Norwegian Air Shuttle ASAQ4 2016 Presentation 16 February 2017

Highlights Q4 2016

Final approval for NAI by the US Department of Transportation (DOT)

Reported EBITDA of NOK 673 million (-266)

Q4 load factor up 1 p.p. to 86 %

Added three new Boeing 737-800, one 787-9 Dreamliner and the first two Airbus 320neos

Started 15 new routes in Q4

Norwegian.com voted best low-cost airline website at The World Travel Awards

Norwegian Reward reached 5 million members

2

Highlights FY 2016

Reported EBITDA of NOK 3.1 bn (1.5)

Full-year load factor up 2 p.p. to 88 %

Added 17 new 737-800, four 787-9 Dreamliners and two 320neos

34 new routes, including nine new intercontinental routes

Launched new crew bases in Rome and Palma

Start-up of routes between several US cities and Paris

SkyTrax awards for World’s Best Long Haul Low-Cost Airline (second time) and Europe’s Best Low-Cost Airline (fourth year in a row)

3

7 million passengers in Q4 2016 (+17 %)

4Pax (mill) 2.0 2.2 2.8 3.3 4.0 4.4 5.2 5.6 6.1 7.2

0

1

2

3

4

5

6

7

8

Q4 07 Q4 08 Q4 09 Q4 10 Q4 11 Q4 12 Q4 13 Q4 14 Q4 15 Q4 16

Pass

enge

rs (m

illio

n)

+ 17 %

Q4 load factor of 86 % (85 %)

5ASK 2,122 2,783 3,432 4,516 5,461 6,517 9,176 11,142 11,909 15,109

Load Factor 77.6 % 76.2 % 76.1 % 77.4 % 78.5 % 76.7 % 77.9 % 80.7 % 84.9 % 85.8 %

77.6 % 76.2 % 76.1 % 77.4 % 78.5 % 76.7 % 77.9 %80.7 %

84.9 % 85.8 %

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

01,0002,0003,0004,0005,0006,0007,0008,0009,000

10,00011,00012,00013,00014,00015,00016,00017,00018,00019,00020,000

Q4 07 Q4 08 Q4 09 Q4 10 Q4 11 Q4 12 Q4 13 Q4 14 Q4 15 Q4 16

Load

Fact

or

Avai

labl

e Se

at K

M (A

SK)

ASK Load Factor Load+0.9 p.p.

27 % growth in capacity (ASK)

28 % growth in traffic (RPK)

Average flying distance increased by 8 %

Market share up at all key airports

6

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

Oslo Arlanda Copenhagen Helsinki Gatwick Spanish bases

Q4 11 Q4 12 Q4 13 Q4 14 Q4 15 Q4 16

+ 1,096,000 pax 42 % mkt share

+ 495,000 pax21 % mkt share

+ 486,000 pax17 % mkt share

+ 185,000 pax14 % mkt share

+ 657,000 pax11 % mkt share

+ 1,661,000 pax5 % mkt share

Mkt:26 mill

Mkt:27 mill

Mkt:146 mill

Mkt:42 mill

Mkt:17 mill

Mkt:29 mill

Source: 12 month rolling passengers as reported by Avinor, Swedavia, Copenhagen Airports, Finavia, Gatwick Airport, Aena

Over 3.6 million passengers in Spain (+1.1 million) in FY 2016Strongest passenger growth in Spain, US and UK3 % passenger growth in Norway (adj. for the strike in 2015)

Growth in number of passengers in 2016 (%): Split passengers by origin for 2016:

More than 1 million new passengers in Spain

7

8

Key revenue drivers: More customers, new ancillary products and Reward

Q4 unit passenger revenue -13 % to 0.32 (-8 % in constant currency)

An average 18 % revenue growth over the last five years

15 % revenue growth in Q4

Total revenue 3,106 3,786 4,602 5,319 6,102Passenger 2,709 3,187 3,768 4,324 4,796% y.o.y. chg 23 % 18 % 18 % 15 % 11 %Anci l lary 340 458 663 774 927% y.o.y. chg 16 % 35 % 45 % 17 % 20 %Other 57 140 172 220 379% y.o.y. chg 14 % 145 % 23 % 28 % 72 %

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

Q4 12 Q4 13 Q4 14 Q4 15 Q4 16

NO

K m

illio

n

Other

Ancillary

Passenger

Total revenue

+ 15 %

20 % growth in total ancillary revenue in Q4

9

Per passenger sales increased by 2 % to NOK 129 in Q4

Seasonal variation

Full-year 2016 per passenger of NOK 134 (+5 %)

Split by category:

