Norwegian seeks to postpone bond repayments

Low-cost airline Norwegian announced Monday that it had asked bondholders for a two-year extension on debt worth some 350 million euros (US$380 million) as part of a move to shore up the company and "relieve financial pressure."

The airline, Europe's third-largest budget carrier by passenger numbers, told creditors it would put up its take-off and landing slots at London Gatwick Airport as collateral.

It said it hoped to delay payments of 250 million euros due next December and 964 million Swedish kronor, or 89.5 million euros, due August 2020, seeking to postpone the bonds expiration until November 2021 and February 2022 respectively.

Creditors are due to meet on September 16 to examine the firm's proposal.

Norwegian, one of the new players in Argentina's own low-cost market, is also said to be eyeing an external partner to invest in the firm. 

The airline operates in Argentina under the name Norwegian Air Argentina S.A.U., which is owned by Norwegian Air Shuttle. 

– TIMES/AFP