Bogi Nils Bogason, President & CEO
“The MAX aircraft were intended to cover 27% of Icelandair’s passenger capacity in 2019. For this reason, the position in which the Company now finds itself as a result of the suspension of the MAX aircraft is without any precedent and has a significant impact on the operations and performance of the Company. In these circumstances, our key focus has been on minimising the impact of the suspension on the Company, our passengers and the Icelandic tourism industry by adding leased aircraft to our fleet during the summer. We have also placed emphasis on ensuring seating capacity to and from Iceland, with the result that the number of Icelandair’s passengers travelling to Iceland has increased by 39% in the second quarter compared to the same period last year. Despite these mitigating measures, which have prevented major cancellations of flights, the situation has caused considerable disruptions in our flight schedule and our operations. This has in turn impacted our passengers and presented us with complex challenges. Our employees have done an outstanding job under very difficult circumstances during the peak season, where they have joined forces to resolve matters for our passengers as successfully as possible.
The objective of the Company remains clear – to improve the profitability and operations of the Company. We have taken a number of measures over the recent months that are already beginning to return results. The Company’s performance, if the estimated impact quantified to date of suspension of the MAX aircraft is excluded, has improved between years, with EBIT positive by USD 25.9 million, up by USD 45.7 million from the preceding year.
Furthermore, an experienced international investor, PAR Capital Management, joined the Company’s shareholder base in April and, in addition, we signed an agreement on the sale of Icelandair Hotels and related real estate in July. Both of these developments will strengthen Icelandair's position further and provides an important confirmation of the favourable outlook for the Company and future opportunities in Icelandic tourism.”
Presentation meeting and webcast 2 August 2019
An open presentation for shareholders and investors will be held on Friday 2 August 2019 at the Icelandair Hotel Reykjavik Natura. Bogi Nils Bogason, President & CEO of Icelandair Group, and Eva Sóley Guðbjörnsdóttir CFO will present the Company’s results and answer questions, together with other senior management. The presentation will be held in Room 2 and starts at 08:30 am. Breakfast will be served from 08:00 am. The presentation material will be available after the meeting on the Icelandair Group website, www.icelandairgroup.is, and on the Nasdaq Iceland hf. news system.
The meeting can be followed in real time in Icelandic on the following website