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Norwegian-2

Old 14th Feb 2018, 19:40
  #181 (permalink)  
 
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EIFFS

The truth isn't going to stop someone bleating on about things they know little of.
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Old 14th Feb 2018, 20:38
  #182 (permalink)  
 
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Grrr

Blimey! Another failing to recognise the results of a democratic vote!
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Old 14th Feb 2018, 20:48
  #183 (permalink)  
 
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Unfortunately too many people voted with their heart, not their head. The remain campaign failed to engage people's emotions.
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Old 14th Feb 2018, 21:13
  #184 (permalink)  
 
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Could we try to keep this thread for discussion about Norwegian rather than Brexit please ?
There's a thread on Brexit in JetBlast with over 25,000 comments - I imagine people will be only too happy to debate Brexit with you there...
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Old 14th Feb 2018, 21:24
  #185 (permalink)  
 
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Actually, Norwegian UK is not as big as implied in post #182. They have 1 x 737 and 11 x 787.
On the other hand, Norwegian Air International, based in Ireland has 69 x 737, Norwegian Long Haul, based in Norway, boasts 13 x 787 and Norwegian Air Argentina has just 1 x 737.
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Old 14th Feb 2018, 21:35
  #186 (permalink)  
 
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For now yes but over time we're see more of those aircraft added to Norwegian UK AOC as it grows.
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Old 14th Feb 2018, 21:43
  #187 (permalink)  
 
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Originally Posted by pax britanica View Post
Why does Uk allow foreign entities to make money at our expense -with Brexit in place we can evict Norwegian and Ryanair can't we ?

?
So evict foreign companys because they make money in UK like
Walmart
Honda
Toyota
Nissan
BMW
DHL
Fujitsu
Aldi
Lidl
Ford
GM

Interesting
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Old 14th Feb 2018, 23:35
  #188 (permalink)  
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Originally Posted by pax britanica View Post
There is always a cost for low prices so how do Norwegian do it especially as HQ is in one of worlds most expensive countries

Why does Uk allow foreign entities to make money at our expense -with Brexit in place we can evict Norwegian and Ryanair can't we ?

After all could hardly do a reciprocal deal to attack new customers in Norway which has the population of Watford , our Government would never allow a foreign airline of debately financial stability to siphon off huge amounts of UK based traffic in ridiculously un-balanced traffic relationships would they?
Behold the 200 year argument between free trade and protectionism.
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Old 15th Feb 2018, 03:02
  #189 (permalink)  
 
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More like 2000 years!

https://en.m.wikipedia.org/wiki/A_Splendid_Exchange
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Old 15th Feb 2018, 05:24
  #190 (permalink)  
 
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So back on track, what are the bookings like for the new Buenos Aires route from Gatwick?
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Old 15th Feb 2018, 06:35
  #191 (permalink)  
 
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Originally Posted by KelvinD View Post
Actually, Norwegian UK is not as big as implied in post #182. They have 1 x 737 and 11 x 787.
On the other hand, Norwegian Air International, based in Ireland has 69 x 737, Norwegian Long Haul, based in Norway, boasts 13 x 787 and Norwegian Air Argentina has just 1 x 737.
Maybe the airline isnít as big as implied but there is still the small matter of RR engines which keep a few people in Derby off the streets
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Old 15th Feb 2018, 08:53
  #192 (permalink)  
 
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Originally Posted by PDXCWL45 View Post
It's called the free market. Also Norwegian have an UK AOC so they are a UK airline and what they are doing is no different to Easyjet in the EU.
It is actually closer to what Easyjet will be doing in the UK. EasyJet corporate is in the process of becoming majority EU and not UK owners (by changing a shareholder's declaration). From that point EasyJet UK will be in the same boat as Norwegian Longhaul UK, BA, TUI UK, and VS. They are all going to be majority owned by non UK entities, most of them by EU shareholders. I can imagine that TCX will end up that way to preserve Condor (or they will have to divest a portion of it).

Of course there is the issue that a number of countries may prohibit UK registered aircraft and crew from flying after March 2019 as the CAA does not, currently, have the authority or expertise to maintain airworthiness as they surrendered that ability to EASA in the past. Of course there are a number of deals that could be made to prevent this, but no action could be catastrophic. This isn't including the increased regulatory cost that UK carriers will face going forward if the CAA's rules are not harmonised with the US and EU.
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Old 15th Feb 2018, 17:38
  #193 (permalink)  
 
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Australia?

Norwegian may offer budget flights from Australia to UK | Daily Mail Online
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Old 15th Feb 2018, 20:45
  #194 (permalink)  
 
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At what point do the CAA look closely at the finances of this shambles of an airline now that much of the long haul is on a UK AOC?
When Monarch were in problems there were aircraft all over the place to rescue pax.
It's a long way to Argentina.
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Old 16th Feb 2018, 09:31
  #195 (permalink)  
 
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There is just an implausibility to it all. You canít lose money and then say weíre going to add more aircraft and capacity to grow to profitability.
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Old 16th Feb 2018, 09:37
  #196 (permalink)  
 
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From what I understand their issue is yield, they don't seem to have a problem filling the aircraft (especially on long haul). There are plans in place for example to increase the Premium seating, and have a more focused approach to ancillary revenue. They seem to know where the issues are, and if they can address them, then they can keep growing.
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Old 16th Feb 2018, 11:40
  #197 (permalink)  
 
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If this was a tech stock no one would bat an eyelid, but of course it’s not!

I’m only surprised that loss isn’t greater, put simply you can’t add aircraft and crews at the rate Norwegian have this past year especially long haul and the forward investment required and make money, last year the likes of Titan made more money from Norwegian than clearly Norwegian made for themselves, this apparently won’t happen this year, but with 11 Dreamliner being added and all those new routes net profits will be slim to say the least.

I think that provided they can trade through the summer then good profitability will return but this industry is very sensitive to geopolitical events that are almost impossible to predict.

This is a very different situation to Monarch
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Old 16th Feb 2018, 12:14
  #198 (permalink)  
 
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Looks a lot like Air Berlin to be honest, time for a shake up somewhere at the top with a more cautious board. Feels like time is running out.
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Old 16th Feb 2018, 12:35
  #199 (permalink)  
 
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Australia ?! Is the Daily Fail having a laugh ? On a per kilometre basis it's a low yield route and up against some of the best airlines in the world and their A380s. EK would eat Norwegian for breakfast !

As for trying to improve yield by going premium, when they realize full planes doesn't necessarily mean big profits ? Well I suppose that's been tried and tested over the years by names like Laker, People Express and Air Berlin and it worked out well for them.

Would love to be proved wrong, but this increasingly looks like an airline that has lost its way
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Old 16th Feb 2018, 12:39
  #200 (permalink)  
 
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The business model is fundamentally flawed. Although they like to claim otherwise, Norwegian havenít reinvented the wheel.

Low cost short haul works because costs can be cut to the very bone, aircraft utilisation is massive and so on. That just isnít the case with long haul, it never has been and never will be. It would only ever work like IAG are doing it, where they go after a section of the market that would otherwise not be flying with their other brands, but in a way that complements their existing operations. Size and economies of scale being critical but even then there are no guarantees the model would work.

The 787 is a very pricey aircraft to purchase and/or lease. Yes itís fuel efficient but not enough to make the difference for an Airline like Norwegian. Itís one of the reasons Level are flying the A330. I believe that if the oil price was closer to $100, Norwegian would already be consigned to the history books. The real issue is yield, or lack of it. Iíve read an analysis of the numbers stating that Norwegianís break even load factor for 2017 was 95.9% and the 4th quarter was 99.4% That tells you all you need to know.

The current marketplace is probably as good as it gets for the industry. In that market, theyíre producing woeful results. Given their cash situation, the competition they face & their aircraft orders etc. Iíd give them 18 months at best.
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