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PLAY airlines ceases operations
PLAY airlines has ceased operations, the Icelandic airline said on Monday (September 29).
The low-cost carrier has cancelled all flights and said it will be working will employees and authorities to wind down operations.
After its disappointing first quarter results, the airline's CEO Einar Orn Olafsson said the company would focus heavily on ACMI operations.
âWe rest our future on this business of operating our aircraft for other operators,â Olafsson said during its first quarter earnings call. Four of the airline's 10 aircraft had been deployed for ACMI leasing with SkyUp Malta Airlines through 2027.
This strategy had proven contentious with staff, however, with the airline citing it as one of the reasons for its decision to cease operations.
âThere has been discontent among some employees due to changes in the company's strategy⊠Great hopes had been pinned on the revision on the revised business model introduced last fall, which at the time was considered a source of considerable optimism,â the airline said in a statement.
PLAY also noted ânegative media coverageâ of its operations, poor ticket sales, and weaker than expected performance as key drivers.
The airline had reported a net loss of $15.3 million in the second quarter of 2025, widening from a $10 million loss a year prior, as well as a $26.8 million net loss in the previous quarter.
PLAY said it was had âbecome clearâ its changes was unable to deliver âsufficientâ results to overcome its âdeep-rooted challengesâ. The airline said: âIn hindsight, the new business plan should have been implemented earlier.â
The airline's management and board said the decision is âthe most painful one imaginableâ.
The company had ceased all North American operations in June, which had freed up two aircraft for the airline, with one placed through 2026 and the other was being marketed, the airline said in its second quarter results.
In July, PLAY secured $20 million of subscription commitments through a two-year convertible bond issuance.
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Airline News
British Airways CityFlyer expands partnership with BeauTech
British Airways CityFlyer has expanded its partnership with aircraft engine leasing solutions company BeauTech Power Systems through a new agreement to support the airline's Embraer E190 fleet.
The deal covers 14 CF34-10E engines, providing the airline with continued operating lease support to cover upcoming maintenance events and ensure fleet reliability.
Leasing News
Avolon delivers one A320 to Aero K Airlines
Avolon has delivered one A320 aircraft to Korean airline Aero K Airlines.
âAero Kâs dedication to cost efficiency and customer-first service aligns with our commitment to supporting dynamic airlines with modern, reliable aircraft solutions,â Avolon said.
A second A320 is scheduled for delivery in October this year.
Finance News
Credit Agricole CIB arranges sustainability-linked financing for Air France A350
Credit Agricole CIB has arranged a sustainability-linked aircraft secured term loan via a Japanese operating lease with a call option (JOLCO) to finance one A350-900 for Air France.
The financing conditions are linked to Air France achieving certain sustainability performance targets, which includes a proportion of new-generation aircraft and the use of sustainable aviation fuel (SAF).
Credit Agricole CIB acted as global arranger and sustainability coordinator. It also acted as lender alongside Bank of Communications, CIC, and Korea Development Bank (KDB).
Technology News
AFG acquires two CF6-80E1A4/B engines
AFG Aviation Ireland, a subsidiary of Aircraft Finance Germany, has acquired two General Electric CF6-80E1A4/B engines from GE Aerospace subsidiary GE Aviation Materials (GEAM).
âThe transaction was completed after both engines underwent a full performance restoration shop visit at GE Evergreen Engine Services (GEEVES) in Taiwan, ensuring they meet the highest operational standards,â AFG said in a statement.
The purchase was made on September 24, 2025, before the engines were delivered to SAMI Airbus for aircraft and maintenance services.
Environment News
Oxford University spin-out OXCCU raises $28 million in Series B funding to scale SAF project
Oxford University spin-out OXCCU has raised ÂŁ20.75 million ($28 million) in an oversubscribed Series B funding round. The spin-out is developing a one-step process to convert carbon waste into sustainable aviation fuel (SAF).
