Norwegian Air Shuttle: Wikis

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Norwegian Air Shuttle ASA
IATA
DY
ICAO
NAX
Callsign
Nor Shuttle
Founded 22 January 1993
Hubs
Frequent flyer program Norwegian Reward
Fleet size 46 (+70 firm orders)
Destinations 85
Headquarters Diamanten, Fornebu, Bærum, Norway
Key people Bjørn Kjos (CEO)
Bjørn H. Kise (Chair)
Website http://www.norwegian.com/

Norwegian Air Shuttle ASA (OSE: NAS), trading as Norwegian, is the second-largest airline in Scandinavia and the fourth-largest low cost carrier in Europe. In 2009, it transported 10.8 million people on 150 routes to 85 destinations in 27 countries, spanning Europe and to North Africa and the Middle East. As of March 2010, Norwegian operates 28 Boeing 737-300 and 18 Boeing 737-800 aircraft, with an order and option for another 92 -800. The main hub is Oslo Airport, Gardermoen, with secondary hub operations at Bergen, Trondheim, Stavanger, Oslo-Rygge, Copenhagen, Stockholm-Arlanda and Warsaw. It offers a high-frequency domestic flight schedule within Scandinavia, combined with a low-frequency service to international destinations from its focus cities.

Norwegian was founded in 1993 as a regional airline taking over routes in Western Norway after the bankruptcy of Busy Bee. Until 2002, it operated Fokker 50 aircraft on wet lease for Braathens. Following the merger of the two domestic incumbents Braathens and Scandinavian Airlines, Norwegian took the opportunity to establish a domestic low-cost carrier. It has since expanded quickly, establishing itself in Warsaw and purchasing Swedish airline FlyNordic in 2007, and entering the Copenhagen market in 2008. The same year it saw the delivery of its first brand new Boeing 737-800. The airline has announced that it is planning on starting intercontinental flights.

Contents

Operations

Boeing 737-8Q8 LN-NOL was the 6000th 737 to be built

Norwegian is a low-cost airline with elements of a network company. It is the second-largest airline in Scandinavia, fourteenth-largest in Europe overall, and the fourth-largest low-cost carrier in Europe. In 2008, the airline transport 9.8 million passengers with a revenue of NOK 6.2 million, up 43% from the previous year. It employees about 1,500 people.[1] The company is headed by chief executive officer and largest owner Bjørn Kjos and the board is chaired by Bjørn H. Kise.[2] The company's head office is located in Diamanten at Fornebu outside Oslo.[3] The airline is a member of European Low Fares Airline Association and listed on the Oslo Stock Exchange.

The parent company Norwegian Air Shuttle ASA operates the airlines services in Norway and Denmark. Services in Sweden are operated by subsidiary Norwegian Air Shuttle Sweden AB and in Poland by Norwegian Air Shuttle Polska Sp.zo.o. Norwegian Air Shuttle also hold 100% of the telephone company Call Norwegian, 99.9% of NAS Asset Management, 100% of NAS Asset Management (which owns the remaining 0.1% of NAS Asset Management) and 20% of Bank Norwegian.[4] The group holds to air operator's certificates, one form Norway (ICAO airline designator NSA) and one in Sweden (NDC).[5] The main technical base is at Stavanger, although heavy maintenance (C/D checks) and engine maintenance are put out on tender.[citation needed] Norwegian purchases all aircraft ground handling from third parties, in Norway, these are Røros Flyservice and Norport Handling.[citation needed]

Norwegian operates aircraft with all-economy class seating. Surcharge are taken for on-board food and drinks, check-in baggage, payment by credit card and other non-core services.[6] The airlines runs two frequent flyer programs: Norwegian Reward is for travelers, who earn cash point based on a percent of cash paid for tickets and the ticket class. Corporate Reward allows companies to redeem cash points on a similar basis. By law, frequent flyer points cannot been collected on domestic flights in Norway.[7]

Destinations

Map of Norwegian's domestic routes in Norway

Norwegian serves 85 destinations in 27 countries on three continents.[8] Norwegian operates bases as five airports in Norway—Oslo Airport, Gardermoen; Moss Airport, Rygge; Trondheim Airport, Værnes; Stavanger Airport, Sola and Bergen Airport, Flesland[9][10]plus at Stockholm-Arlanda Airport in Sweden,[11] Copenhagen Airport in Denmark[12] and Warsaw Frédéric Chopin Airport in Poland.[13]

