Air Europa has concluded acquisition talks with Turkish Airlines, paving the way for the Istanbul-based carrier to acquire a 26% stake in the Spanish airline through an investment of €300 million ($345 million). The transaction, structured as an "exchangeable" loan, will convert into equity once regulatory and competition approvals are secured, a process expected to take six to 12 months. Negotiations began before the summer under the leadership of Javier Hidalgo, chief executive of Air Europa parent Globalia. Turkish Airlines’ binding offer was accepted in August, and the deal now moves forward pending regulatory approval. The agreement values Air Europa at approximately €1.175 billion, according to the airline. The new shareholding structure will see Globalia retain majority control of the Spanish carrier, Turkish control 26% and IAG hold 20%. For Air Europa, the capital injection enables early repayment of nearly €500 million in loans from Spain’s state-owned SEPI and accrued interest, completing a key phase in its financial deleveraging strategy. The airline also settled a €141 million ICO-backed loan earlier this year, marking a significant turnaround since the pandemic. "The transaction documentation process has been completed and the partnership agreement signed," says Turkish Airlines. "The investment will primarily take the form of a capital increase, with the stake expected to range between 25% and 27% after closing."

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 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.