The funding round included new investors such as Orlen VC, Safran Corporate Ventures, IAGiVentures, Hostplus, and TCVC. These new investors were alongside established investors including Clean Energy Ventures, IP Group/Kiko Ventures, Aramco Ventures, Eni Next, Braavos Capital, and the University of Oxford.
OXCCU said the new capital will allow it to accelerate its commercialisation efforts, expand its operations, and advance its next phase of technology scale-up.
âIn a market where capital is tight and investors are rightly selective, this raise is a testament to the strength of our science, the clarity of our mission, and the urgency of the problem we're solving,â said Andrew Symes, CEO of OXCCU.
According to OXCCU's website, it is planning a Series C funding round in the first quarter of 2027, and is expecting to raise between $50 million and $100 million.
Smartenergy, Q8 Aviation enter strategic partnership on SAF production
Smartenergy, a Swiss-based renewable energy investment firm, has entered a sustainable aviation fuel (SAF) production partnership with state-owned Kuwaiti firm Q8 Aviation.
Under the agreement, Q8 Aviation will serve as a long-term offtake partner for Smartenergyâs planned production of electro-SAF (eSAF), receiving a âsubstantial shareâ of future eSAF output.
In a statement, the two companies said the partnership will help customers to comply with the SAF mandates of both the EU and UK.
Under the REFuelEU Aviation initiative, aviation fuel suppliers are expected to blend an increasing percentage of eSAF into their overall fuel supply at EU airports.
By 2030, the EU SAF mandate requires at least 1.2% of the total fuel mix must be eSAF, rising to 5% by 2035 and 35% by 2050.
The UK SAF mandate imposes a 2% target in 2025, rising to 10% in 2030 and 22% in 2040.
The partnership will initially focus on Smartenergyâs two flagship eSAF projects in Portugal, Project Galileu and Project Leca.
Both facilities are being developed to comply with the EUâs renewable fuels of non-biological origin (RFNBO) standards, as outlined under the blocâs third renewable energy directive (REDIII).
Q8 Aviation, a subsidiary of Kuwait Petroleum International (KPI), said the partnership will build on its existing logistics and distribution network, which supplies fuel to over 70 airports worldwide.
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Airline News
Etihad wet leases two A320s, inaugurates Peshawar route
Etihad has wet leased two Airbus A320 family aircraft from Lithuanian ACMI and charter operator GetJet Airlines.
The aircraft will be based at Zayed International Airport in Abu Dhabi for the winter 2025/26 season.
One of the aircraft will be operated by GetJet Airlines, while the second will be operated by Airhub Airlines â both part of GetJet Aviation Holdings.
The two aircraft will support Emirates' operations from October 1, serving routes Amman and Beirut, as well as selected services to Cairo and Muscat.
The airline has also inaugurated its first flight between Abu Dhabi and Peshawar.
"With Pakistan being home to one of the largest expatriate communities in the UAE, we are pleased to launch this new route offering more flexibility for the communityâs travel needs,â said Etihad Airways CEO Antonoaldo Neves.
Etihad will initially operate five flights per week to Peshawar before increasing to daily flights from November 20.
Air Mauritius office looted by anti-government protestors
Air Mauritius has issued a statement confirming that its office in Antananarivo, the capital of Madagascar, has been looted by anti-government protestors.
The airline said the break-in took place on Thursday (September 25), when large-scale protests against the government of President Andry Rajoelina devolved into vandalism and violent clashes with security forces.
Air Mauritius, the flag carrier of Madagascarâs closest neighbour and major trading partner, said that "peripheral devicesâ and other IT equipment were stolen during the incident, but no staff were harmed.
Despite a fire breaking out on the ground floor, all employees were able to leave the premises safely, and the fire was extinguished.
The office is now temporarily closed, but the airline said it will dispatch an on-site technical team âas soon as possibleâ to restore the IT system.
Throughout this month, protests have erupted in Madagascar in response to persistent blackouts, power cuts and water outages.
Local media report that, for a period of months, residents of Antananarivo have suffered frequent water and power outages, sometimes lasting over 12 hours a day.
So far, several demonstrators have been shot dead in clashes with police, and more than 50 have been injured.
