This has cropped up before. It is quite a common practice especially on North American airlines.

I remember THAT sequence in 'When Harry met Sally' was missing from the BA performance (and no doubt from most other airlines').

So far as I am aware, Virgin Atlantic is the only major airline which does not show censored films.

In the old days of one screen at the end of the cabin, you could understand airlines' sensibilities, but now most airlines have individual seatback screens or screens on stalks, it does seem a bit unnecessary.