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Norwegian Air bondholders reject debt conversion plan, but talks continue

FILE PHOTO: A Norwegian Air plane is refuelled at Oslo Gardermoen airport, Norway November 7, 2019. REUTERS/Lefteris Karagiannopoulos/File Photo

OSLO (Reuters) - Some of Norwegian Air's NWC.OL bondholders have rejected a proposed debt-to-equity swap, the airline said on Friday, casting doubt on the plan seen as vital to help the indebted carrier survive the COVID-19 pandemic.

“Our dialogue with the bondholders continues with the clear goal of reaching a solution. Unfortunately, we were not able to reach an agreement within the deadline,” CEO Jacob Schram said in a statement.

“However, the discussion is continuing through the weekend to find a solution.”

Reporting by Gwladys Fouche, editing by Terje Solsvik