The government attempted to impose a curfew in Antananarivo on September 25 â the same day the Air Mauritius office was looted.
The protests, dubbed the Leo DĂ©lestage movement, are ongoing.
Airport News
Qatarâs Hamad International inks sister airport agreement with Shenzhen Baoâan
Qatarâs Hamad International Airport has signed a sister airport agreement with Shenzhen Baoâan International Airport.
The two partners said the agreement will expand both passenger and cargo connectivity between the Middle East and China.
Focus areas will include exchanging market insights, coordinating route planning and technology adoption, and leveraging shared strengths as innovation hubs.
Hamad International currently connects to nine Chinese cities, namely Beijing, Shanghai, Guangzhou, Shenzhen, Chongqing, Hangzhou, Xiamen, Chengdu and Hong Kong.
These cities link to more than 120 global destinations through Doha, positioning the Qatari airport as the preferred Middle East hub for Chinese travellers.
From January to August this year, Hamad International has served over 1.1 million passengers travelling from the nine Chinese cities.
The MoU builds on existing ties between Qatar and China, including a similar sister airport agreement that was announced last week between Hamad International and Beijing Daxing.
In addition, earlier this month Qatar Airways announced that it will expand its codeshare agreement with China Southern.
Starting 16 October 2025, Qatar Airways will share code on China Southern's three weekly direct flights between Beijing Daxing and Doha.
Similarly, China Southern will expand its "CZ" code on Qatar Airways-operated flights beyond Doha to 15 destinations across Africa, Europe and the Middle East.
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Airline News
Spirit Airlines cuts 40 routes in November schedule
Spirit Airlines is suspending around 40 routes in its November schedule, the airline said in a memo sent to Spirit staff seen by Airline Economics on Monday (September 29).
The cuts come amid the airline's ongoing Chapter 11 bankruptcy restructuring â its second in under a year.
âWe are suspending approximately 40 routes to focus on our strongest markets,â Spirit Airline SVP and chief commercial officer Rana Ghosh said in the memo. âThese network adjustments include multiple routes that are seasonal or only operate on certain days of the week.â
After reducing its presence at both Hartford and Minneapolis, the airline will discontinue services to these airports on October 31 and December 1, respectively. Ghosh said these decisions were âdifficultâ.
âWe'll continue to make our routine schedule and network adjustments, but do not anticipate any additional airports exits in the near future,â said Ghosh.
The airline announced last week it was reducing its November schedule capacity by 25%, as well as furloughing 1,800 flight attendants.
In the same memo, Ghosh introduced Andrea Lusso as the airline's new vice president of network planning. Lusso most recently served as the principal, supply chain & network design for Amazon Air â Amazon's the cargo airline and typically branded as âPrime Airâ in relation to the e-commerce brand's subscription service. Lusso had started his aviation career at Spirit, serving as a flight operations and safety intern. He would go on to build his career at low-cost carrier JetBlue, eventually serving as vice president, enterprise planning.
Last week, in a bankruptcy court document, it was revealed Spirit had reached a tentative agreement with AerCap to reduce a number of its leased aircraft with the lessor. Spirit operates an all-Airbus fleet, primarily consisting of the A320 family jet. Out of 214 of the airlineâs operating fleet, 166 are leased aircraft, with AerCap being its largest lessor. The filing did not detail the number of aircraft that will be reduced from the fleet.
The deal will also see AerCap inject Spirit with a âsignificantâ liquidity infusion. Spirit said the cash provided will allow it to continue operations while implementing its business plan and fleet rationalisation process.
Additionally, sale and leaseback agreements for 36 undelivered Airbus A320neo family aircraft, which were scheduled to be delivered between 2027 and 2028, have been terminated. The lessor will retain full rights to the aircraft, allowing them to be re-leased at potentially higher rates.
Spirit emerged from its initial Chapter 11 restructuring in March, intending to move ahead under its premium rebrand.
Airport News
FAA extends order limiting operations at Newark
The US Federal Aviation Administration (FAA) has extended an order that limits the rate of arrivals and departures at New Yorkâs Newark airport.
