A relatively unknown low-cost airline, which became a household name in April 2025 when it signed a lucrative but incredibly controversial contract with the Department of Homeland Security to operate ICE deportation flights, has confirmed it is now letting the agreement lapse.
The apparent U-turn is a major change of heart for Avelo and its under-fire chief executive, Andrew Levy, who had created a dedicated base in Mesa, Arizona, to run the deportation flights and even repainted planes for the ICE contract.
Avelo is closing its deportation base in Arizona
A spokesperson for Avelo Airlines confirmed on Wednesday that the carrier is ending its contentious contract with Immigration and Customs Enforcement (ICE) on January 27. The announcement came just hours after an ICE agent was filmed fatally shooting a mother of three in Minnesota.
According to Avelo, though, the decision to end the contract had nothing to do with the major backlash the airline faced from its relationship with ICE.
Levy says that after “significant deliberations,” he signed Avelo up to run deportation flights for ICE to secure sure-fire additional revenue for the airline.
It turns out, however, that the stream of revenue from running deportation flights wasn’t as predictable or lucrative as had been predicted.
“The program provided short-term benefits but ultimately did not deliver enough consistent and predictable revenue to overcome its operational complexity and costs,” an Avelo spokesperson told Delaware Online.
Avelo will shutter a base it opened at Mesa Gateway Airport specifically to operate ICE flights. It remains unclear what will happen to the flight attendants that Avelo hired just to operate these deportation flights.
Flight attendants warned of FAA safety regulation breaches
Last September, the Association of Flight Attendants (AFA-CWA), which represents crew members at Avelo, raised serious concerns about the airline’s deportation flights, warning that Avelo could be violating FAA safety regulations.
While Avelo had created policies to comply with FAA rules, the union claimed that flight attendants were often prevented from following them due to conflicting ICE requirements.
In an open letter to Levy, the AFA warned: “Our Union and the Avelo flight attendants we represent have grave concerns about safety on Avelo flights flown for the Department of Homeland Security to deport detainees of the U.S. Immigration and Customs Enforcement.”
“Based upon reports we are receiving from our members, Avelo is not following FAA safety requirements.”
The union lists a number of key concerns, including:
- Lack of cabin modifications to allow shackled passengers to evacuate.
- No training in how to evacuate shackled passengers.
- Flight attendants prevented by ICE agents from performing safety checks.
Avelo repainted planes to avoid controversy
Shortly after demonstrators called out Avelo for signing a deportation contract with ICE, and passengers were urged to boycott the fledgling low-cost carrier, the airline decided to repaint the three Boeing 737 jets that would be used for these flights.
Avelo adopted an all-white paint job for these jets to make it harder to identify any connection between the airline and the ICE flights.
While there’s no requirement for airlines operating government contracts to repaint their planes, the decision was viewed as a clear indication of the pressure that Avelo found itself under.
ICE is purchasing its own fleet of deportation Boeing 737s
While ICE might not be able to rely upon Avelo from the end of January, the DHS is buying its own fleet of Boeing 737s to operate its own deportation flights.
Late last year, DHS confirmed that it was buying six planes at a cost of around $140 million to run its own deportation airline. Deportation flights are coordinated through an internal department known as ICE Air Operations (IAO), although most flights are subcontracted out to private carriers.
While Avelo is dropping its contract with ICE, several other airlines are still said to be actively working with the DHS. One of the most prolific deportation flight operators is GlobalX, a charter airline based in Miami, Florida.
