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Alitalia: Brussels and Rome in search of "viable solutions"

2021-03-05T13:58:46.218Z


Brussels and the new Italian government led by Mario Draghi " have agreed to work together constructively to find viable solutions " for Alitalia, in great financial difficulty, a spokesperson for the European Commission said on Friday. Read also: Alitalia launches "Covid-free" flights between Rome and Milan The Vice-President of the Commission in charge of Competition Margrethe Vestager held a


Brussels and the new Italian government led by Mario Draghi "

have agreed to work together constructively to find viable solutions

" for Alitalia, in great financial difficulty, a spokesperson for the European Commission said on Friday.

Read also: Alitalia launches "Covid-free" flights between Rome and Milan

The Vice-President of the Commission in charge of Competition Margrethe Vestager held a videoconference with the Minister of the Economy Daniele Franco, the Minister of Economic Development Giancarlo Giorgetti and the Minister of Transport Enrico Giovannini, with the agenda the thorny question of public aid.

Technical discussions will begin next week "

to assess in detail the possible solutions so that the new air carrier comes into being as quickly as possible

", the Italian government said in a statement, citing a "

positive interview

".

Alitalia's accounts have been in the red for years and the company had to be placed under public administration in 2017. Since that date, the State has sought in vain for buyers.

A new public company to save Alitalia

"

Alitalia has not paid its suppliers for months, it's quite tragic,

" Andrea Giuricin, professor of transport economics at Bicocca University in Milan, told AFP.

According to its calculations, Alitalia has accumulated losses of 11.4 billion euros between 2000 and 2020.

The former government led by Giuseppe Conte had created a new public company to save Alitalia, in which it intended to inject 3 billion euros.

This company, called Ita, was to have a fleet of some 90 aircraft against 113 at the time, the government explained at the time.

According to the Italian press, the ambitions of this plan have, however, been significantly reduced.

It is now a question of a fleet reduced to about 45 aircraft and staff reduced to around 4,500 employees for the aviation sector.

Maintenance and ground services could be put up for sale, according to these plans.

In total, the company had 11,400 employees at the end of 2019.

Plans that are of great concern to the unions in the sector.

An Alitalia cut into pieces and impoverished, with less than half of the aircraft available, how can it be competitive in the most profitable market, that of long-haul?

“, Denounced Salvatore Pellecchia, general secretary of the union Fit-Cisl.

At least a hundred planes are needed, including 30 long-haul aircraft, to be competitive,

” he told AFP.

While the Italian press has speculated on Lufthansa's entry into the capital of the future Alitalia, the German air transport giant seems to opt instead for a simple commercial partnership.

Source: lefigaro

All business articles on 2021-03-05

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