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Norwegian: new cost cuts to increase profitability

Older planes could be sold

The low-cost carrier Norwegian Air could continue to cut costs especially with regard to the fleet, which may suffer a small decrease in the number of aircraft following the sale of older and less efficient ones. What made the company more difficult was the competition and the increase in fuel prices, which together with the slowdown in the growth of the number of passengers has decreased the company's profitability. Only in October, Norwegian has failed to reach the expected data for the aircraft load factor (85% against the expected 87.3%), and the arrival of the winter months could decrease it further.

To maintain a primary role in air transport, the Norwegian low-cost will therefore have to reduce costs, focusing on more efficient aircraft and on solutions that make connections more profitable, so as to avoid having to sell shares to the intended rivals -as in the case of British Airways- to take over the airline to "decrease" the competition.

M/A - 1215849

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