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In the past week, United Airlines (UAL - Free Report) announced plans to invest $15 million in carbon capture technology firm, Svante. The deal is in line with the objective to reduce carbon emissions. In yet another show of the environmentally friendly attitude of airlines, Hawaiian Holdings’ (HA - Free Report) subsidiary, Hawaiian Airlines, entered into a sustainable aviation fuel (SAF) sales agreement with biofuel company, Gevo.

Hawaiian Airlines was also in the news recently, courtesy of its decision to adjust its schedule to match the anticipated demand swell during summer. That story was covered in the previous update.

Meanwhile, Spirit Airlines (SAVE - Free Report) also hogged the limelight in the past week thanks to its plan to significantly boost its workforce during the current year.

Recap of the Latest Top Stories

United Airlines’ decision to invest $15 million in Svante is in line with its plan to go 100% green by 2050. This is the latest environmentally friendly investment from the United Airlines Ventures Sustainable Flight Fund.

Svante provides materials and technology as part of the value chain that has the ability to transform CO2 removed from the atmosphere and industrial emission sources into sustainable aviation fuel. UAL’s investment will fund and support Svante’s commercial-scale filter manufacturing facility in Vancouver.

This move is in line with the airline’s aim to go 100% green by reducing its greenhouse gas emissions by 2050, without relying on traditional carbon offsets. UAL, currently carrying a Zacks Rank #3 (Hold), has so far invested in the future production of more than three billion gallons of sustainable aviation fuel, the most by any airline in the world.

United Airlines was also in the news when it reportedly reached two-year tentative agreements with the International Association of Machinists and Aerospace Workers, the union representing nearly 30,000 ground workers.

Per Hawaiian Airlines’ environmentally-friendly deal with Gevo, the former will purchase 50 million gallons of sustainable aviation fuel over five years. Gevo is anticipated to supply sustainable aviation fuel from a facility to be constructed in the Midwestern United States, and to start deliveries to Hawaiian Holdings’ gateway cities in California in 2029.

This deal is subject to certain conditions, which include Gevo developing, financing, and constructing the facility to produce sustainable aviation fuel.

Spirit Airlines intends to hire 4000+ employees across various roles (pilots, flight attendants, aviation maintenance technicians, and other support center staff) in 2023.

Per Linde Grindle, senior vice president and chief human resources officer at Spirit Airlines, "We're welcoming thousands of new Spirit Family Members across our network this year and have a broad range of positions available for people with all different interests, talents and experience levels." Given the carrier’s plans to expand its fleet and buoyant air-travel demand, the decision to go on a hiring spree seems to be a prudent one.

Performance

The following table shows the price movement of the major airline players over the past week and during the last six months.

Image Source: Zacks Investment Research

The table above shows that all airline stocks have traded in the green over the past five trading days. The NYSE ARCA Airline Index has increased 7.5% to $58.57. Over the course of the past six months, the NYSE ARCA Airline Index has gained 13.2%.

What's Next in the Airline Space?

Stay tuned for the usual news updates on the space.

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