Domestic services are provided within Norway, Sweden and Denmark.[8] Most domestic services and selected international services operate with several flights per day, with the busiest being Oslo–Bergen with 14 and Oslo–Trondheim having 12 daily round trips. Services to Southern Europe typically have from a daily to a weekly service.[14] The airline has code sharing agreements with Rossiya on Norwegian's Oslo – Saint Petersburg route,[15] and with Wings of Bornholm, who fly the Copenhagen–Rønne route.[16]

Fleet

Interior of a conventional Boeing 737-300 cabin, seating 148

As of January 2010, the Norwegian Air Shuttle fleet consists of 28 Boeing 737-300 and 18 Boeing 737-800.[17] All but seven aircraft are leased.[citation needed] The -300 have CFM 56-3C1, giving a range of 2,000 nautical miles (3,700 km; 2,300 mi). The aircraft seat 148 passengers and four are retrofitted with winglets and more spacious Recaro seats.[17]

The -800 are equipped with winglets and CFM 56-7B26 engines. Except for the first seven aircraft, all have tech-insert technology to reduce fuel consumption. All -800s have a longer range than the -300, allowing 2,400 nautical miles (4,400 km; 2,800 mi). they are the only craft used to the Middle East, Africa and the Canary Islands; otherwise both types are used throughout the network, plus all domestic services in Sweden. The initial delivery of 12 -800 had 189 seats, but the remaining will be provided with 186 seats to increase passenger legroom; they will also be equipped with Dreamliner mood lighting and Recaro seats.[17] In 2010, Norwegian Air Shuttle will receive 13 new Boeing -800. For 2011, 2012, 2013, and 2014 the corresponding figures are 14, 10, 10, and 5, respectively.[citation needed]

The aircraft livery is white with a red nose. Some of the aircraft have a portrait of a notable Norwegian, Swede or Dane on the tail.[18] Norwegian has also operated a single aircraft in the an advertisement livery for the insurance company Silver.[19]

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Existing Fleet

Norwegian previously operated seven McDonnell Douglas MD-80 inherited from FlyNordic
Type Number Orders Options Seats Notes
Boeing 737-300 28 0 0 148 4 retrofitted with winglets
Boeing 737-800 18 52 42 186–189 All configured with winglets

Historic fleet

Type Quantity Introduced Retired Ref
Fokker 50 7 1992 2004 [17][20]
Boeing 737-500 1 2002 2003 [17][21]
McDonnell Douglas MD-82 5 2008 2009 [17][22]
McDonnell Douglas MD-83 2 2008 2009 [17][22]

History

The routes operated on behalf of Braathens in Western Norway during the 1990s

Regional airline

Norwegian Air Shuttle (NAS) was founded on 22 January 1993 to take over the regional airline services produced by Busy Bee for Braathens in Western Norway. Busy Bee, founded in 1966, was a subsidiary of Braathens that operated a fleet of Fokker 50 aircraft for charter. This included the network of regional services between cities on the West Coast operated on wet lease for the mother company. Following the bankruptcy, NAS took over three leased Fokker 50 aircraft, and started operating from Bergen Airport, Flesland to Haugesund Airport, Karmøy, as well as from Bergen to Molde Airport, Årø or Kristiansund Airport, Kvernberget and onwards to Trondheim Airport, Værnes. The company was established and owned by former Busy Bee employees and initially had a work force of fifty.[23][24] It was based in Bergen, bus later established a technical base in Stavanger.[25]

From 1 April 1994, the airline also began service from Bergen to Ålesund Airport, Vigra.[26] In 1995, the company received its fourth Fokker 50s, and had a revenue of NOK 86.6 million and a profit of NOK 2.9 million. It flew 50 daily services.[27] In 1996, the airline bid for the public service obligation (PSO) rotues along the West Coast in cooperation with Tyrolean Airways, but lost the tender to the incumbent Widerøe.[28] NAS wanted NOK 267 million for the routes, while Widerøe only bid NOK 113 million.[29]

