As previously announced, securing long-term agreements with unions representing Icelandair’s crew and aircraft maintenance technicians are one of the prerequisites for the financial restructuring of Icelandair Group that is currently underway. The Company has already made agreements with the Icelandic Airline Pilots Association and the Association of the Icelandic Aircraft Maintenance Technicians. The discussions with the Icelandic Cabin Crew Association that have been ongoing over the past weeks have not been successful. Icelandair presented its final offer for a new collective bargaining agreement to the Icelandic Cabin Crew Association this week, which was designed to ensure the long-term competitiveness of the Company and at the same time protect good compensation and working conditions. This offer has been declined.

Icelandair Group has concluded that it is unlikely that the discussions with the Icelandic Cabin Crew Association will return a result. The Company will evaluate all possible options before deciding on next steps. As stated before, it is important to secure a long-term agreement with unions as part of the financial restructuring and the Company continues to work towards that goal before the planned share offering takes place.

Contact information

Investors: Iris Hulda Thorisdottir, Director Investor Relations. E-mail: iris@icelandairgroup.is
Media: Asdis Petursdottir, Director Communications. E-mail: asdis@icelandair.is