Norwegian Air says Boeing dispute to be decided in US court

Norwegian Air expects its dispute with Boeing over the cancellation of orders for 97 aircraft to be decided in US legal proceedings and not as part of an Irish restructuring process, a lawyer for the airline said on Friday.

Norwegian was given protection from bankruptcy in both Norway and Ireland, where most of its assets are registered, late last year and is aiming to emerge from the process in April with fewer aircraft and less debt.

On Friday, the airline indicated to the Irish court that it was seeking to repudiate three aircraft sales contracts with Boeing.

But a lawyer for Norwegian later made clear to the court that any repudiation would not impact or prejudge ongoing legal proceedings linked to the contracts in the United States.

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Mr Justice Michael Quinn said he understood the repudiation applications were being brought “out of an abundance of caution” and “without prejudice to the US litigation.”

Meanwhile, the disappearance of billions of dollars' worth of orders from Norwegian has left Europe's Airbus with more cancellations than orders so far this year, company data showed on Friday. – Reuters