Virgin Galactic Shares Plunge As FAA Grounds Flights Pending Probe

On the heels of reports that Virgin Galactic’s space ship carrying billionaire Richard Branson and othersdeviated from its approved flight pathon a July trip, the US FAA opened a probe andgrounded all further flights until the investigation is complete.

“ Virgin Galactic may not return the SpaceShipTwo vehicle to flight until the FAA approves the final mishap investigation reportor determines the issues related to the mishap do not affect public safety,” the FAA said in an emailed statement.

The New Yorker first reported the probe, claiming thatthe flight encountered high winds and flew outside its designated airspace for 1 minute, 41 seconds.

Virgin responded to The New Yorker by sayingthe report was "misleading"and that the flight was “safe and successful," adding that the ship didn’t “travel above any population centers or cause a hazard to the public.”

“As we move towards commercial service, we are confident we have the right safety culture, policies and processes in placeto build and operate a safe and successful business over the long term,” the company said in an emailed statement Wednesday.

SPCE shares are tumbling on the news...

Virgin Galactic was planning its next suborbital spaceflight late this month or in early October.