Norwegian Air Shuttle ASA — M&A Activity 2015

Dec 16, 2015

Norwegian and OSM Aviation join forces to increase global presence and competitiveness

Norwegian and OSM Aviation join forces to increase global presence and competitiveness

Norwegian Air Resources Holding (NARH) and OSM

Aviation have signed an agreement to form a stronger

global partnership in employment and management of

aviation crew. NARH acquires 50 percent of OSM

Aviation. The new partnership will build on the

experiences of Norwegian's and OSM Aviation's

established relationship offering professional

employment and good career opportunities.

OSM Aviation offers permanent employment and

competitive working conditions for current and future

employees. Through OSM Aviation, Norwegian will also

secure local expertise when expanding globally. OSM

Aviation currently employs more than 1,000 Norwegian

crew members in Sweden, Finland, UK, Spain and the US.

OSM Aviation is offering recruitment, training, crew

management and in-flight services to several

international customers. NARH is a fully owned

subsidiary of Norwegian. The conditions of employment

for pilots and cabin crew remain unchanged.

"By joining forces, OSM Aviation will become one of

the world's leading companies for employment and

management of crew in global aviation. For more than

two years we have had a fruitful and professional

relationship with OSM Aviation. Together we will build

an even stronger global presence and competitiveness

for further expansion in new markets," said CEO of

NARH Krister Aarnio.

"This is an important milestone for us. Through this

partnership we will further strengthen our global

position as a leading and an attractive employer and a

professional provider of quality, competence and human

resources to our customers," said CEO of OSM Aviation,

Espen Høiby.

The new partnership is formed by NARH acquiring a 50

percent stake in OSM Aviation. The joint company will

furthermore acquire a 49 per cent stake in Norwegian's

companies in Spain, Finland and the UK as of June 30,

2016. The local companies are subsidiaries of NARH,

which will retain the majority ownership in these

companies.

The closing of the agreement is subject to The

European Commission approval under the EU Merger

Regulation. The transaction is expected to close by

the end of Q1 2016.

About OSM Aviation

OSM Aviation, who has specialized in the employment

and development of air crew, has about 2,000 employees

in 14 countries. Qualified cabin crew and pilots are

permanently employed in the various countries where

the company has bases. Working conditions and other

terms for employees comply with the laws and

agreements that apply for air crew in the

respective countries. OSM Aviation has experienced a

positive response in the market after launching in

2012, and has already attracted several international

airlines as customers.

Fornebu, 16 December 2015

Norwegian Air Shuttle ASA