OSLO, Sept 3 Budget airline Norwegian Air
Shuttle plans to set up bases in New York and Fort
Lauderdale next year and will significantly increase services
between the Nordics and America as it gets more Boeing
Norwegian, the first budget airline in recent years to offer
transatlantic services, will fly to Los Angeles, San Francisco
and Orlando on top of its routes to Fort Lauderdale and New
York, Chief Executive Bjoern Kjos told a news conference on
Norwegian placed Europe's biggest aircraft order last year
when it bought 222 planes from Boeing and Airbus. It has been
one of Europe's most successful carriers, taking market share
from SAS and also moving outside its traditional Nordic
market with bases in London and Spain.
It is also one of the most successful stocks on the Oslo
bourse with its shares up 105 percent over the past 12 months.
Still, many analysts consider the stock undervalued as it is
trading at 7.8 times its expected 2014 earnings, well below an
average of around 10 for European peers.
Norwegian launched long-haul services earlier this year when
it received its first of eight Dreamliners, and it has recorded
a 96 percent load factor on those flights.
The firm says it can operate long-haul flights 30 percent
cheaper than traditional airlines, primarily because of the
Dreamliner's lower operating cost.