Norwegian has confirmed that all the conditions have been met for its blockbuster deal for 50 Boeing 737 MAX jets.
In May, the low-cost firm said it had reached an “agreement in principle” with the US OEM regarding recommitment to buy a large number of the Boeing narrowbodies.
The purchase centres on 50 examples of the Renton-built type – plus options for up to a further 30. Norwegian said a significant share of the jets will be owned by the company to ensure an “optimised and balanced aircraft financing structure”.
Speaking on June 23, Geir Karlsen, CEO of Norwegian said the breakthrough “constitutes a big leap forward in the strategy to solidify our market position in the Nordics.”
Delivery timeframes for the initial tranche of MAX 8s have been outlined between 2025 and 2028. The Oslo-based carrier says this handover schedule closely corresponds to its current aircraft lease expirations – a move that allows Norwegian “a limited net increase” of its current fleet.
Speaking in late May as the agreement in principle was announced, Svein Harald Øygard, chair of the board of Norwegian, said: “This is a landmark deal that sets out a path whereby Norwegian will own a large share of its fleet. This will result in lower all-in costs and increased financial robustness, enabling us to further solidify our Nordic stronghold.”
At the time of writing, the company fields an all-Boeing 737 inventory, including a pair of leased MAX 8s, SE-RTB (c/n 63972) and SE-RTC (c/n 63973). In its June 23 statement, the airline added that Boeing and Norwegian have filed to “settle all outstanding legal disputes”, paving the way for the deal.