A total of 50 intercontinental routes in 2017

10

Adding USA - Barcelona and Copenhagen - San Francisco in 2017More new routes to be announced and adding frequency to existing routes

Scaling up the Dreamliner fleet to 32 by 2018

11

2013 2014 2015 2016 2017 2018

Aircraft 3 7 8 12 21 32Seats 873 2 037 2 328 3 704 6 800 10 584

Deliveries 787-8(291 seats)

Deliveries 787-9(344 seats)

Widebody aircraft (delivered and firm orders)

Key figures and estimated Dreamliner growth

12

2013 2014 2015 2016ASK (mill ion) 1,571 8,087 10,388 14,681 Load Factor 89 % 87 % 93 % 93 %Passengers 192,579 941,265 1,293,767 1,872,694 Legs 769 3,683 4,799 6,668

2016 2017P 2018PASK 14 681 23 500 47 000 growth 41 % 60 % 100 %Legs 6 668 10 400 19 500 growth 39 % 60 % 100 %

2016 2017P 2018PASK 14,681 23,500 47,000 growth 41 % 60 % 100 %Legs 6,668 10,400 19,500 growth 39 % 60 % 100 %

Forecast Dreamliners

Key figures Dreamliners

Adding 32 new aircraft in 2017

13

8 58 11 1320

22 2323 22

115 5

2

2 55 5

55 5

5

7 16 21

2325 29

2927 23 19 15

28

1013

13

13 1719

19

2

7 15 23

30 41 5164

7981

6 16

2

55

9

14

20

1

23

3

7

12

8 11 1322

3240

46

5762

68

85

9599

116

144

163

0

20

40

60

80

100

120

140

160

2003year-end

2004year-end

2005year-end

2006year-end

2007year-end

2008year-end

2009year-end

2010year-end

2011year-end

2012year-end

2013year-end

2014year-end

2015year-end

2016year-end

2017year-end

2018year-end

B788/B789 owned

B788/B789 leased

B737 MAX 8 owned

B738 owned

B738 S&LB

B738 leased

B733 owned

B733 leased

M80 leased

2017:Deliveries 787-9

+3096 seatsDeliveries 737-800 and 737Max

+4,296 seatsRe-deliveries 737-800

-744 seats

Unit cost comparison based on the latest full-year results (in NOK)

14

Sources: Based on official full-year 2015 annual report for Norwegian Air Shuttle, Finnair, Vueling, SAS Group (31.10.2015), Easyjet (30.09.2015), and full-year 2015 report for Ryanair and WizzAir (31.03.2016). Eurowings figures are from the “Eurowings Management Presentation” 10.06.2016.

• Cost per available seat kilometer is an industry-wide cost level indicator often referred to as “CASK”. Usually represented as operating expenses before depreciation and amortization (EBITDA level) over produced seat kilometers (ASK). • Foreign exchange rates used are equivalent to the daily average rates corresponding to the reporting periods and as stated by the Central Bank of Norway• Note: For some carriers the available financial data represents Group level data which may include cost items from activities that are unrelated to airline operations.• Other losses / (gains) is not included in the CASK concept as it primarily contains hedge gains/losses offset under financial items* as well as other non-operational income and/or cost items such as gains on the sale of spare part inventory and unrealized foreign currency effects on receivables/payables and (hedges of operational expenses).

*Norwegian hedges USD/NOK to counter foreign currency risk exposure on USD denominated borrowings translated to the prevailing currency rate at each balance sheet date. Hedge gains and losses are according to IFRS recognized under operating expenses (other losses/ (gains) while foreign currency gains and losses from translation of USD denominated borrowings are recognized under financial items.

Financials

15

EBITDA improved to NOK 673 million in Q4

16

Q4 13 Q4 14 Q4 15 Q4 16 Q4 13 Q4 14 Q4 15 Q4 16EBITDA margin -1 % -19 % -5 % 11 % EBT margin -7 % -26 % -13 % 5 %

-41

-869

-266

673

-1,000

-800

-600

-400

-200

0

200

400

600

800

NO

K m

illio

n

-283

-1,185

-703

300

-1,500

-1,250

-1,000

-750

-500

-250

0

250

500

NO

K m

illio

n

EBT development Q4EBITDA development Q4

(NOK million) Q4 16 Q4 15 Chg 2016 2015 Chg

Revenue 6,102 5,319 783 26,055 22,491 3,564

EBITDAR 1,357 295 1,062 5,958 3,694 2,264

EBITDA 673 (266) 940 3,116 1,481 1,635

Pre-tax profit (EBT) 300 (703) 1,003 1,508 75 1,433

Net profit 197 (373) 571 1,135 246 889

Clean EBITDA* increased to NOK 3.2 bn

17* Clean EBITDA: Reported EBITDA adj. for other losses/gains and non-recurring items