The order, first introduced in June this year, will now be in place until October 2026.
At the same time, the latest FAA order increases the hourly flight limit at Newark from 68 to 72 operations, also effective until October 2026.
The move comes after the regulator received âconstructive commentsâ from the airport operator and airlines on extending the flight limits to help address congestion at Newark.
The goal of the reduced arrivals and departures is to maintain safety while alleviating flight delays due to staffing and equipment challenges, resulting in smoother travel into and out of Newark, the FAA said.
The June 2025 order was originally scheduled to expire on December 31, 2025. On August 12, 2025, the FAA published a notice that invited comments on its proposal to extend the order.
Carriers concurred with the FAAâs proposal to extend it, and for a rate increase of 72 hourly operations, with no more than 36 arrivals and departures respectively, up from the 68 hourly operations established by the June 2025 order.
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Airline News
Qantas launches first A321XLR services
Qantas launches first A321XLR services Qantas has confirmed the launch of its newest aircraft, the Airbus A321XLR, which completed its inaugural flights last week.
On Thursday (September 25), the airlineâs two A321XLR began flying between Sydney and Melbourne and Sydney and Perth respectively.
The Australian flag carrier is the first airline in Asia Pacific to fly the new aircraft type, and the fourth globally.
The A321XLR features a wider and longer cabin than previous generation narrowbody aircraft, with wider seats, higher ceilings and larger windows.
It is five metres longer than the 737-800, and in Qantasâs configuration, will seat 197 passengers (20 business and 177 economy).
This is an increase of 13% in total seat capacity, with no reduction in space between seats and a 66% increase in business seats, the airline said.
The aircraft is powered by Pratt & Whitney geared turbo fan (GTF) PW1100G-JM.
Vanessa Hudson, CEO of Qantas Group, said the extended range will allow Qantas to operate the A321XLR on both domestic and short-haul international routes.
This will include services to destinations in South East Asia that are currently ânot viableâ with other narrowbody aircraft, she added.
In August this year, Qantas announced an order for an additional 20 A321XLR aircraft, including lie-flat business seats on 16 aircraft to serve longer routes. This takes Qantasâ current A321XLR order to 48 aircraft
Qantas said the A321XLR is a âkey partâ of its largest ever fleet renewal programme, which covers more than 200 aircraft on firm order and additional purchase right options with both Airbus and Boeing.
Philippine Airlines' first retrofitted A321ceo takes flight
Philippine Airlines (PAL) has confirmed that the first of its newly refurbished Airbus A321ceo fleet will be re-introduced into service from September 2025 onwards.
The Philippinesâ flag carrier said it has received the aircraft from the Lufthansa Technik Philippines (LTP) facility in Manila, where the retrofitting took place.
In total, 18 of PALâs A321ceo aircraft will be retrofitted under the programme, with the remainder of the aircraft set to be released between 2025 and 2027.
The reconfigured A321ceos will be used on flights to Tokyo (Haneda and Narita), Osaka, Jakarta, Bali and Guam this year, and to other key Asian destinations in the PAL network next year.
The refurbished cabin is designed to accommodate 194 passengers in a dual-class layout, with 182 economy class seats and 12 business class seats.
PALâs A321ceo fleet will also be the first aircraft to feature seats that were manufactured and installed in the Philippines.
Since 2000, the LTP facility has operated as a joint venture between Lufthansa and the Philippinesâ MacroAsia Corporation. The facility specialises in base maintenance service and a wider a range of maintenance, repair and overhaul (MRO) services.
Technology News
Malaysia Airlines adds seventh A330neo
Malaysia Airlines has added its seventh A330neo aircraft. The aircraft departed from Toulouse before arriving at Kuala Lumpur International Airport on Sunday (September 28).
In July this year, Malaysia Airlines' parent company Malaysia Aviation Group (MAG) ordered 20 additional A330-900s. Once delivered, these aircraft will bring the airline's total number of A330 jets to 40.
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