Courts / Ireland / Report

'Devastating impact' of Covid sees Norwegian Air's protection extended

Summary

The High Court extended Norwegian Air's examinership protection by 50 days, from 100 to 150 days, after Justice Michael Quinn accepted that Covid‑19's devastating impact justified the extension. The airline's examiner, Mr Kieran Wallace of KPMG, requested the extra time to negotiate a scheme of arrangement with creditors that would allow the company to continue trading. Paul Sreenan SC argued that the pandemic's ongoing uncertainty, new Covid variants, vaccine delivery issues, and disputes over aircraft leases and service contracts hindered the examiner's ability to secure a scheme and fresh investment. The court noted that the examinership of Norwegian Air's Norwegian parent and three Irish subsidiaries is one of the largest and most complex in Irish history. No opposition was raised to the extension, and the court scheduled a hearing for April 16 to approve any scheme of arrangement approved by the creditors.

Who, what, where, when and why

What: Report matter: 'Devastating impact' of Covid sees Norwegian Air's protection extended. Procedural stage: hearing_or_decision

When:

• April 16th Hearing Or Sentence
• 2021-02-19 Publication

Why: Seeking the extension, the airline's examiner Mr Kieran Wallace of KPMG said that extra time was required in order to agree a scheme of arrangement with the airline's creditors, which if approved by the High Court would allow the airline continue to trade as a going concern. CNI source report

Places mentioned

Topics

Stage Hearing Or Decision

Read the original CNI report