Norwegian initiates a reorganisation plan with its daughter companies NAI and AAA seeking protection under Irish Examinership
As part of a structured reorganisation plan, Norwegian Air Shuttle ASA (“Norwegian” or the “Company”) has decided to initiate an examinership process in Ireland relating to its subsidiary Norwegian Air International Limited (NAI), its wholly-owned asset company Arctic Aviation Assets DAC (AAA) and some of AAA’s subsidiaries; NAS will also enter in and get protection of the Irish Examinership process as a related party. Norwegian has chosen an Irish process since its aircraft assets are held in Ireland. Norwegian has taken this decision in the interest of its stakeholders.
Norwegian will continue to operate its route network (currently limited due to the Covid situation) and both its bonds and shares will trade as normal on the Oslo Stock Exchange (Oslo Børs). Norwegian Reward will continue as normal honouring and earning Cash-Points for its members. Safeguarding as many jobs as possible, while rightsizing its asset base, will continue to be a top priority for the management team throughout the process. This is a process under Irish law that may last for up to five months.
It is important to note that due to the Covid situation, several transportation companies have initiated variations of such examinership processes with a positive outcome for customers, employees, shareholders and other stakeholders. Norwegian is therefore confident that it too will successfully emerge as a stronger and leaner airline ready to meet renewed airline travel demand in 2021 after the Covid pandemic subsides.
The Norwegian group’s aviation asset platform is held by companies based in Dublin, Ireland. Arctic Aviation Assets DAC is the parent company of these companies. This business area handles aircraft financing and ownership. Arctic Aviation Assets DAC is a wholly owned subsidiary of Norwegian.
For the latest financial update from the company please refer to third quarter report released on 10th November 2020.
Based on Norwegian’s current cash position and the projections going forward, the Company believes it has sufficient liquidity to go through the above-mentioned process.