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The original ending was deemed unclear and unbelievable, so a new ending was shot. As a result, Eric Linden, who was borrowed from Warner Bros. for a small part, was edited out of the film.
"The Lost Squadron" was begun when William LeBaron was still production chief at RKO. When he was fired, his replacement, David O. Selznick, took over the project as a personal production, fired director Paul Sloane (II) and replaced him with George Archainbaud, and increased the film's budget to include more spectacular action sequences.
When Erich von Stroheim was first offered the part of the mad director, the character was called "Erich von Stroheim." Understandably upset at being asked to play himself as a homicidal maniac, Stroheim agreed to do the film only if the character's name were changed.
SPOILER: Having been a stunt man in his early years in films, Erich von Stroheim refused to use a stunt double for the scene in which he is shot and falls down stairs. In taking the fall himself, he broke three ribs.