Boeing to resume issuing 737 and 787 airworthiness certificates
September 29, 2025
The US Federal Aviation Administration has delegated to Boeing the issuing of airworthiness certificates "for some" 737 Max and 787 aircraft. The FAA notes that this "limited delegation" becomes effective on 29 September. The regulator adds that in 2019 it stopped allowing Boeing to issue airworthiness certificates for Max jets following the Lion Air and Ethiopian Airlines crashes, and for 787s in 2022 "because of production quality issues". The FAA says it is now "confident" that Boeing can safely issue airworthiness certificates for Max jets and 787s. "This decision follows a thorough review of Boeing's ongoing production quality and will allow our inspectors to focus additional surveillance in the production process," the regulator says. "The FAA will continue to maintain direct and rigorous oversight of Boeing's production processes."
Air Canada cuts guidance after C$375 million strike impact
September 26, 2025
Air Canada has restored and reduced its full-year guidance to reflect a C$375 million ($270 million) hit to its third-quarter earnings due to industrial action by its flight attendants, which had led the carrier to suspend its outlook in August. Prior to suspending guidance last month, Air Canada had forecast that full-year capacity would increase by 1-3% and adjusted earnings before interest, tax, depreciation and amortisation would be C$3.2-3.6 billion. The airline now expects a capacity increase of 0.5-1.5% and adjusted EBITDA of C$2.9-3.1 billion. Air Canada and its Air Canada Rouge subsidiary were forced to cancel more than 3,200 flights in August after around 10,000 flight attendants, led by the Canadian Union of Public Employees (CUPE), went on strike. This caused capacity in the third quarter to decline by about 2%, compared with the same period in 2024, says Air Canada. The carrier expects its third-quarter operating income to fall to C$250-300 million from just over C$1 billion in the same period last year, and adjusted EBITDA to drop to between C$950 million and C$1 billion, compared with C$1.5 billion a year earlier. The income decline includes C$175 million related to one-time non-cash pension plan amendments and other labour charges. Air Canada and CUPE are proceeding to arbitration to finalise the wage portion of their four-year tentative agreement, says the carrier. It adds that "no labour disruption can be initiated by either party during the arbitration process or the term of the new agreement".
Gol parent ends talks for merger with Azul
September 26, 2025
Gol parent Abra group has terminated discussions with Azul over a potential merger between the two carriers, as negotiations stalled due to Azul's focus on its Chapter 11 proceedings. Abra says the termination comes as both parties "have not meaningfully discussed or progressed a possible business combination transaction for several months", according to a 25 September statement. That is despite Abra stating that it has been "available to continue" discussions with indication that those could be done in parallel to Azul's Chapter 11 proceedings. Furthermore, Abra also notes Azul's comments that the prior memorandum of understanding and pre-filing with Brazil's economic regulator "occurred in another scenario and at another moment of the companies". Despite the termination of talks, Abra states a merger is still on the table: "We continue to believe in the merits of a business combination of Azul and GOL Linhas Aéreas Inteligentes S.A. and, as such, Abra is ready, willing and available to engage with the relevant stakeholders." At the same time, Abra has also terminated a codeshare it disclosed in May 2024, with Azul clarifying that it will "honour all tickets" issued under the commercial agreement.