Bjørn Kjos is Norwegian's largest owner and chief executive officer

By 1999, the company had six Fokker 50s and flew 500,000 passengeres on 20,000 flights.[30][25] The company had a revenue of NOK 172 million and a profit of NOK 13 million. NAS submitted a new bid for the PSO routes in 1999, but did not win any.[31] On 2 June 2000, NAS bought the helicopter operator Lufttransport from Helikopter Service.[30] In 2000, the NAS fleet was expanded to seven Fokker 50s. The same year, Braathens threatened to terminate their agreements with NAS from 2003, and purchase smaller aircraft themselves for the routes and others.[25] From 2 January 2001, several Braathens routes were terminated, including the NAS-operated services from Kristiansund to Trondheim and Molde. The routes from Bergen to Haugesund were reduced from five to three round trips, and the Bergen–Molde–Trondheim route was reduced from four to three.[32] The cuts forced the airline to retire on of its aircraft.[33]

In October 2001, NAS failed in bidding for the PSO route from Bodø to Røst.[34] On 2 November, NAS bought the Swedish helicopter operator Ostermann.[35] On 7 January 2002, NAS took over the responsibility for the route from Stavanger to Newcastle, flying two round trips per day. This was the first route where the airline did not wet lease the aircraft to Braathens, but instead operated the flights on their own risk. On the same day, Widerøe started a single round trip on the route.[36]

After Braathens was bought by Scandinavian Airlines System (SAS) in November 2001, NAS attempted to negotiate a deal where they took over the operations on a permanent basis for their own risk. This was rejected by SAS, who wanted their subsidiary SAS Commuter or Widerøe to take over. NAS had a 18-month cancellation time on their arrangement.[37]

Low-cost carrier

Boeing 737-300 taxiing to the runway, with Henrik Ibsen fin

Following the decision of SAS and Braathens to merge, NAS announced in April 2002 that it was planning to start domestic scheduled services as a low-cost carrier on the most trafficked routes. The company stated that this was conditional that the authorities banned frequent flyer programs and hindered SAS from cross-subsidizing routes to underbid Norwegian on those routes.[38]

From 1 September 2002, the airline re-branded as Norwegian.[39]

The airline has opened a second hub, at Warsaw Frederic Chopin Airport in Poland, flying to Central European destinations. There are two Boeing 737 operating from Warsaw[40]. Norwegian Air Shuttle ASA announced 24 April 2007 that they had bought 100% of the Swedish low cost airline FlyNordic; becoming the largest low-cost airline in Scandinavia. As part of the deal with the former owner, Finnair got a 5% stake in Norwegian.[41]

On 23 August 2007, Norwegian announced that it would initiate scheduled operations from 18 February 2008 at the new Moss Airport, Rygge south of Oslo,[10] with the military airport also opening for commercial traffic and located at about the same distance from Oslo as Gardermoen. Norwegian's initial 14 scheduled routes from Rygge were Alicante, Athens, Barcelona, Belgrade, Bergen, Budapest, Istanbul, London, Málaga, Marrakech, Palanga/Klaipeda, Szczecin, Valencia and Warsaw. Norwegian claims flights from Rygge will generally be cheaper than those from Gardermoen.[42] In February 2008 Norwegian announced their first destination outside Europe, non-stop to Dubai from Oslo-Gardermoen and Stockholm-Arlanda.

After the bankruptcy of competitor Sterling Airlines, Norwegian announced that they would open a new hub at Copenhagen Airport and service the most profitable routes. Flights to Aalborg and Stockholm as well as additional flights to Oslo would start immediately, with flights to London, Amsterdam and Rome to follow "shortly after".

On 30 August 2007, Norwegian ordered 42 new Boeing 737-800 aircraft, with an option for 42 more, an order worth US$ 3.1 billion[43]. The planes will enter the fleet between 2008 and 2014, approximately 10 each year. The first 737-800 arrived at Oslo Airport, Gardermoen, Norway, on 26 January 2008. It was registered LN-NOB, and has a tail picture of the Norwegian composer and pianist Edvard Grieg. Norwegian Air Shuttle ordered winglets on the new aircraft, and it was said the aircraft would be stationed at Moss Airport, though most of its flights operate out of Oslo. The plane made its first scheduled flight on 1 February. LN-NOC, which was the second 737-800 that was entering the fleet, was bought used from Air Europa. A milestone was achieved on April 17, 2009, when Norwegian received LN-NOL, the 6000th 737 ever built.[44] In February 2010, Norwegian Air Shuttle bought Diamanten, the former Braathens and later SAS head office at Fornebu.[3]

