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Brazil's Government increased (28-Oct-2026) the financing capacity of the National Civil Aviation Fund (FNAC) by BRL8 billion (USD1.5 billion), bringing the fund to BRL13.56 billion (USD2.54 billion). FNAC is intended for reimbursable financial support for the operations of Brazilian airlines. The financing limit will be up to BRL2.5 billion (USD467.57 million) for companies with a market share exceeding 5% in the domestic market and up to BRL500 million (USD93.51 million) for other companies. The repayment term will be up to 60 months, with an interest rate of 4% p/a. [more - original PR - Portuguese]

UK's Government and Rolls-Royce announced (28-Oct-2026) plans for a joint 10 year, GBP2.5 billion (EUR2.99 billion) research and technology programme to develop cleaner and more efficient jet engines. The agreement is expected to support 3300 jobs by the end of 2029, and "tens of thousands more in the decade ahead". The cooperation aims to develop new jet engines for narrowbody aircraft. The agreement provides the framework under which future government support will be provided, with Rolls-Royce estimating that securing a UK engine on these aircraft "could lead to billions more being invested in the UK in the coming decades", amounting to GBP120 billion (EUR143.42 billion) in economic impact over the life of the programme. Rolls-Royce CEO Tufan Erginbilgic stated: "This is a once-in-a-generation opportunity to lay the foundations for decades of sustainable economic growth across the UK, creating high-value jobs and transforming the country's advanced manufacturing supply chain". [more - original PR - UK Government] [more - original PR - Rolls-Royce] [more - Aviation Week]

Condor Flugdienst CEO Peter Gerber stated (26-Oct-2026) the carrier continues to build its own independent European feeder network into Frankfurt to sustain its long haul operations amid an ongoing regulatory and legal dispute with Lufthansa. Mr Gerber said: "Lufthansa has a dominant position in the German/European market and our view is that they need to grant access at least to parts of their network". He added: "We have to plan on our own. We will never be able to build up the broadness of the Lufthansa network". [more - Aviation Week]

Lufthansa Group chief commercial officer Dieter Vranckx stated (22-Oct-2026) the group aims to integrate TAP Air Portugal within 18 months of completing its proposed investment, drawing on its recent experience of bringing ITA Airways into the group. Mr Vranckx added: "One big advantage is that they are in Star Alliance, so we don't need to move them out of an alliance like we had to do with ITA". The group estimates that adding TAP would increase its share of Europe-South America capacity to approximately 20%. [more - Aviation Week]

Lufthansa and Vereinigung Cockpit (VC) ended (22-Oct-2026) arbitration without results, raising pressure on separate mediation to resolve ongoing disputes. Lufthansa has demanded cuts to labour-related unit costs amid years of losses, with a restructuring programme's targeted EUR1.5 billion in 2026 earnings gains offset by higher jet fuel costs and strike-related expenses. Separately, VC is contesting Lufthansa's decision to shut down Lufthansa CityLine, demanding a social plan allowing pilots to transfer to other affiliates at their previous pay and conditions. [more - Aviation Week]

Condor Flugdienst CEO Peter Gerber confirmed (23-Oct-2026) the carrier plans to expand "quite heavily" over the next three years, growing the fleet by approximately 20% with four additional A330neos and "quite a lot of" additional A320s and A321s. Condor's A330neo fleet is expected to grow from 18 aircraft in service with seven on order to reach 25 by 2031. The carrier is scheduled to launch daily Frankfurt-Chicago service from 14-May-2027, as previously reported by CAPA, and targets expansion into South America, East Asia and China. [more - Aviation Week]