Norwegian low-cost airline 'has been saved,' CEO says

Norwegian Air Shuttle's chief executive says the low-cost carrier “has been saved,” after the ailing airline had struggled with the fallout of the coronavirus pandemic and a debt restructuring

COPENHAGEN, Denmark -- Low-cost carrier Norwegian Air Shuttle “has been saved,” its chief executive said Wednesday, adding it had “written history” as the ailing airline had struggled with fallout from the coronavirus pandemic and a debt restructuring plan. CEO Jacob Schram said Norwegian had “successfully” concluded the plan after it raised 6 billion kroner ($721 million) through the sale of perpetual bonds, new shares and a rights issue. In January, the Oslo-based airline said it was ending its long-haul operations and was focusing instead on European destinations. The company then presented a plan that cut its fleet from 140 aircraft to about 50. In a statement, Norwegian said it had reduced its total debt by approximately 63-65 billion kroner ($7.5 billion-$7.8 billion) to around 20 billion kroner ($2.36 billion) under a plan that had to be approved by bankruptcy courts in Ireland, where its planes are registered, and in Norway.