References

  1. ^ "Facts". Norwegian Air Shuttle. https://www.norwegian.com/about-norwegian/facts/. Retrieved 5 March 2010. 
  2. ^ "Management". Norwegian Air Shuttle. http://www.norwegian.com/about-norwegian/facts/organization/management/. Retrieved 5 March 2010. 
  3. ^ a b Schmidt, Øystein (25 February 2010). "Kjos klinker til med realt kupp" (in Norwegian). Hegnar Online. http://www.hegnar.no/publikasjoner/finans/article411480.ece. Retrieved 4 March 2010. 
  4. ^ "Corporate Structure". Norwegian Air Shuttle. http://www.norwegian.com/about-norwegian/facts/corporate-structure/. Retrieved 5 March 2010. 
  5. ^ "Operations". Norwegian Air Shuttle. http://www.norwegian.com/about-norwegian/facts/operations/. Retrieved 5 March 2010. 
  6. ^ "Service". Norwegian Air Shuttle. http://www.norwegian.com/about-norwegian/facts/operations/service/. Retrieved 5 March 2010. 
  7. ^ "Norwegian Frequent Flyer Programme". Norwegian Air Shuttle. http://www.norwegian.com/customer-services/norwegian-reward/. Retrieved 5 March 2010. 
  8. ^ a b "Route map". Norwegian Air Shuttle. http://www.norwegian.com/en/flight/route-map/. Retrieved 5 March 2010. 
  9. ^ "Norwegian kjøper FlyNordic" (in Norwegian). Norwegian Air Shuttle. 2007. http://www.norwegian.no/om-norwegian/presse/pressemeldinger/nyhetsarkiv-2007/Norwegian-kjoper-FlyNordic/. Retrieved 5 March 2010. 
  10. ^ a b "Norwegian satser stort på Rygge" (in Norwegian). Norwegian Air Shuttle. 2007. http://www.norwegian.no/om-norwegian/presse/pressemeldinger/nyhetsarkiv-2007/Norwegian-satser-stort-pa-Rygge/. Retrieved 5 March 2010. 
  11. ^ "FlyNordic blir Norwegian" (in Norwegian). Norwegian Air Shuttle. 2008. http://www.norwegian.no/om-norwegian/presse/pressemeldinger/nyhetsarkiv-2008/FlyNordic-blir-Norwegian-/. Retrieved 5 March 2010. 
  12. ^ "Norwegian utvider med 12 nye ruter i Danmark" (in Norwegian). Norwegian Air Shuttle. 2008. http://www.norwegian.no/om-norwegian/presse/pressemeldinger/nyhetsarkiv-2008/Norwegian-utvider-med-12-nye-ruter-i-Danmark-/. Retrieved 5 March 2010. 
  13. ^ "Norwegian satser i det polske markedet" (in Norwegian). Norwegian Air Shuttle. 6 April 2006. http://www.norwegian.no/om-norwegian/presse/pressemeldinger/nyhetsarkiv-2006/Norwegian-satser-i-det-polske-markedet/. Retrieved 5 March 2010. 
  14. ^ "Route map". Norwegian Air Shuttle. http://www.norwegian.com/about-norwegian/facts/operations/route-portfolio/. Retrieved 5 March 2010. 
  15. ^ "Code-Share agreements". Rossiya. http://www.rossiya-airlines.com/en/about/aboutus/airlinespartners/codeshare/. Retrieved 11 March 2010. 
  16. ^ "Norwegian i codeshare med Wings of Bornholm". Boarding.no. 16 March 2010. http://www.boarding.no/art.asp?id=40813. Retrieved 16 March 2010. 
  17. ^ a b c d e f g Norwegian Air Shuttle. "Q4/2009 interim report". http://www.norwegian.no/Global/global/ir/reports/interimreports/2009/doc/Q4%2009%20Presentation.pdf. Retrieved 13 February 2010. 
  18. ^ "Max Manus halehelt på Norwegians nyeste fly" (in Norwegian). Boarding.no. 11 March 2010. http://www.boarding.no/art.asp?id=40763. Retrieved 11 March 2010. 
