The U.S. Federal Aviation Administration (FAA) has directed airlines to reduce their flight schedules starting Friday, November 7, 2025, due to the ongoing government shutdown. The directive aims to cut flights by 10% across 40 of the busiest U.S. markets to maintain safety and relieve pressure on the air traffic control system as controllers work without pay. This is not a direct announcement from Booking Holdings, but an external event with significant implications for the entire travel sector. The mandated cancellations are expected to cause widespread disruptions for travelers and could negatively affect booking and reservation volumes for online travel companies like BKNG. While the long-term financial impact on Booking Holdings is yet to be determined, the immediate effect is likely to be increased uncertainty and potential revenue loss due to canceled travel plans. Some airlines have begun issuing travel waivers to provide flexibility for passengers, but the situation remains fluid and dependent on the duration of the shutdown.