IAG SA’s E400m takeover of Air Europa risks being derailed for a second time, unless the firms fix a list of anticompetitive concerns handed down by EU regulators. The EC said Friday it fired off a so-called statement of objections warning that the deal could hamper competition on multiple routes within Spain as well as connections with the rest of Europe, the Middle East and the Americas. Domestic routes lacking high-speed train alternatives could be particularly hard hit, the regulator said. “Every year, millions of passengers travel on those routes for a total annual spending of over E3b,” the commission said. “Absent suitable remedies, the removal of Air Europa as an independent airline may have negative effects on competition in these already concentrated markets.” While on some national and European routes the pair currently compete head-to-head, the commission said competition on others is “limited” and comes primarily from regional Spanish airlines and low-cost airlines, such as Ryanair Holdings Plc. IAG and Air Europa can now respond to the EU’s concerns with an offer to remedy the anticompetitive risks. The regulator has until July 15 to decide whether to block or approve the planned deal. IAG said in an emailed statement it “will continue to engage on a package of remedies to meet those concerns” and “still remains committed to closing the deal as quickly as possible” this year. “As Luis Gallego, CEO of IAG said, we are willing to transfer the equivalent of 40% of the flights operated by Air Europa in 2023 to other airlines,” the company added. Aside from warning about possible reasons for a veto, EU statements of objections typically flag potential ways forward to avoid such a scenario. Such filings are increasingly routine in complex deals. In airline deals, this can include a remedy to share or give up routes to rival airlines, as well as a potential divestment of assets.<br/>
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Lessors with aircraft stranded at Indian airline Go First can take back their planes, a local court ruled on Friday, nearly a year after the carrier declared bankruptcy. Foreign lessors have been locked in a legal tussle to repossess their planes after Go First was granted bankruptcy protection in May 2023, with the recovery of more than 50 Airbus planes blocked under a law in place at the time. Dubai Aerospace Enterprise (DAE) Capital, ACG Aircraft Leasing and other lessors, which were allowed only occasional inspections of their grounded planes, took the matter to court. The Delhi High Court on Friday directed the aviation regulator to deregister the aircraft within five working days. Go First is restrained from "entering, accessing or in any manner operating or flying any of the aircraft," the court said. India amended its insolvency law in October to exclude leased aircraft from assets that can be frozen, aligning the world's third largest aviation market with global standards. Go First has said that agreeing to the lessors' demands could derail the airline's turnaround process, according to court filings seen by Reuters in September. The airline has received bids from budget carrier SpiceJet and Sharjah-based Sky One Airways, Reuters previously reported. The airline's resolution professional did not immediately respond to a request for comment.<br/>
AirAsia Group advisor Tony Fernandes is not ruling out Comac aircraft from future fleet planning, becoming the latest in a growing number of airline leaders to comment on the Chinese airframer. Speaking at a media event in Kuala Lumpur on 26 April, Fernandes, who is also chief executive of Malaysia-based Capital A, said the airline group could look at “other aircraft manufacturers” to boost its fleet in the long term, amid a long wait for new narrowbody delivery slots at Airbus. Fernandes says AirAsia “would be foolish not to look at the [Comac] programmes” as the airline group grows its fleet in the long term. He did not specify which of Comac’s two in-production aircraft – the C919 narrowbody or ARJ21 regional jet – he was referring to. “I can confirm it is something worth looking at…[and is something] I will bring back to the [AirAsia and Capital A] boards to discuss.” Still, he stresses that the group remains a key Airbus customer. AirAsia units across Malaysia, Thailand, Indonesia and the Philippines operate hundreds of A320-family aircraft, while medium-haul unit AirAsia X operates A330 widebodies. They also have close to 400 Airbus aircraft on order, with deliveries set to resume this year. Fernandes says AirAsia “will seriously consider” an offer from “another manufacturer”, with Airbus “unable to build planes quick enough for us”. He had previously visited Comac’s facilities in Shanghai, sharing on his LinkedIn page that he was “blown away” by what he saw. ”I have no doubt that we now have a third choice [of airframer]. What impressed me most [was] Comac’s desire to be a long-term partner and [their] genuine friendship,” he wrote.<br/>
The delayed delivery of Boeing 737 MAX aircraft has led to Virgin indefinitely suspending direct flights from Adelaide to Bali. The service was already due to stop between 28 April and 9 June, but that suspension will now continue until further notice. It previously stopped the route between 6 February and 17 March in order to allow for flights to continue during the holiday period. It comes as Boeing continues to face scrutiny over the safety of the 737 MAX family following the mid-air blowout of a door plug on board an Alaska Airlines MAX 9 in January, with the planemaker now the subject of a criminal investigation. The incident also led to the FAA ordering Boeing to produce no more than 38 MAXs per month. “The continued suspension of this route is necessary to manage impacts to our international and domestic schedule as a result of the delayed delivery of new aircraft,” said Virgin. “We acknowledge this decision will be disappointing for some guests, and we sincerely apologise for any inconvenience. Guests who wish to discuss alternative arrangements available to them. . . are encouraged to reach out to the Virgin Australia Guest Contact Centre on 136 789.”<br/>