Virgin Atlantic's creditors overwhelmingly backed a GBP1.2b rescue package for the cash-strapped airline on Tuesday in a vote that opens the door to a full recapitalisation early next month. A group of about 170 of companies voted to accept a 20 per cent “haircut” on debts owed as part of a High Court restructuring process, and to receive the outstanding balance in a staggered set of payments. The airline had warned that it risked running out of money by late September without the rescue deal, which was agreed in July and includes a cash injection from Richard Branson's Virgin Group. “Virgin Atlantic has reached a significant milestone in safeguarding its future,” the company said. Ninety-nine per cent of the airline’s trade creditors backed the proposal, which also received the full support of shareholders, aircraft lessors and creditors under the company’s revolving credit facility. Virgin Atlantic now expects the package of support to be rubber-stamped in the UK and US courts before a full recapitalisation next week. The deal includes GBP400m of fee deferrals from shareholders, Virgin Group and Delta, which owns 49%. Creditors have also agreed to postpone payments worth a further GBP450m. Additionally, Virgin Atlantic has committed to a range of cost-cutting measures, including job cuts, the closure of operations at London Gatwick airport and the downsizing of its fleet.<br/>
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Spirit Airlines pilots’ union on Tuesday said it reached an agreement with the company that will avoid involuntary furloughs of around 600 pilots when federal aid that has helped protect airline jobs runs out in October. About half of Spirit’s more than 2,500 pilots would work fewer hours, a reduction in costs that helps the company avoid involuntary cuts, said the Air Line Pilots Association, their union. Spirit had said it could furlough about 2,500 people throughout the company but the “actual number will be a small fraction of that,” thanks to volunteers that signed up for voluntary leaves.<br/>
Senior US and Israeli officials will take the first commercial flight between Israel and the United Arab Emirates next week, flying from Tel Aviv to Abu Dhabi in a symbolic and substantive demonstration of improved ties since the countries' historic agreement this month to normalize relations. The flight, likely on an Israeli El-Al airliner emblazoned with the Jewish state's national colors of blue and white and the Star of David, will be the first known direct trip by the flag-carrier to a Gulf Arab country and an important sign of progress in implementing the Aug. 13 agreement between Israel and the UAE, officials said Tuesday. US officials said the US delegation on board will be headed by President Donald Trump’s senior adviser and son-in-law Jared Kushner and will include national security adviser Robert O’Brien, Mideast envoy Avi Berkowitz and envoy for Iran Brian Hook, administration officials said. Israeli PM Benjamin Netanyahu, meanwhile, announced that his national security adviser, Meir Ben-Shabbat, would lead Israel's delegation. A number of Israeli government ministries will also send representatives, including the directors of the foreign and defense ministries and the national aviation authority, he said.<br/>
Bahrain-based Texel Air has taken delivery of the first-ever Boeing 737-700 Flexcombi aircraft. The aircraft can be configured in seven ways to serve multiple purposes within a 48-hour timeframe. It can thus switch seamlessly to operate humanitarian, government, express integrator and commercial flights from major airports to smaller remote runways, with configuration flexibility achieved without compromising in cargo volumes and mission capability. “From our strategic position in Bahrain, we will operate this versatile aircraft, serving an international roster of clients that have long awaited a solution that provides them with unmatched levels of flexibility,” said George Chisholm, CEO for Texel Air’s parent company Chisholm Enterprises. In addition to cargo, the aircraft can transport up to 24 people, and offers the option for medical evacuation flights using two specialty medical beds installed on the aircraft.<br/>