Oslo-based Norse, which was launched earlier this year with the aim of replicating Norwegian Air’s low-cost transatlantic model, has said there will be no redundancies as a result of its decision to remove excess capacity on certain US routes and to operate its Los Angeles route on a seasonal basis.

Norse has already subleased four of its 13 aircraft, with negotiations ongoing over a fifth. A further two are still due to join the Norse fleet. It has secured them on "power by the hour" agreements, meaning it only pays for them when they are flying.

"The company expects to have 10 aircraft in operation at the height of the summer season including a greater presence out of London Gatwick," said Norse, which confirmed on Monday (10 October) it would firm up its "core summer 2023" schedule in early November and place flights on sale through to October 2023. "Other routes will be announced in due course," it added. "The company looks forward to ramping up cabin and flight crew recruitment in 2023, ahead of its expanded summer schedule."

Norse flew its inaugural Gatwick-New York JFK service in August via Oslo, and is planning to extend its summer 2023 schedule at Gatwick after gaining a UK air operator certificate. However, it will go up against three rival carriers at Gatwick – British Airways, new entrant JetBlue, and Delta, which will return to Gatwick for the first time for more than 10 years.

On its decision to remove excess capacity on certain US routes this winter and to operate Los Angeles on a seasonal basis, Norse said that the changes would not result in redundancies, adding it expected the move to result in higher load factors and yield over the winter months.

“We have taken swift action to adjust our winter schedule and remove excess capacity from our network in light of lower expected demand, high fuel prices and rising global inflation," said Norse chief executive Bjorn Tore Larsen.

"The flexibility provided by our power by the hour aircraft lease agreements has allowed Norse Atlantic to lower cash burn over the winter period in anticipation of ramping up operations for a strong summer 2023 season," Larsen continued. "We are pleased bookings for our remaining core winter routes remain strong and that ticket sales have been increasing as we expand our distribution network."

’Early booking patterns’

Norse has added several new distribution channels in recent months, including Skyscanner and Google Flights, which it said had resulted in an "immediate positive increase on forward bookings. "During the winter season, traffic from the US to Europe is expected to remain strong with the net effect of the strong US dollar against the Euro and the British pound encouraging early booking patterns," said Norse.

The carrier operated 338 flights in September, 98% of its schedule – a small decrease on August owing to cancellations resulting from airport closures during Hurricane Ian, which hit Florida late last month. It carried 62,749 passengers, up 7% month-on-month. Load factor was 56%, down on August, with Norse pinning the decline on "excess capacity on specific routes in the network".