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Norwegian looks to axe hundreds of jet orders

written by Hannah Dowling | February 24, 2021

A Boeing-787 in Norwegian livery (Norwegian)

Norwegian Air is expected to cancel hundreds of aircraft orders amid its restructuring proceedings, as Airbus and Boeing brace for impact.

Sources close to the matter informed Reuters that both planemakers are set to see hefty cancellations from the airline.

In November 2020, Norwegian filed, and was subsequently granted, bankruptcy protection against its creditors in Ireland, where many of its assets are registered.

The airline is in the process of organising a restructure that will see its fleet and network both slimmed.

Currently, the embattled airline has 88 Airbus A320 family jets on order, which are now on the chopping block.

Meanwhile, the carrier has already announced it has cancelled orders for 97 Boeing aircraft, including 92 MAX aircraft.

Norwegian is pursuing Boeing for $1 billion over its MAX and Dreamliner orders that were impacted by the prolonged grounding and delayed deliveries of both aircraft.


Boeing has since requested the dismissal of the lawsuit, and has kept the cancelled orders on its books while it waits for the courts to weigh in.

In January this year, Norwegian announced it intends to axe all 37 Boeing 787 Dreamliners from its fleet, and no longer perform its famed long-haul budget routes between the US and Europe.

The Irish High Court this week is hearing arguments concerning the repudiation of some of Norwegian’s liabilities, including aircraft leases.

Sources suggested that Boeing and Airbus have thus far avoided significant cancellations due to deposits held on account, however further negotiations have preceded deliveries.

Planemakers may face tighter margins as orders slow, while the pandemic continues into its second year, sources informed Reuters.


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