Norse Atlantic ASA

Regulatory Filings • Mar 15, 2022

Norse Atlantic Airways secures London Gatwick slots and adapts launch plans

Norse Atlantic Airways secures London Gatwick slots and adapts launch plans

The current market situation is heavily impacted by the tragic events unfolding

in Ukraine that have resulted in increased fuel prices and uncertainties

relating to travel demand. To ensure that the Company enters the market at the

right time, Norse has adjusted its launch of ticket sales and initial route

offering; the company plans ticket sales to commence in April and first flight

is expected to be in June 2022. At the same time, the Company has secured

important slots at London Gatwick Airport.

"The tragedy unfolding in Ukraine creates uncertainties within international air

transport that we take seriously. Norse's flexible fleet arrangements, low cost

base and strong financial foundation allow us to take a careful approach to

launch. We are in a unique position as we have not yet started flying, which

gives us the advantage to enter the market cautiously in line with demand and

quickly adapt to unforeseen events. A gradual approach where ramp-up is

exclusively driven by demand, will enable us to preserve our strong, debt-free

balance sheet and cost base," said CEO and Founder Bjørn Tore Larsen of Norse.

Norse intends to commence flights in June, flying between Norway and select

destinations in the U.S. It plans to add other European destinations, such as

Paris and London, as soon as the market situation allows. Recently securing

important slots at London Gatwick Airport gives the airline access to one of the

most attractive markets in Europe. The slots were awarded to Norse at no cost by

the UK airport slots coordinator.

"We're thrilled to have been awarded slots to operate flights to and from London

Gatwick Airport as it gives us access to a very attractive market. We look

forward to working closely with the great team at Gatwick Airport," Larsen

said.

The route network will be announced when ticket sales are launched.

"We have the necessary flexibility to quickly adapt to unforeseen events and

ramp up with more aircraft and affordable flights to exciting destinations as

soon as the market situation allows. A highly motivated Team Norse and the fact

that we currently only pay for our aircraft when they are in operation also

gives us a competitive advantage," Larsen added.

"The current global situation makes it challenging to predict the demand for

transatlantic travel. However, we strongly believe that the demand will bounce

-back with full force because people will want to explore new destinations,

visit friends and family and travel for business. Norse will be there to offer

attractive and affordable flights on our more environmentally friendly and fuel

-efficient Boeing 787 Dreamliners to both leisure and cost-conscious business

travelers," Larsen said.

Pilot and cabin crew recruitment

Norse has secured pilots and cabin crew sufficient for the initial routes. A

pilot base has been established in Oslo and the first cabin crew base has been

established in Fort Lauderdale. Training of the pilot and cabin crew instructors

has commenced with a steady ramp-up planned for crew to start to ensure that

Norse only takes on crew cost immediately before take-off. The company has also

started cabin crew recruitment in Oslo and will establish crew bases in several

locations in line with increased operation.

Norse has signed collective bargaining agreements with pilot and cabin crew

unions in Norway, the US and UK.

Dreamliner fleet

Norse has a fleet of modern, more environmentally friendly and fuel-efficient

Boeing 787 Dreamliners. The Company has taken delivery of nine aircraft that are

currently parked at Oslo Airport. The remaining six will be delivered

consecutively in the coming months. The company will start utilizing its fleet

cautiously and gradually add capacity in line with demand.

Norse received its Air Operator Certificate by Norway's Civil Aviation Authority

in December 2021. The airline received a foreign air carrier permit from the

U.S. Department of Transportation in January.