX will have the choice of two inflight WiFi packages:
The Basic option is free and will allow customers to browse the web, stay-up-to-date on social media, send and receive emails and instant messages with friends, family and colleagues by using their personal mobile phones, tablets and laptops on board for the full length of the flight.
Fast enough to stream music, movies and television shows on Netflix, YouTube and Hulu among others, Norwegian will offer passengers a Premium high-speed WiFi option.
Premium high-speed WiFi will be available at an introductory price of $14.95 USD for a three-hour package. Customers can select their preferred currency when choosing the WiFi package.
In the U.S., Norwegian continues to be the fastest growing foreign airline, and will operate from 17 airports and currently offers more than 50 nonstop routes to Europe, as well as four routes from the U.S. to Guadeloupe and Martinique in the French Caribbean, and three routes out of Canada.
Response to Press Speculation on Norwegian Air Shuttle ASA
International Airlines Group (IAG) notes the recent press speculation that it is considering making an offer for Norwegian Air Shuttle ASA (Norwegian).
IAG considers Norwegian to be an attractive investment and has acquired a 4.61 per cent ownership position in Norwegian (minority investment).
The minority investment is intended to establish a position from which to initiate discussions with Norwegian, including the possibility of a full offer for Norwegian.
IAG confirms that no such discussions have taken place to date, that it has taken no decision to make an offer at this time and that there is no certainty that any such decision will be made.
A further announcement will be made if appropriate.
Enrique Dupuy de Lôme
Chief Financial Officer
Norwegian on February 21 took delivery of its 100th direct buy Boeing 737-800 aircraft, the last of this aircraft type in its fleet. Norwegian originally ordered 42 737-800 in 2007 and leased 26 of these aircraft between 2008 and 2016. The airline now has a total of 118 737-800 aircraft in its fleet.
“Today’s delivery marks the end of an era for Norwegian. When we first introduced the Boeing 737-800 aircraft to our fleet 11 years ago, we did so because it was a modern aircraft with a record of reliability, fuel efficiency and low operating costs,” said Bjørn Kjos, CEO of Norwegian. “Now, at the dawn of a new era, our fleet expansion will continue with more environmentally friendly aircraft as we prepare to take delivery of more than 100 Boeing 737 MAX aircraft over the next few years.”
In 2017, Norwegian took delivery of the first six of 110 Boeing 737 MAX aircraft the airline has on order. These initial aircraft were used to launch the airline’s service between the Northeastern United States and six European destinations, primarily in Ireland. The 737 MAX is more fuel efficient and environmentally friendly than its predecessor, and after operating the aircraft since July 2017, Norwegian can confirm that this aircraft burns 18 percent less fuel than the 737-800. With this newer aircraft type, Norwegian is able to realise lower operating costs because of its fuel efficiency, seat capacity and overall range.
Norwegian will take delivery of 12 Boeing 737 MAX aircraft in 2018, which will allow the airline to launch additional medium-haul routes throughout its global network.
Norwegian reported its full year and fourth quarter 2017 results.
The net loss was -299 million NOK (-£27.4 million) ($38.3 million) in 2017, while the earnings before interest, taxes and depreciations (EBITDA) was 60 million NOK (£5.5 million).
Significant costs related to increased fuel prices, wet lease and passenger care affect the results. Going into 2018, Norwegian is far better positioned with stronger bookings and a better staffing situation. Major investments have also been done in 2017 to prepare for future growth.
The company’s total revenue was almost 31 billion NOK (£2.8 billion) – an increase of 19 per cent compared to 2016. A total of 32 brand new aircraft entered the fleet, contributing to a production growth (ASK) of 25 percent. The load factor was unchanged at 88 percent. A total of more than 33 million passengers chose to travel with Norwegian in 2017, an increase of 13 percent compared to previous year.
For the fourth quarter, the net loss was 919 million NOK (£84.4 million) ($117.9 million).
The total revenue was more than 7.8 billion NOK (£716.5 million), an increase of 30 percent from the same period last year, primarily driven by international growth as well as an increased traffic in the Nordics. Just over 8 million passengers flew with Norwegian this quarter, a growth of 12 percent. The load factor was 85.3 percent. Norwegian made major investments in the fourth quarter related to training of pilots and cabin crew on both its wide-body and narrow-body fleet to prepare for the growth in 2018.
“We are not at all satisfied with the 2017 results. However, the year was also characterized by global expansion driven by new routes, high load factors and continued fleet renewal. Through our global strategy, we contribute to local economic boost and increased employment at our destinations, as well as ensuring that more people can afford to fly – not least between the continents. In 2017, we received several major international customer awards, which would never have been possible without our dedicated colleagues at Norwegian,” said CEO Bjørn Kjos of Norwegian.
“Norwegian is far better positioned for 2018, with stronger bookings, a growing network of intercontinental routes complementing our vast European network and not least, a better staffing situation. Our major global expansion reaches its peak in the second half of 2018, when 32 of our 42 Dreamliners on order will have been put into service,” Kjos continued.
Copyright Photo: Norwegian.com (Norwegian Air International) (Ireland) Boeing 737-8 MAX 8 EI-FYC (msn 42825) (Jonathan Swift, Irish writer) DUB (Michael Kelly). Image: 939774.
Norwegian aircraft slide show:
Norwegian Air Shuttle and Widerøe on January 26 signed an interline agreement. The agreement includes all Widerøe’s Public Service Obligation routes in Norway (listed below) and Norwegian’s domestic routes in Norway. Initially, the flights will only be available for purchase through Widerøe’s channels, with an estimated launch during the first half of March.
The following Widerøe routes are included in the agreement:
Copyright Photo: Wideroe (Widerøe’s Flyveselskap AS) Bombardier DHC-8-103 LN-WIA (msn 359) TRD (Ton Jochems). Image: 912543.
Widerøe aircraft slide show: