“This agreement is an important step in Norwegian’s plan to build an efficient and modern fleet for the future.
“The flexibility of ‘power-by-the-hour’ will allow us to manage our capacity through the low season adjusting for variations in seasonal demand,” said Geir Karlsen, chief executive of Norwegian.
Delivery will begin shortly to enable Norwegian to fulfil the announced summer 2022 flying programme with approximately 270 routes.
The lease term for each aircraft is for nine years.
The agreement includes ‘power-by-the-hour’ (PBH) arrangements for both the IATA winter seasons 2021/22 and 2022/23, giving Norwegian necessary flexibility to manage capacity through the low season.
Norwegian has the option, under the agreement, to substitute the subject 737 MAX 8 aircraft for new technology narrow-body aircraft from Airbus.
The lessor is well reputed and has a longstanding relationship with Norwegian.
The transaction will enable Norwegian to continue its focus on offering the most environmentally friendly travel options for our customers.
Norwegian at one point had 100 737 Max planes on order with Boeing, but has been forced to dramatically scale back its ambitions following the grounding of the aircraft type and financial difficulties caused by the Covid-19 pandemic.