Budget airline buys new, larger Dreamliners

Thursday, 07 May, 2014 0

Budget airline Norwegian is to boost its long-haul fleet by leasing three of the new, larger Dreamliner aircraft which is due to enter commercial service next year.

Two of Norwegian’s new Boeing 787-9s will be delivered in 2016 and one in 2017.

Norwegian already has five 787-8s and another three on order, plus orders for six 787-9s.

With the new order announced today, Norwegain will have 17 long-haul aircraft by 2018.

The 787-9 carries 20% more passengers and significantly more cargo than the original model, burns 8% less fuel per seat and can fly longer.

In the first quarter of the year, Norwegian saw revenues leap 22%, compared with the first three months of 2013, and carried 4.9 million passenger, a growth of 24%.

It made a loss of 813 million NOK (£80m) during the quarter, which the airline attributed to £7.7 million additional costs relating to its long-haul operating, including wet-leasing aircraft and extra fuel, as well as costs for accommodation and food and drink for delayed passengers affected by the technical and operational problems associated with the long-haul operation.

CEO Bjørn Kjos said:"Traditionally, the first quarter is seasonally weak and in addition the figures have been significantly affected by a weak Norwegian currency against the dollar and the euro.

"Also, the wet-lease of aircraft has negatively impacted the quarterly result. On the positive side, the passenger growth is strong and the load factor continues to rise, even with the company’s strong production growth. The strong competition in Norway reflects the prices, but Norwegian is becoming increasingly equipped to meet this competition."

 



 

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Linsey McNeill

Editor Linsey McNeill has been writing about travel for more than three decades. Bylines include The Times, Telegraph, Observer, Guardian and Which? plus the South China Morning Post. She also shares insider tips on thetraveljournalist.co.uk



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