Norwegian Air deepens cutbacks in long-haul flights

Norwegian Air Shuttle is making further cuts to its long-haul network in a bid to return the troubled low-cost carrier to profitability this year. The airline is fast reversing a strategy of growth at all costs that increased debt to untenable levels, and will now focus its long-haul routes on London, Rome, Paris, Barcelona and the US, according to a statement Thursday. Norwegian had already reversed the course set by co-founder Bjorn Kjos, who stepped down last July, by selling assets, trimming routes, delaying aircraft deliveries, changing loan terms and raising fresh cash. The moves have shown results with increased efficiency in recent months. And it brought in a new CEO, Jacob Schram, a retail specialist who took his new position on Jan. 1. Norwegian now plans to reduce capacity by 13% to 15% this year compared with an earlier target of 10%, it said while reporting Q4 results. The carrier is also renegotiating contracts with vendors to reduce costs, CFO Geir Karlsen said.<br/>