Posting a loss of well over $100m USD the airline laid its woes squarely at the door of Boeing and the 737 Max. It expects the total loss for that aircraft’s problems alone to reach around $60m over the first half of the year.
Even so, there’s still a fundamental financial loss beyond that – and it’s not decreasing as fast as many had hoped or expected. Having only just been re-capitalised by a share issue that only really succeeded by being underwritten, Norwegian is burning through cash.
The airline might get something back from Boeing, but that’s more likely to be credit against new aircraft than cash.
Norwegian is also said to be looking at alternate aircraft types – maybe actually using the Neo’s it has on order for itself doesn’t seem such a bad idea anymore.
Either way the vultures will be watching – Norwegian has almost reached the bottom of the financial barrel. In another year to 18 months it might find it has nowhere left to go but sell.