Norwegian Air Shuttle ASA (NAS) – Notice of termination to the Boeing Company of purchase agreements and GoldCare agreement
Norwegian Air Shuttle ASA (the “Company” or “Norwegian”) has issued a notice to the Boeing Company (“Boeing”) of termination of the Company’s purchase agreements of the remaining five Boeing 787 aircraft, 92 Boeing 737 MAX aircraft and the GoldCare service agreements (BSG) related to the 787 and MAX aircraft. Norwegian has in addition filed a legal claim seeking the return of pre-delivery payments (PDP) related to the aircraft and compensation for the Company’s losses related to the grounding of the 737-Max and engine issues on the 787.
The Company’s 737 MAX aircraft have been grounded since the world-wide grounding of the aircraft type was imposed on 12 March 2019. This has also disrupted NAS’ operations and caused significant losses. In addition Norwegian’s Rolls-Royce Trent 1000-powered 787 aircraft have suffered from long-running reliability issues that have affected reliability and resulted in premature and unplanned maintenance, which has disrupted the Company’s operations and caused further significant losses.
Norwegian has engaged in a commercial dialogue with Boeing with a view to resolving its 787 and 737 MAX issues and obtaining compensation for its losses. The dialogue has [yet to date] not led to an agreement with a reasonable compensation to the Company.
Norwegian Air Shuttle ASA
Fornebu 29 June 2020
For further information, please contact:
Geir Karlsen, Chief Financial Officer, phone +47 916 08 332
Tore Østby, EVP Strategic Development, phone: +47 995 46 400
23:00 NAS: Norwegian Air Shuttle ASA (NAS) - Notice of termination to the Boeing Company of purchase agreements and G
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