Sentence Correction (SC) | Re: Regulators are likely to end what are, in effect, long-standing exempt

Hello ExpertsMartyTargetTestPrep ,GMATNinja ,GMATGuruNY ,AjiteshArun ,generis , @MentorTutoring, @EducationAisle;
In OG, it says that: "consequence" is wrongly assigned to the extra flying time rather than
to the ending of the exemption -- a logical prediction error.
I am confused because when you consider the participle phrase, "long-standing exemptions... airlines fly", to me, it seems to be referring to the entire event.
Will you pleasehelp.