NOK million Q4 16 Q4 15 Chg 2016 2015 Chg

Revenue 6,102 5,319 783 26,055 22,491 3,563

EBITDA as reported 673 -266 940 3,116 1,481 1,635

Other losses/gains 852 -515 1,367 577 -474 1,051

EBITDA ex. other losses/gains -179 249 -427 2,540 1,955 584

Non-recurring items: - industry action - - - -110 - additional expense engine overhaul - - - -118 - extra passenger compensation and refunds - - -192 - - writedown assets for sale, gain SLB 75 -60 104 -60 - wetlease -60 - -529 -105 Sum non-recurring items 15 -60 -617 -393

Clean EBITDA -194 309 -502 3,157 2,348 808 Margin clean EBITDA -3.2 % 5.8 % 12.1 % 10.4 %

Margin recovery following long haul build-up

18

-10%

-5%

0%

5%

10%

15%

20%

25%

EBITDAR-margin (12 months rolling) EBIT-margin (12 months rolling)

Financial crisis

Fuel pricedrop

launched Long haul

Q4 unit cost cut by 2 % to NOK 0.42

1 % lower unit cost in constant currency

Unit cost ex. fuel decreased 1 % to NOK 0.32 (flat in constant currency)

19Other losses / (gains) is not included in the CASK concept as it primarily contains hedge gains/losses offset under financial items* as well as other non-operational income and/or cost items such as gains on the sale of spare part inventory and unrealized foreign currency effects on receivables/payables and (hedges of operational expenses).*Norwegian hedges USD/NOK to counter foreign currency risk exposure on USD denominated borrowings translated to the prevailing currency rate at each balance sheet date. Hedge gains and losses are according to IFRS recognized under operating expenses (other losses/ (gains) while foreign currency gains and losses from translation of USD denominated borrowings are recognized under financial items.

Cost per ASK (CASK) NOK 0.56 0.63 0.49 0.47 0.48 0.45 0.42 0.43 0.43 0.42

CASK ex. fuel 0.41 0.42 0.40 0.36 0.33 0.30 0.28 0.30 0.32 0.32

0.41

0.42 0.400.36

0.330.30

0.280.30

0.32 0.32

0.15

0.21

0.15

0.11 0.15

0.15 0.14

0.13 0.10 0.10

0.00

0.05

0.10

0.15

0.20

0.25

0.30

0.35

0.40

0.45

0.50

0.55

Q4 07 Q4 08 Q4 09 Q4 10 Q4 11 Q4 12 Q4 13 Q4 14 Q4 15 Q4 16

Ope

ratin

g co

st E

BITD

A le

vel p

er A

SK (C

ASK)

CASK ex. fuel

Fuel share of CASK

Cost per ASK (CASK) (NOK) 0.53 0.56 0.49 0.46 0.46 0.45 0.42 0.42 0.42 0.41

CASK ex. fuel 0.40 0.37 0.38 0.34 0.32 0.31 0.29 0.29 0.31 0.32

0.40

0.37 0.380.34

0.32 0.310.29 0.29

0.31 0.32

0.130.19

0.15

0.120.14 0.14

0.14 0.140.11 0.09

0.00

0.05

0.10

0.15

0.20

0.25

0.30

0.35

0.40

0.45

0.50

0.55

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Oper

atin

g co

st EB

ITDA

leve

l per

ASK

(CAS

K)

CASK ex. fuel

Fuel share of CASK

Full-year unit cost cut by 3 % to NOK 0.41

6 % lower unit cost in constant currency

Unit cost ex. fuel increased 2 % to NOK 0.32 (-1 % in constant currency)

20Other losses / (gains) is not included in the CASK concept as it primarily contains hedge gains/losses offset under financial items* as well as other non-operational income and/or cost items such as gains on the sale of spare part inventory and unrealized foreign currency effects on receivables/payables and (hedges of operational expenses).*Norwegian hedges USD/NOK to counter foreign currency risk exposure on USD denominated borrowings translated to the prevailing currency rate at each balance sheet date. Hedge gains and losses are according to IFRS recognized under operating expenses (other losses/ (gains) while foreign currency gains and losses from translation of USD denominated borrowings are recognized under financial items.

