The Norwegian Air carrier on Monday was approved a rescue plan after winning support from a majority of its shareholders.
The airline has been hit hard by the coronavirus outbreak, with 95% of its fleet grounded and its operations reduced to a minimum. It has also temporarily laid off about 90% of its workforce.
More than 96% of the shareholders agreed to swap their equity for debt. The company can now access loan guarantees worth 3 billion kroner (€267 million) from the government.
The airline said that, at a first stage, it will operate domestically in Norway and Sweden and between the Nordic capitals “to deliver on its corporate responsibility of maintaining critical infrastructure so that people and necessary goods and medical supplies can be transported during this unprecedented crisis”.
Last week, Norwegian warned that virtually all of its 160 fleet would remain grounded until 2021, with just seven flying at the moment, mainly transporting essential cargo on state-subsidised domestic flights in Norway.
