Norwegian Air begs for cash as bankruptcy looms

Norwegian Air may have to halt operations early next year.

That was the warning from the airline Tuesday (November 10), as it issued another plea for rescue funding.

In a statement the carrier said it was dependent on getting extra capital to keep operating through the first quarter of 2021.

The latest plea comes a day after Norway’s government rejected requests for more aid.

Following that rejection the company said it would furlough 1,600 more staff.

That leaves just 600 people still working, compared to 10,000 before this year’s travel slump.

Only six of its 140 aircraft are now operating, down from 21 last month.

In a further sign of trouble, the board representative of its biggest shareholder resigned Tuesday.

Some analysts say it all points to a likely collapse.

One industry expert at Bernstein told Reuters a liquidity crunch could come very soon, with few visible ways out.

Though Norwegian says it still hopes to raise cash by selling aircraft and other assets.

Shares in the firm have lost 99 percent of their value this year as its troubles deepened.