Posted on: 16 January 2014 by Mark Howells
Norwegian and gategroup have agreed to extend their partnership for Norwegian’s long-haul services for three years until April 2017.
gategroup will focus on ‘last mile’ services and continue delivering amenity kits, equipment and security services to Norwegian. The two companies worked very closely together to launch Norwegian’s long-haul product. Furthermore, Gate Gourmet will continue to provide ‘last mile’ services to Norwegian’s short-haul network.
In April 2014, Gate Retail Onboard (GRO) will be terminating retail services for Norwegian’s short-haul flights as part of the Group’s ongoing restructuring efforts in Europe. GRO will no longer be the “merchant of record” for Norwegian and consequently this will lead to a consolidated annual decrease in revenue of approximately CHF 50 million (CHF 34 million in 2014) at the Group level, with an expected neutral impact to the EBITDA.