German newspaper WELT (German only) is saying that Alitalia will run out of money in 20 days. They are quoting director Massimo Chieli of Alitalia.
Both passenger numbers and turnover did not meet the set targets. Alitalia’s president, Giancarlo Cimoli, said that turnover was 17 million euros (+/- 11 million pounds) too low. Domestic flights in particular where loss makers.
Up to 5000 employees will have to be fired if Alitalia is to survive. Exact numbers could not be given though.
Now the Italian Aviation Autorities, ENAC, are ordering BA and LH to increase the price of some of their flights to/from Italy.
I knew that Alitalia was in deep problems, but I was not aware the problems where this acute. Will they need to be bailed out? If so, how?
I can’t imagine many airlines will want to invest in them. Maybe a few Skyteam members will chip in, but I would not consider it likely. The Italian government is bound by European regulations banning state aid. As it is Europe is turning a blind eye on them considering the price hikes that where ordered upon BA and LH. Would they let AZ go even further to include direct state aid?
By: MANAIRPORTMAD - 26th August 2004 at 00:53
To be honest I dont want any airline around right now to go bust as every one of them makes spotting more interesting. Also I like Alitalia and Id miss seeing them at MAN as its abit diffrent from all the blue liveries.
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By: Dantheman77 - 25th August 2004 at 22:39
i read in last weeks Flight International that the Italian Government is thinking about a £400million emergency loan
By: Bmused55 - 25th August 2004 at 21:31
I hope they go bust. It is disgusting that airlines like BA and LH have to compete not with another airline, but with the Italian government!
It’s unfair, it’s immoral and it’s illegal – but the French and Italians both do it all the time. It has got to stop.
in total agreement with you Mongu
By: mongu - 25th August 2004 at 21:25
I hope they go bust. It is disgusting that airlines like BA and LH have to compete not with another airline, but with the Italian government!
It’s unfair, it’s immoral and it’s illegal – but the French and Italians both do it all the time. It has got to stop.
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August 25, 2004 at 7:06 pm