newstodate.aero
Jan 29, 2019 (newstodate): After years of frenzy growth and hefty expansion, Norway's LCC Norwegian is now changing its strategy as an issue of pure survival.
Changing its strategic focus from growth to profitability, Norwegian will now capitalize on the market position and scale built up over the last years, supported by a fully underwritten rights issue of NOK 3 billion to increase its financial flexibility and secure margins for the covenants of its outstanding bonds.
Norwegian will reduce capital expenditures by a combination of aircraft divestment, postponement of aircraft deliveries, optimization of the base structure and the route network and the agreement with Rolls-Royce related to compensation for the operational disruptions on its long-haul operations which was entered into in December 2018.
Changing its strategic focus from growth to profitability, Norwegian will now capitalize on the market position and scale built up over the last years, supported by a fully underwritten rights issue of NOK 3 billion to increase its financial flexibility and secure margins for the covenants of its outstanding bonds.
Norwegian will reduce capital expenditures by a combination of aircraft divestment, postponement of aircraft deliveries, optimization of the base structure and the route network and the agreement with Rolls-Royce related to compensation for the operational disruptions on its long-haul operations which was entered into in December 2018.