Norwegian Air:

Norwegian Air Shuttle, a low-cost carrier based in Norway, which is also one of the largest low-cost carrier in the Europe recently announced that they will be cancelling orders of 97 Boeing aircraft.

Order Cancellation:

Norwegian Air cancelled orders of 97 Boeing aircraft. The cancellation includes the Boeing 737 Max which is said to go for re-certification and Boeing 787 Dreamliner.

The airline will be taking compensation from the U.S. based aircraft manufacturer Boeing. This is because of the groundings of the Boeing 737 Max and the Boeing 787’s due to problem with its engines. The Oslo based airline told on Monday.

The airline is said to take compensation from U.S. Based aircraft manufacturer for financial losses because of two aircraft types. This is due to the global grounding of the Boeing 737Max and the current global situation due to COVID19. The virus has hit several airlines and disturbed the Operation of the low-cost carriers in the Europe.

The Boeing 737Max is out of operations since March 2019, after the 2 deadly crashes which involved the same aircraft which raised serious safety issues due to which aircraft is still grounded all around the world and it is still unknown when the aircraft will be re-certified by the FAA and considered safe to fly.

Compensation from Boeing & Rolls Royce:

The airline also mentioned, that the talks with the U.S. Manufacturer, haven’t led to an agreement and a reasonable compensation until now.

The airline has taken legal steps to claim the pre-delivery payments. The airline is also in talks with the Rolls Royce Aerospace, for compensation and it is still unknown when the airline would file a legal claim against Rolls Royce or not.

Boeing 787 fleet equipped with the RR Trent 1000 (Rolls Royce) engines have some technical issues which were noticed by the Manufacturer, leading to the grounding of the aircraft, resulting in unwanted disruption in the Airline Operations and significant losses to the Airline.

COVID19 Impact: 

The airline currently is only operating on lesser number of routes since the outbreak of the virus. They are using lesser number of aircraft in the fleet. The airline is also planning to expand its operations in the coming months with network upto 76 destinations across Europe by bringing more aircraft back into the skies.

Image Credits: Norwegian

 

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