United Airlines Set To Expand As FAA Lifts Safety Limits

Zinger Key Points
  • United can add new planes and routes after FAA review.
  • Recent safety measures led to FAA lifting restrictions.

United Airlines Holdings Inc. UAL is set to expand its fleet and routes once more after the Federal Aviation Administration (FAA) lifted certain restrictions. 

The decision marks a significant step forward following a series of safety incidents that had prompted increased oversight of the airline.

The FAA will allow United to resume certification activities after a detailed review of the airline's safety measures.

United informed its employees of this development on Wednesday night, according to a report from Bloomberg

The ongoing FAA review will continue as United implements further safety enhancements.

Recent restrictions were imposed on United after several high-profile safety issues, including a wheel detaching from an aircraft, a runway veer-off, and a loose fuselage piece during flight. 

The scrutiny intensified nationwide after an incident involving a fuselage panel on an Alaska Airlines flight in January.

Due to the FAA's review, United had to postpone the launch of two new routes and the addition of three Boeing Co. (NYSE: BA) 737 Max 9 jets to its fleet. These delays impacted United's operational plans for the summer season.

Also ReadFAA Oversight Under Scrutiny After United Airlines Mishaps

United's CEO, Scott Kirby, recently emphasized that the airline views the FAA's evaluation as an opportunity to enhance its already stringent safety protocols. 

United is conducting its own internal review to identify potential improvements in safety procedures and training.

While United did not disclose specific changes made to satisfy the FAA, the agency's decision to lift restrictions signals confidence in the airline's proactive safety measures. 

The FAA and United continue to collaborate to ensure the highest safety standards.

United Airlines stock has gained over 21% in the last 12 months. Investors can gain access to the stock via U.S. Global Jets ETF JETS and IShares U.S. Transportation ETF IYT.

Price Action: UAL shares were trading higher by 0.02% at $54.97 at the last check on Thursday. 

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo Courtesy United Airlines

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