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Norwegian Air wins breathing room
December 7, 2020
An Irish court granted bankruptcy protection to struggling Norwegian Air’s Irish subsidiaries on Monday. The decision also temporarily protects the airline’s Oslo-based parent company from creditor claims, giving it some badly needed breathing room in the battle to save it from permanent grounding.
Norwegian Air won more time to work out its massive financial problems, when an Irish court granted it protection from creditors on Monday. PHOTO: Norwegian Air/David Peacock
Business news service
E24 reported Monday evening that the bankruptcy protection means creditors can’t demand payment or declare the airline bankrupt themselves. Large aircraft leasing companies that have unwillingly become large shareholders in Norwegian made it clear they wouldn’t oppose a bankruptcy protection order, in the hopes Norwegian can restructure its operations, slim down its fleet and deal with its heavy debt.