Full impact of lower fuel cost

Stable personnel cost at 16 %

Fuel cost share reduced to 22 %

Status on fuel hedging:52 % of 2017 at USD 49414 % of 1H 2018 at USD 497

21

0.00

0.02

0.04

0.06

0.08

0.10

0.12

0.14

0.16

Q4 11 Q4 12 Q4 13 Q4 14 Q4 15 Q4 16

12 mths rolling 12 mths rolling 12 mths rolling 12 mths rolling 12 mths rolling 12 mths rolling

Personnel

Other

Technical

Airport/ATC

Leasing

Depreciation

Sales & Distribution

Handling

Fuel

Fuel22 %

Personnel16 %

Airport & ATC12 %

Handling12 %

Leasing10 %

Technical9 %

Gen. and adm. exp.

5 %

Other flight ops. exp.

4 %

Depr.4 %

Sales/ distrib.

2 %

NOK 3 bn cash-flow from operations in 2016

22

Invested NOK 6.5 bn in new aircraft of which NOK 3.2 bn financed by own cash

NOK 2.3 bn in cash at the end of Q4 (+NOK 0.7 bn in undrawn facility)

NOK million Q4 16 Q4 15 Chg 2016 2015 Chg

Profit before tax 300 -703 1,003 1,508 75 1,433 Paid taxes - - - -29 -44 16 Depreciation 338 367 -29 1,296 1,133 163 Change air traffic settlement liabilities -445 -186 -259 652 1,049 -397 Change working capital 13 245 -231 -381 143 -524 Net cash flows from operating activities 206 -278 483 3,047 2,357 690 Net cash flows from investing activities -1,112 -657 -455 -6,512 -5,189 -1,323 Net cash flows from financial activities 981 1,081 -100 3,303 3,282 21 Foreign exchange effect on cash 16 11 5 33 -7 40 Net change in cash and cash equivalents 90 158 -67 -131 443 -574 Cash and cash equivalents, end of period 2,324 2,454 -131 2,324 2,454 -131

2,454Cash

2,324

2,657Receivables

3,470

2,102 Other assets

2,241

5,939

Aircraft PDP 7,156

18,482

Aircraft22,572

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

Q4 15 Q4 16

NO

K m

illio

n

Equity4,049 2,965

Pre-sold tickets4,666 4,014

Otherliabilities

5,573 5,070

PDP and bonds5,895

4,695

Aircraft financing

17,580

14,890

Q4 16 Q4 15

Equity improved by NOK 1.1 bn

23

Added 13 new 737-800 on balance the last 12 months + PDP’s

NOK 21 bn net debt (from 17 bn in 2015)

11 % equity ratio (9 %). 16 % when adding market value of Bank Norwegian (NOFI)

Debt mix:

Number of aircraft:

0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

8 000

9 000

10 000

2017 2018 2019 2020 After 2020NO

K m

illio

n

Long-term financing PDP Bonds

Balanced mix of funding

24

30 aircraft financed in US capital markets, 37 by export credits

3.7 % average interest rate on long-term aircraft financing

95 % of AC financing on fixed rates

# aircraft B737 B787 A320Export credits 34 3EETC 10Private placement/banks 20 2SLB 17Leasing 23 9Total 104 12 2

Debt maturity profile:

Financing on track

Expected capex (all aircraft incl. PDP)USD 1.8 bn for 2017 (reduced from USD 2.1 bn)USD 2.1 bn for 2018 (increased from USD 2.0 bn)

PDP financing / liquidityPDP financing for 50 320neos in placeNew unsecured bond in January (SEK 800 million)New credit facility (NOK 1 bn)

Long-term financingEx-Im and ECA guaranteed financingEETC financingPrivate placementsSale leaseback (SLB)Banks

25

Outlook for 2017

Markets and businessNegative impact from passenger tax in Norway

Weaker demand in the UK post Brexit

Booking volumes on par with last year, capacity adjusted

An estimated production growth (ASK) of 30 % (unchanged)737-800 / 737 MAX +20 %, 787 Dreamliners +60 %

Increasing distance driven by mix

Unit cost target of NOK 0.39 to 0.40 (up from 0.38 to 0.39)Assumptions: Fuel price of USD 500 per metric ton, USD/NOK 8.25, EUR/NOK 9.00

Impact of SLB (leasing is included in CASK) and ramp-up of intercontinental operations

Based on the current route portfolio and planned production

32 new aircraft entering operations in 201717 737-800 (returning four old leased aircraft)

Six 737 MAX

Nine 787-9 Dreamliners (incl. five leased)

Three 320neos to be leased out to HK Express (Seven neos delayed)26

Summary

Strongest full-year result in the history of Norwegian

Building load factor

Continued passenger growth

Preparing for global expansion

Launch of new intercontinental routes with the 737 MAX in 2017

Financing on track

27

Norwegian operates 471 routes to 130 destinations

28

From bases in

SWEDEN DENMARK FINLAND

From the

UK base

From bases in

SPAIN

Intercontinental

From bases in

NORWAY