Italy has ordered leading European airlines, including British Airways and Germany’s Lufthansa, to stop offering lower fares than Alitalia, the struggling majority state-owned Italian flag carrier, on competing long-haul services.
The move by the Italian government comes as it seeks to prevent Alitalia collapsing into bankruptcy by agreeing an emergency state-guaranteed €400m ($493m) loan to the airline.
Absolutely dusgusting. I hope the EU and even the WTO take action against this. Is damn right criminal. 😡
Alitalia has failed to modernise themselves. They haven’t Streamlined the business and cut costs.
Their fares are priced ludicrously high (This is quoted from an Italian friend) Internal Italian flights are monopolised by AZ and fares are astronomical.
The airline is sinking fast.
With a service and attitude like they have, no wonder pax are ditching AZ in droves for other airlines.
By: Ren Frew - 11th August 2004 at 23:31
I’m closing this thread now and certain individuals can expect to be traced and dealt with.
Trust me on this one ! 😡
By: Bmused55 - 11th August 2004 at 22:29
Indeed, pass the lube please 😎
Are you perhaps homophobic?
By: bmused56 - 11th August 2004 at 21:55
beistrich , welcome to the forums! 🙂
Indeed, pass the lube please 😎
By: Bmused55 - 10th August 2004 at 07:28
beistrich , welcome to the forums! 🙂
By: Bmused55 - 10th August 2004 at 07:26
couldn’t have said it better.
Alitalia have failed to modernise, cut overheads, increase staff and fleet utilisation and are consequently unable to offer lower fares to entice Italians to fly with Italians. Instead, Joe Public are voting with their wallet and choosing foreign carriers.
I have spoken to a number of Italian colleagues, all completely disagree with the state aid Alitalia is receiving. If Alitalia is to die off, let it. Instead of pathetic attempts to force others to even the playing field.
By: beistrich - 10th August 2004 at 00:05
Interresting how crazy Berlusconi is
By: Dantheman77 - 9th August 2004 at 23:36
Just changing the subject slightly,what are the rules on Airlines either being state run or private recieving state aid to keep them afloat,i seem to remember hearing a few weeks back that Alitalia was getting huge amounts of public money just to keep them afloat and meet the payroll.. I seem to remember in the State run BA days, Maggie Thatcher wrote off all of BA’s Debts,because they couldnt sell off a technically bankrupt airline!
If Alitalia is losing huge amounts of money,surely its down to Silvio berlosconis (Sp?) government to bring in a new management team to restructure the airline, or waste more taxpayers money into an ever increasing blackhole..But it’s not the fault of other airlines who have slashed overheads and reduced costs in an ever increasing cut throat market place.
Come on Alitalia,wake up and smell the Cafe Latte
By: MSR777 - 9th August 2004 at 20:30
I totally agree.
By: Bmused55 - 9th August 2004 at 18:59
Sandy, I think you are being too hard on Prodi. The EU will oppose this, but if Berlusconi smells political fallout over the demise of Alitalia then he could well “railroad” this through despite the consequences for Italy already outlined here. As I hinted earlier, this is a strange position for a Govt. of this ilk to take but as history shows, in this kind of scenario, ideological correctness always plays second fiddle to political survival
Oh, I’m not saying Prodi will do anything to favour this. I’m just saying “if” he was to.
At the end of the day, he and Berlusconi are politicians, and politicians almost always go for the decision that fattens their wallets more.
By: MSR777 - 9th August 2004 at 18:52
Sandy, I think you are being too hard on Prodi. The EU will oppose this, but if Berlusconi smells political fallout over the demise of Alitalia then he could well “railroad” this through despite the consequences for Italy already outlined here. As I hinted earlier, this is a strange position for a Govt. of this ilk to take but as history shows, in this kind of scenario, ideological correctness always plays second fiddle to political survival
By: Bmused55 - 9th August 2004 at 18:37
I think Dantheman has a point.
The EU commission is now headed by an Italian. If this demand were to be given a green light, I think BA and the other airlines affected would be well withing their right to present an appeal to the WTO
By: MSR777 - 9th August 2004 at 18:35
I don’t think for a moment that the EU Commission will stand for that and I would expect to see a very stern response from them shortly. All the more strange this as the current Italian Govt. is one of those loony right wing free market “Stalinists” types so beloved in certain quarters! Ooops could be straying into another forums waters here!
By: Dantheman77 - 9th August 2004 at 18:23
What Alitalia is asking is Illegal,but with an Italian (Romano Prodi) the president of the EU,who knows what will happen?
By: Grey Area - 9th August 2004 at 17:41
There’s no way on earth that Italy can do this without exposing Alitalia and other Italian companies to punitive sanctions from the EU and WTO.
By: tenthije - 9th August 2004 at 17:32
Can Italy do that? I’d imagine the EU would be fiercely against this.
By: LBARULES - 9th August 2004 at 16:15
How silly, if Alitalia is that desperate, it surely shouldnt be operating at all.
As others have said, surely illegal.
By: seahawk - 9th August 2004 at 16:11
Alitalia has no future if they need such protection. And it is illegal anyway.
By: Ren Frew - 9th August 2004 at 14:54
I’m not a fan of privatisiation generally but it may be the best thing for the future of Alitalia ?
By: andrewm - 9th August 2004 at 14:05
mmm a sign of Alitalia going under i assume? I hope UK and Germany do it back to Italy!!
What about easyJet and all the locos? Surly they will try to curb them to as no point curbing if locos get away!
By: 4 engines good - 9th August 2004 at 13:45
I was going to say the same… Surely an illegal move!
Sign In
August 9, 2004 at 12:25 pm