OSLO (Reuters) – Norwegian Air’s (OL:) passenger volume fell by 60% year-on-year in March as the company gradually grounded its fleet amid global efforts to halt the spread of the novel coronavirus.
The company has said it will cancel 85% of its flights in the time ahead and furlough 90% of staff while seeking financial aid from Norway’s government.
Norwegian Air last month also said it would start talks with creditors on postponing payments.
“We will provide further financial and business updates to the Oslo Bourse when it is appropriate to do so,” Chief Executive Jacob Schram said in a statement on Monday.
Before the outbreak in Europe of COVID-19, the disease caused by the new coronavirus, Norwegian had set a goal of returning to profit this year after three years of losses.
That goal was scrapped early last month however, and Schram on March 13 said the company needed access to cash liquidity “within weeks, not months.”
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.