Norwegian Air nearer to rescue deal as bondholders support plan

Norwegian Air Shuttle reached an agreement with bondholders to swap debt for equity, taking the airline one step closer to securing the state loan guarantees needed to keep the struggling carrier afloat. Such loan guarantees were “crucial to getting through the crisis,” CEO Jacob Schram said Sunday. As the airline prepares to hold a shareholder meeting on Monday, Schram said his main priority now is to reach an agreement with the leasing companies that provide their planes. In earlier talks with bondholders, Norwegian Air failed to get the required two-thirds majority support from holders of E250m of bonds, it said on Friday. Talks continued into the weekend with May 4 as a deadline, the date when shareholders are scheduled to vote on the restructuring plan.<br/>