Long-haul discounter Norse Atlantic sees London expansion as key to profits
Startup budget airline Norse Atlantic Airways is betting that a significant expansion of transatlantic flights from London will deliver it profits after posting a loss for its first year of operations. The Oslo-based carrier expects a profit in the second half of 2023 driven by the launch of six new routes between London Gatwick and the US beginning in May. The new routes will be operated by Norse’s new UK-based subsidiary, Norse Atlantic UK. The airline launched in June 2022, initially flying to four US destinations — Fort Lauderdale, Los Angeles, New York JFK, and Orlando — from Oslo and Berlin. It also opened a JFK route from London Gatwick. “As we enter into our first full summer season in 2023 the initial substantial investments that were necessary to launch Norse Atlantic Airways operations, and subsequently establish our UK-based airline, will have created a strong and sustainable company, ready to swiftly seize on new opportunities and navigate through an unpredictable global economic environment,” Norse CEO Bjorn Tore Larsen said. Airlines forecast a busy summer travel period across the North Atlantic. In January, United Airlines Chief Commercial Officer Andrew Nocella said they expect “record” revenues in the market this summer. Others, including Air France, Iberia, and JetBlue Airways, are adding new flights to take advantage of the demand. And Norse’s own forward bookings give it confidence in turning a profit during the six months that begin in July. Still, despite the growth, industry capacity between the U.S. and Europe for the peak June-to-August period will be down roughly 3 percent compared to 2019, according to Diio by Cirium schedules.Norse’s expansion, which has not been loaded in schedules yet, includes three new destinations: Boston, San Francisco, and Washington Dulles. The airline will serve the markets nonstop from Gatwick, as well as add a new flight to Los Angeles from London with the four routes beginning between June and September. Norse previously unveiled new nonstops between London Gatwick and both Fort Lauderdale and Orlando that begin in May.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2023-03-01/unaligned/long-haul-discounter-norse-atlantic-sees-london-expansion-as-key-to-profits
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Long-haul discounter Norse Atlantic sees London expansion as key to profits
Startup budget airline Norse Atlantic Airways is betting that a significant expansion of transatlantic flights from London will deliver it profits after posting a loss for its first year of operations. The Oslo-based carrier expects a profit in the second half of 2023 driven by the launch of six new routes between London Gatwick and the US beginning in May. The new routes will be operated by Norse’s new UK-based subsidiary, Norse Atlantic UK. The airline launched in June 2022, initially flying to four US destinations — Fort Lauderdale, Los Angeles, New York JFK, and Orlando — from Oslo and Berlin. It also opened a JFK route from London Gatwick. “As we enter into our first full summer season in 2023 the initial substantial investments that were necessary to launch Norse Atlantic Airways operations, and subsequently establish our UK-based airline, will have created a strong and sustainable company, ready to swiftly seize on new opportunities and navigate through an unpredictable global economic environment,” Norse CEO Bjorn Tore Larsen said. Airlines forecast a busy summer travel period across the North Atlantic. In January, United Airlines Chief Commercial Officer Andrew Nocella said they expect “record” revenues in the market this summer. Others, including Air France, Iberia, and JetBlue Airways, are adding new flights to take advantage of the demand. And Norse’s own forward bookings give it confidence in turning a profit during the six months that begin in July. Still, despite the growth, industry capacity between the U.S. and Europe for the peak June-to-August period will be down roughly 3 percent compared to 2019, according to Diio by Cirium schedules.Norse’s expansion, which has not been loaded in schedules yet, includes three new destinations: Boston, San Francisco, and Washington Dulles. The airline will serve the markets nonstop from Gatwick, as well as add a new flight to Los Angeles from London with the four routes beginning between June and September. Norse previously unveiled new nonstops between London Gatwick and both Fort Lauderdale and Orlando that begin in May.<br/>
