US Fines Air France & KLM For Flying Delta Codeshares Too Low Over Iraqi Conflict Zone

Published Oct 24, 2026, 2:00 AM EDT Journalist – Aaron is an aviation and travel journalist with 14 years of experience in the travel and tourism industry. His background spans airport operations, aviation infrastructure, and travel consulting, having worked with global organizations across New Zealand, Europe, and North America. Combining industry expertise with firsthand travel experience across more than 52 countries and five continents, Aaron covers airlines, airports, aviation policy, and the wider travel sector. He is based in Canterbury, New Zealand. His work has been published in Simple Flying and featured by MSN, SAM CHUI Aviation & Travel, EIN News, Pakistan Defence, and Climate Depot. Air France and KLM have been issued a fine by the US Department Of Transportation after it was revealed that both European carriers operated Delta Air Lines codeshare flights below 32,000 feet above Baghdad. The fines were issued due to the Federal Aviation Administration (FAA) prohibiting flights by US operators in foreign-managed airspace. Foreign airlines with US airline codes, such as the Delta codeshare, must abide by these prohibitions. Société Air France has been charged a $105,000 fine, while KLM will be expected to pay a sum of $320,000 after both carriers were found to be negligent and operated with Delta designator codes on respective flights in restricted airspace designated by the FAA. While both fines were issued to the respective carriers, the two airlines below are part of the French-Dutch multinational airline holding company Air France-KLM, from a merger between the two airlines in May 2024. Air France & KLM Both Charged For Operating More Than 100 Flights In Prohibited Airspace Credit: Markus Mainka | Shutterstock The Office of Aviation Consumer Protection (OACP) conducted a thorough investigation of both airlines' operations, and this revealed that Air France operated more than 30 flights with a Delta codeshare, while KLM flew more than 100 flights with the Delta code in FAA-prohibited airspace in the Baghdad Flight Information Region between January 2022 and May 2025. While Delta itself did not operate the flights, their flight numbers were placed on the Air France and KLM services through a marketing arrangement where the airline placed its designator code on the SkyTeam alliance partners and sold tickets for these flights on the two airlines. U.S. Transportation Secretary Sean P. Duffy explains: “Under the Trump Administration, if you fly carrying a U.S. code, following our safety rules is not optional. We will not hesitate to hold accountable any airline for failing to comply with agency regulations. Passenger safety comes first—no exceptions.” A Combined $425,000 in Penalties Issued By The FAA Credit: Ronen Fefer | Shutterstock The action taken by the US DOT is based on the instance where both airlines were reported to have flown below 32,000 feet in the Baghdad region. The allegations, which have dated back to the beginning of 2022, have seen both Air France and KLM dispute responsibility for altitude deviations, suggesting that air traffic controllers were directing the aircraft's altitude. A central question that has been raised is whether the airlines should be penalized for operating below the prohibited altitude when following instructions from ATC. Both airlines ultimately now face a combined penalty of $425,000, with $265,000 due within the next 60 days, and the remaining $160,000 only payable if either airline commits a similar violation within the next year. Both airlines have explained to the US DOT that they take regulatory compliance seriously, and neither airline deliberately ignored the restrictions. The uniqueness of this situation is that while neither airline is a US carrier, the US government expects safety-related restrictions to be followed by foreign operators if marked with a US airline designator. Additional details on codeshare flights are detailed in the table below: Operating Carrier The physical airline that is operating the flight with their own aircraft. Marketing Carrier The airline that is selling the ticket under its own flight number. Benefits Passengers enjoy a seamless travel experience with one ticket and coordinated baggage transfers. Alliance Perks Airlines all belonging to the same alliance, or reciprocal frequent flyer programs enable passengers to accrue and redeem miles. Restrictions To The Baghdad Flight Information Region Credit: Bjoern Wylezich | Shutterstock The FAA restriction covers the Iraqi-managed airspace under 14 CFR 91.1605. This restricts US carriers and select other US operators (including those operating with a US airline designator), prohibiting airlines from flying below 32,000 feet in altitude within the designated Baghdad Flight Information Region. Extended in 2022, the restriction remains in effect today and is intended to minimize the risk associated with the conflict and wider security requirements when transiting above Baghdad due to militant activity. The legal issue facing both Air France and KLM being fined is that the regulation restricts foreign airlines from operating flights with a US airline code, due to these codeshares being bound by the existing restrictions. Despite both airlines denying that they intentionally flew below the safe altitude, suggesting that it was due to air traffic control, both Air France and KLM now face a combined $425,000 in regulatory fines for breaching the regulations that are enforced when flying above Iraq.