Norwegian Air faces ‘very uncertain future’ after…

Norwegian Air faces ‘very uncertain future’ after further state aid from Norway denied
2020-11-11 12:06:00
The Norwegian government has refused to grant further financial assistance to Norwegian Air. It was bailed out in the spring, through state aid from Norway of 3bn krone (£255m), with stringent conditions attached, after the first wave of the grounding of airlines due to Covid.  Now with the return of Covid across Europe, air travel demand is not returning for this winter, so Norwegian’s finances are in a grim state.  But the Oslo government is not giving more money. The airline has, in the past, annoyed trade unions in Norway for using cheaper, foreign labour. It said it would now be forced to furlough another 1,600 staff, leaving only 600 employed out of more than 10,000 people at the start of the pandemic. It said it would park all but 6 aircraft (out of its fleet of 100 planes) and operate only domestic routes through the winter.  It was flying from 6 UK airports, with its base at Gatwick. As well as cheap European leisure flights, it offered cheap trans-Atlantic routes. Before Covid it was one of the biggest airlines at Gatwick. Norwegian is fragile, as it has expanded too fast in recent years, and has a lot fo debt.  The airline is expected to have losses of 5.3bn krone (about £450m) for the first half of 2020. .Tweet   Norwegian Air faces ‘very uncertain future’ after further aid denied Airline calls refusal by government of Norway ‘a slap in the face’ during Covid crisis By Gwyn Topham Transport correspondent (The Guardian)    @GwynTopham Mon 9 Nov 2020  Norwegian Air said it is facing a “very uncertain future” after the government of Norway refused to grant further financial assistance to the airline.The carrier was bailed out through state aid with stringent conditions attached in the spring, after the first wave of the coronavirus and the grounding of airline fleets. However, with a further winter lockdown in many markets and a slower recovery than hoped, Norwegian had appealed for further aid. On Monday, Norwegian said the Oslo government had announced the airline would not receive the further financial suppo

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