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Norwegian signs a contract for three additional Boeing 787-9 Dreamliners, loses $137.6 million in the first quarter

Norwegian signs a contract for three additional Boeing 787-9 Dreamliners, loses $137.6 million in the first quarter
 

Almasalla Arab Travel Portal News – Norwegian Air Shuttle (Norwegian Long Haul) (Norwegian.com) (Oslo) has entered into an agreement for the delivery of three new long-haul Boeing 787-9 Dreamliners. Two of the aircraft will be delivered in 2016 and one in 2017.

Norwegian continues to expand its international operations and has agreed to also lease two 787-9 Dreamliners. Norwegian will put two of the planes in service in 2016 and one in 2017. Today, Norwegian has five long-haul type Dreamliner 787-8 in its fleet and another three on order. In addition, Norwegian has already placed an order for six 787-9s. With this new contract, Norwegian in 2018 will have a long-haul fleet of 17 long-haul 787s.

Facts about Boeing 787-9 Dreamliner:

Holds up to 20 percent more passengers than 787-8
Six meters (20 feet) longer than the 787-8
Significantly greater cargo capacity than the 787-8
Eight percent less fuel per seat than today’s version, which also gives the corresponding reduction in environmental emissions

In other news, Norwegian announced a quarterly loss before taxes of -813 million NOK ($137.6 million). Quarterly earnings were affected by additional costs for hiring of crews and a weak Norwegian crown.
 

During the first quarter, the revenue increased to 3.55 billion Norwegian kroner, an increase of 22 percent compared to the same quarter last year.

9 million passengers flew with Norwegian representing growth of 24 percent. The traffic growth (RPK) was at 50 percent, which is also linked to each Norwegian passengers now fly much longer than they did a year ago.
 

The figures also show strong output growth with an increase of 48 percent (ASK). The load factor was 77 percent in the first quarter, up one percentage point compared to the same quarter the year before. Adjusted with extra costs and a weak currency decreased costs (CASK) by nine percent in the first quarter.
 

Extra costs associated with long-haul operations accounted for 78 million NOK. These costs included the leasing of aircraft, additional fuel and the cost of hotels, food and drink to passengers affected by technical and operational problems with long-distance business.

During the first quarter, Norwegian phased in five new Boeing 737-800s and a Boeing 787-8 Dreamliner.  With the Dreamliner (EI-LNE) that was delivered last week, Norwegian now has a total of five long-haul aircraft in service and 12 on order.

 

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