ARC NEWS
FAA orders US airlines to reduce flights from 7 November
November 07, 2025
The US Federal Aviation Administration will initiate a 10% reduction in capacity at 40 locations across the country from 7 November to deal with air traffic control staffing pressures as the government shutdown continues. Speaking in a press conference on 5 November, US transportation secretary Sean Duffy says that the month-long shutdown is impacting air traffic controller numbers, particularly as some are "taking side jobs" as they are not being paid, which is leading to "additional pressure that is building in the system". In the same press conference, FAA administrator Bryan Bedford explains that the agency has identified "issues of fatigue that our flight controllers are experiencing". He goes on to say: "We have identified 40 high traffic environments [where a] 10% reduction in scheduled capacity would be appropriate to continue to take the pressure off our controllers, and as we continue to see staffing triggers there will be specific measures that we will take in those specific markets." Other measures that will be implemented from 7 November include restrictions on space launches and restrictions on VFR traffic in some areas. Specific details on the cuts are expected to be announced in the coming days as airlines work proactively to reduce their schedules. Cirium schedules data shows that on 7 November there are 23,542 flights scheduled to operate within the United States, generating over 3.05 million seats. Soon after the press conference, United Airlines issued a statement from chief executive Scott Kirby saying that its hub-to-hub flying will not be impacted by the schedule reduction, which will focus on regional and domestic mainline flights that do not travel between its key hubs. American Airlines and Southwest Airlines both state that they expect most customers will be unaffected by the cuts. "We continue to urge Congress to immediately resolve its impasse and restore the National Airspace System to its full capacity," Southwest adds.


Spirit cutting 150 corporate and operational jobs
November 06, 2025
Spirit Airlines is cutting around 150 jobs this week from its corporate and operational teams. "As part of our ongoing restructuring, we are making further adjustments to align our organisation with our smaller fleet and redesigned network," the airline says. "These decisions are never made lightly, and we are committed to treating affected team members with compassion and respect." Spirit is in the process of restructuring under Chapter 11 for a second time. Its debtor-in-possession financing has been approved by a US bankruptcy court and it is set to reject as many as 58 leased aircraft.


Cathay Pacific to buy back Qatar Airways stake
November 06, 2025
Qatar Airways has agreed to sell its entire 9.57% stake in Cathay Pacific back to the Hong Kong carrier in a HK$6.97 billion ($896 million) all cash transaction, subject to approval from independent shareholders. A circular to the independent shareholder is expected to be issued by 26 November, which will include the date of an extraordinary general meeting for shareholders to assent to the deal, Cathay says in a stock exchange statement. After the sale is transacted, Swire Pacific and Air China's stakes will rise to 47.7% and 31.8%, respectively. The remaining 20.5% of shares will be in free float. "The buy-back reflects our strong confidence in the future of the Cathay Group and underscores our commitment to the development of the Hong Kong international aviation hub," says Cathay Group chair Patrick Healy. Qatar Airways chief executive Badr Mohammed Al-Meer says that the agreement reflects its disciplined approach to managing its portfolio and delivering sustainable value to its shareholders. "Following a period of record profitability and strong performance, this decision is part of a proactive strategy to optimise our investments and position the group for long-term growth," he adds. HSBC is the financial adviser to Qatar Airways, while Somerley Capital is the independent financial adviser to the independent board committee and shareholders of Cathay. Qatar Airways purchased a 9.61% stake in Cathay from conglomerate Kingboard Chemical for HK$5.16 billion in 2017 and later increased its stake to 9.99%, but has not been entitled to appoint a director to the Hong Kong carrier's board. Cirium schedules data shows that the two carriers have an extensive codeshare relationship covering several routes from their Doha and Hong Kong hubs.


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