The ultralow-cost carrier Norwegian Air will introduce 19 transatlantic routes this summer, bringing its total transatlantic count to 45. Meanwhile, last week Norwegian announced that it will begin flying to Denver and Seattle in September from London Gatwick. Senior editor Robert Silk caught up with Norwegian senior vice president of sales Lars Sande at the CAPA Aviation Americas Summit in Orlando early this month to discuss those routes as well as some of Norwegian's other industry-changing, sometimes controversial moves.
Q: Let's start with the recent news. Why did you choose Denver and Seattle as your latest U.S. destination announcements?
Lars Sande
A: We have a top 10 of destinations that we want to do at any time, and both have been on our list for quite awhile. Now that we're getting new aircraft coming, I think it is the right time.
Q: Were these routes facilitated in any way by the recent DOT approval of your Irish subsidiary, Norwegian Air International (NIA)?
A: No. These were just part of the growth plan. The NAI approval was more related to the 737 Max plan. We would have done this anyway.
Q: You just referenced the 737 Max routes. Those are the ones you will fly under the NAI certificate from Hartford, Conn.; Providence, R.I.; and New York's Stewart Airport to Scotland, Ireland and Norway. Are you confident that the Trump administration will leave the approval in place despite the pushback from U.S. airline unions?
A: I think we are doing exactly what [President] Trump asked. We are buying American aircraft, and we are hiring American crews to fly these routes. And the number of seats sold has been just great, both from the U.S. and the Irish and the Scottish sides. This is definitely something that our customers want. And it gives those regions easy access to the U.K. and Ireland, but also vice versa.
Q: Were you surprised when just a few weeks after Trump took office, his press secretary, Sean Spicer, made supportive comments about NAI?
A: That was more or less what we were hoping for, so we weren't surprised.
Q: Hoping for, sure. But were you expecting it?
A: I wouldn't say we were surprised.
Q: Are you concerned about the coming increases in low-cost transatlantic competition? Wow is expanding. IAG just founded Level, and the legacy U.S. airlines are offering basic economy seats.
A: I think it's a good thing. The last 20 years the transatlantic market was controlled by the alliances. Getting more competition out there with Wow, or whoever it is, just bring it on and we will see more Americans getting lower fares [and] being able to travel more to Europe than they've ever done before.
Q: How do you view the basic economy offerings of legacy carriers like Delta compared with direct, low-cost carrier competition?
A: I think it will be harder for the legacy carriers. They can compete on fares, but you need to be able to compete on the costs of the operation, as well. Just by offering seats at the low price doesn't bring costs down. It is very important to have the right equipment and to be able to compete, and we'll see who survives.
Q: Any hints on future U.S. routes?
A: I can't give you any hints, but we are getting more Dreamliners this year so there will be more announcements later this year.
Q: Norwegian is planning to partner with Ryanair, and in so doing connect your transatlantic low-cost service with Ryanair's extensive European network. When might that happen?
A: That might happen within the next three months. We'll keep on with the discussions until we find a way going forward together.