Pegasus Airlines has completed its €154 million acquisition of Smartwings Group and Czech Airlines following Czech regulatory approval. Smartwings will remain a distinct brand, including its operations and subsidiaries in the Czech Republic, Slovakia, Poland and Hungary. The transaction significantly expands Pegasus’ European presence and combines two sizeable narrowbody fleets, while Czech Airlines itself ceased branded operations in 2024.

Air France-KLM has submitted its final offer for up to 49.9% of TAP Air Portugal, proposing Lisbon as its exclusive southern European hub while retaining TAP’s Portuguese identity and developing passenger, cargo and MRO activities. Lufthansa has also submitted an improved final bid, leaving the two groups as the remaining contenders. Portugal is expected to identify its preferred investor by mid-October 2026.

Global airline passenger demand fell 0.8% year-on-year in August 2026, largely reflecting a 14.6% decline among Middle Eastern carriers, according to IATA. Excluding the Middle East, global demand increased 0.6%, while overall load factor slipped to 85.1% despite a 0.3% increase in capacity. North American demand declined 2.2%, while Latin America and the Caribbean led growth at 5.3%.