Norwegian Orders 222 New Aircraft

Travel News Asia Latest Travel News Podcasts Videos Thursday, 26 January 2012

Norwegian has signed an agreement with both Airbus and Boeing for delivery of a total of 222 new aircraft.

The order includes 122 aircraft from Boeing; 100 of the new Boeing 737 MAX8 and 22 Next-Generation 737-800. Norwegian will be the European launch customer for Boeings new aircraft. The Airbus order includes 100 Airbus A320neo.

The total agreement is the largest ever in European aviation history and has a contract value at list prices of NOK 127 billion. The order includes additional purchase right of 150 aircraft from both manufacturers.

The agreement with Boeing includes firm orders for a total of 122 aircraft; 100 Boeing 737 MAX8 and 22 Boeing Next-Generation 737-800, in addition to purchase rights for an additional 100 737 MAX8.

Norwegian has also signed an agreement with Airbus which includes firm orders of a total of 100 Airbus A320neo as well as purchase rights for an additional 50. This marks Norwegians first aircraft purchase from Airbus.

The total agreement is the largest ever in European aviation history and is the largest single investment in Norway, even on level with the largest investments in the Norwegian offshore industry. The firm order has a contract value at list prices of approximately NOK 127 billion. The deliveries of the new aircraft types start in 2016.

Today is a historic day for Norwegian. The order is the largest ever in European aviation history and marks a major milestone in the companys 10 year history. We have secured our fleet renewal for years to come and are very pleased with the agreements with both Airbus and Boeing, said CEO Bjrn Kjos at Norwegian. Norwegian has now reached a size where we will benefit from having two suppliers, both in terms of ensuring adequate flight capacity, flexibility and competition between two manufacturers.

International air traffic will keep on growing in the years ahead and Norwegian is determined to be a strong, stable and attractive player in the airline industry. We will continue to provide our customers with quality at a low fare and live up to our vision that everyone should afford to fly. The new aircraft are win-win for our passengers, the environment and the company's costs. As we intend to replace every aircraft after seven years of operation, it is mandatory that we plan at least 10 to 20 years ahead. We will sell or rent out our older aircraft in order to keep a young fleet, Kjos added. Norwegians order of 42 new Boeing 737-800 aircraft in 2007 was by many viewed as a bold investment. History has, however, shown that it was a necessary move to ensure our competitiveness and reduce costs. This order has been extended several times since 2007, proving that our need for aircraft has been far greater than we anticipated five years ago.

Following this transaction Norwegian has a total of 150 purchase rights and 277 aircraft for future delivery, including 55 previously ordered Boeing 737-800. In addition Norwegian has a firm order of 6 787-8 Dreamliners.

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