  19. ^ "Silver og Norwegian har inngått et nytt og spennende samarbeid: Lanserer Norges første logojet" (in Norwegian). Norwegian Air Shuttle. 14 September 2006. http://www.norwegian.no/om-norwegian/presse/pressemeldinger/nyhetsarkiv-2006/Silver-og-Norwegian-har-inngatt-et-nytt-og-spennende-samarbeid-Lanserer-Norges-forste-logojet-/. Retrieved 11 March 2010. 
  20. ^ Airfleets. "Fokker 50 in Norwegian Air Shuttle history". http://www.airfleets.net/flottecie/Norwegian%20Air%20Shuttle-history-f50.htm. Retrieved 17 September 2009. 
  21. ^ Airfleets. "Boeing 737 in Norwegian Air Shuttle history". http://www.airfleets.net/flottecie/Norwegian%20Air%20Shuttle-history-b737.htm. Retrieved 17 September 2009. 
  22. ^ a b Airfleets. "McDonnell Douglas MD-80/90 in Norwegian Air Shuttle history". http://www.airfleets.net/flottecie/Norwegian%20Air%20Shuttle-history-md80.htm. Retrieved 17 September 2009. 
  23. ^ "Norwegian Air Shuttle på ruinene etter Busy Bee" (in Norwegian). Norwegian News Agency. 27 January 1993. 
  24. ^ Valderhaug, Rune (28 January 1993). "Nytt selskap flyr fra Bergen" (in Norwegian). Bergens Tidende. 
  25. ^ a b c Larsen, Trygve (13 October 2000). "Vil fly selv" (in Norwegian). Dagens Næringsliv. 
  26. ^ Valderhaug, Rune (20 January 1994). "Braathen vil ikke fly direkte Bergen Nord-Norge" (in Norwegian). p. 6. 
  27. ^ Sæthre, Lars N. (24 August 1996). "Nye aktører kjemper om Widerøe-nett" (in Norwegian). Aftenposten: p. 27. 
  28. ^ Lillesund, Geir (1 November 1996). "Widerøes med enerett på kortbanenettet" (in Norwegian). Norwegian News Agency. 
  29. ^ Sæthre, Lars N. (2 November 1996). "Widerøe gjorde rent bord" (in Norwegian). Aftenposten. 
  30. ^ a b "Norwegian Air Shuttle kjøper Lufttransport AS" (in Norwegian). Norwegian News Agency. 2 June 2000. 
  31. ^ Larsen, Trygve (8 February 2000). "Helt propell" (in Norwegian). Dagens Næringsliv: p. 13. 
  32. ^ Lillesund, Geir (15 November 2000). "Braathens fortsetter omleggingen - kutter kortruter" (in Norwegian). Norwegian News Agency. 
  33. ^ Pedersen, Eivind (16 November 2000). "Derfor stuper Braathens" (in Norwegian). Dagbladet: p. 8. 
  34. ^ "Fem flyselskap vil drive flyruten Røst-Bodø" (in Norwegian). Norwegian News Agency. 23 October 2001. 
  35. ^ "Norsk selskap skal fly legehelikopter i Sverige" (in Norwegian). Norwegian News Agency. 2 November 2001. 
  36. ^ Dahl, Flemming (7 January 2002). "Svenneprøve for lite flyselskap Luftkamp over Nordsjøen" (in Norwegian). aftenposten. 
  37. ^ Larsen, Trygve (11 January 2002). "NAS inn for landing" (in Norwegian). Dagens Næringsliv. 
  38. ^ Dahl, Flemming (17 April 2002). "Lavprisselskap kan ta av" (in Norwegian). Aftenposten: p. 23. 
  39. ^ "Directory: World Airlines". Flight International: p. 57. 2007-04-10. 
  40. ^ Quartely report 3rd quarter 2006
  41. ^ Norwegian to strengthen Scandinavian network with FlyNordic acquisition ATW Daily News, April 25, 2007.
  42. ^ Aftenposten: Rygge success for Norwegian (Norwegian)
  43. ^ Reuters: Norwegian Air places $3.1 bln Boeing order
  44. ^ http://www.vg.no/reise/artikkel.php?artid=562010.

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