Can small changes to the catering process make the current inflight environment a bit safer and bring back some of the comforts passengers have previously enjoyed? We’re also talking about routes returning and new ideas to protect passengers in the cabin on this edition of the Weekly Wrap.
Norwegian is the latest airline to announce plans to put its planes back in the skies over Europe. The carrier will add several routes from its hubs in Stockholm, Oslo and Copenhagen as it seeks to meet growing passenger demand.
Thousands of American Airlines employees face a difficult decision in the coming weeks. Federal payroll support funding is running out and some 17,000 employees must now decide if they’re willing to take a buy-out package from the company or risk being laid off.
Citing slipping foreign exchange returns and a general lack of profitablility Norwegian is exiting the Argentinian domestic market. The carrier sold its entire operation to JetSMART, effective immediately.
Norwegian made many changes in recent months as it sought to shore its finances. The latest news from the airline, however, is a massive shift. Reports indicate that the airline will halt long-haul operations from Stockholm and Copenhagen effective with the end of the IATA Winter 2020 season on 29 March 2020.
Adding more than 100 Turkish Airlines planes to its inflight connectivity backlog is good news for Global Eagle. Perhaps more significant, however, is the potential for additional program growth that come from the partnerships it established to secure this Turkish Airlines deal.
Norwegian’s financials, or potential lack of such, have raised eyebrows in the aviation world for some time now. Hoping to put those fears to rest – and continue selling seats as it heads into the traditionally slower winter season – the carrier announced the closing of a ~$275 million financing round. The company declared, “After the completion of the transactions, Norwegian is fully funded through 2020 and beyond based on the current business plan.”
A new low cost carrier is set to fly in Iceland. PLAY airlines intends to launch sales before the end of the year, connecting passengers between Keflavik and European destinations. The company expects to expand to North American destinations in Spring 2020, using Iceland as a hub to connect passengers between the two continents.
It is no secret that Norwegian wants access to fly across northern Russia. The trans-Siberian routes open up opportunities in North Asia, including Japan, China and Korea. And the Russians know this. The country is a notoriously tough negotiator when it comes to gaining access to those routes. Some might even claim extortionate. Oh, and the country has a maligned small airplane that it would like to see selling better, perhaps flying more outside of its home carriers. What are the odds??
Norwegian found $1.5bn to help cover short-term aircraft costs thanks to a Chinese partner. The deal dramatically reduces CapEx for the next four years, an important win as the company seeks to shore up its books.