A Boeing 737 MAX in Norwegian Air livery.

Boeing Supplying 50 737s in New Norwegian Deal

May 31, 2022
A lengthy dispute over past delivery delays and other technical issues has been settled, with new aircraft acquisitions and purchase options, starting in 2025.

Boeing Corp. and its customer Norwegian Air have reached a settlement in a long dispute that will result in Norwegian will acquire 50 Boeing 737 MAX 8 jets. Norwegian also holds options for 30 more of the same series.

The first 50 aircraft will be delivered between 2025 and 2028. Neither the airline nor the OEM has indicated the value of the new purchase agreement, though it is reported that Norwegian Air is being compensated for a past dispute over delayed deliveries of 737 MAX and 787 Dreamliner aircraft.

Other airlines also have aired dissatisfaction with Boeing’s delivery delays too, and it was reported earlier this year that Norwegian was considering moving its aircraft purchases to Airbus as the dispute lingered.

"This is a landmark deal that sets out a path whereby Norwegian will own a large share of its fleet," board chairman Svein Harald Oeygard said. "This will result in lower all-in costs and increased financial robustness, enabling us to further solidify our Nordic stronghold."

In addition to the Boeing dispute, Norwegian was forced into a bankruptcy reorganization last year, during which time it resorted to leasing aircraft.

In 2012 Boeing announced an $11.4-billion order from Norwegian Air for 100 737 MAX and 22 737-NG aircraft. In 2015 Norwegian placed a $5-billion order for 19 787-9 Dreamliners.

The multiple problems involving the certification of Boeing’s two recently introduced aircraft series led to various delivery delays. Those were followed by the long-running safety concerns that affected the 737 MAX program, and a similar problem that continues to affect the 787 Dreamliner program.

Norwegian Air is one of the largest carries in Europe, offering frequent, low-cost service across the Nordic region and to other business destinations. It also serves Mediterranean and Canary Island tourist destinations.

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