Tag Archives: Alitalia (2nd)

Alitalia CEO: Etihad Airways will decide in 3-4 weeks whether to invest

Alitalia’s (2nd) (Rome) CEO Gabriele Del Torchio stated Etihad Airways (Abu Dhabi) is doing its due diligence (reviewing all of the data) which will take between three and fours week according to this report by Reuters. After its review, Etihad will then decide whether it will invest in the faltering flag carrier.

Alitalia is facing increased low-fare competition on its home turf and any rescue will face stiff opposition from other carriers and will need European Union approvals. Etihad, if it proceeds with an acquisition, is likely to ask for drastic cuts to personnel and costs (like Air France-KLM did).

Is there Alitalia 3 on the horizon?

Read the full report: CLICK HERE

Copyright Photo: Paul Bannwarth/AirlinersGallery.com. Embraer ERJ 170-200LR (ERJ 175) EI-RDO (msn 17000348) approaches the runway at Zurich.

Alitalia (2nd):

Lufthansa asks the European Commission to block any Alitalia-Etihad Airways alliance

Lufthansa (Frankfurt) has called on the European Commission to block any alliance and buy-in between Alitalia (2nd) (Rome) and Etihad Airways (Abu Dhabi). Etihad, which already has alliances with Aer Lingus, Airberlin and Air Serbia in Europe, is reportedly close to a deal with Alitalia according to Reuters. Lufthansa has lobbied against state-owned Gulf airlines (especially Emirates Etihad Airways and Qatar Airways) from expanding in Europe because of their unfair state aid.

Read the full report: CLICK HERE

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 747-830 D-ABYH (msn 37832) climbs majestically from the runway at Los Angeles International Airport (LAX).

Lufthansa:

Alitalia to finalize loans of $270 million with the banks in order to keep flying

Alitalia (2nd) (Rome) is about to finalize loans of around $270 million with banks that were pledged last year as part of a plan to keep the Italian flag carrier according to Reuters. However the carrier is coming under increasing pressure on its Italian turf from lost cost carriers (especially easyJet and Ryanair) now adding flights in Italy.

Read the full report: CLICK HERE

Copyright Photo: Rolf Wallner/AirlinersGallery.com. Embraer ERJ 170-200LR (ERJ 175) EI-RDF (msn 17000337) taxies at Zurich (ZRH).

Alitalia:

Alitalia is asking for more money

Alitalia (2nd) (Rome) is again apparently facing a capital crunch. The Italian carrier has asked Italian banks to extend an existing loan agreement by 50 million euros ($68 million), according to Reuters quoting the daily Il Messaggero.

Etihad Airways meanwhile continues to negotiate with Alitalia about a possible equity investment.

Read the full report: CLICK HERE

Copyright Photo: Marco Finelli/AirlinersGallery.com. Alitalia’s Airbus A321-112 EI-IXI (msn 494) in the 1960 retrojet livery arrives at Rome’s Fiumicino-Leonardo da Vinci International Airport hub.

Alitalia (2nd):

Etihad Airways again to the rescue: seriously negotiating to purchase 49% of Alitalia

Alitalia (2nd) (Rome) is reportedly in advanced discussions with Etihad Airways (Abu Dhabi) about a possible sale of 49 percent of its shares to the fast-growing carrier. Etihad has been steadily adding a growing list of struggling airlines and turning them around creating a large profitable feeder network.

Alitalia is struggling to avoid another bankruptcy. Any purchase would require a radical remake of the loss-making Italian flag carrier. Are we ready for Alitalia 3?

Read the full story from the Financial Times: CLICK HERE

Copyright Photo: Paul Bannwarth/AirlinersGallery.com. Alitalia’s Airbus A320-216 EI-DTN (msn 4143) prepares to land in Frankfurt.

Alitalia (2nd):

Etihad Airways:

Is Avianca’s German Efromovich the savior of Alitalia or LOT Polish Airlines?

Avianca’s (Bogota) owner, German Efromovich, is considering making a deal to acquire a share of struggling Alitalia (2nd) (Rome) or state-owned LOT Polish Airlines (Warsaw). Any acquisition would be completed as an individual, not through Avianca which has expressed it does not have any interest in either airline.

Read the full story from Reuters: CLICK HERE

Alitalia reaches its $412 million cash call goal, will keep flying

Alitalia (2nd) (Rome) has reached its goal to obtain $412 million in a cash call from its close investors according to Reuters. This will allow the struggling carrier to keep flying during the Christmas and New Year’s Day holidays. The cash call is part of the Italian government’s plan to keep the flag carrier flying while it searches for a new partner to rescue the airline.

Read the full story from Reuters: CLICK HERE

Copyright Photo: Rolf Wallner/AirlinersGallery.com. Embraer ERJ 170-200LR (ERJ 175) EI-RDC (msn 17000333) taxies at Zurich.

Alitalia (2nd):

Alitalia fails to raise enough “cash call” capital to keep it flying

Alitalia (2nd) (Rome) according to Reuters, has failed so far to raise the 300 million euros ($407 million) (only 173 million euros received) in its emergency cash call. The flag carrier is now facing stiffer competition as other airlines move in to add new routes from Italy sensing the emergency. Alitalia will need to find a strategic carrier very quickly that is willing to invest in a failing airline and turn it around. So far Etihad Airways (Abu Dhabi), the savior of struggling airlines, has avoided Alitalia.

Air France-KLM, which owns 25 percent, refused to put in any more capital because it stated the rescue plan was not drastic enough to save the airline.

This is the second version of Alitalia, saved once before from the first failing Alitalia. Is there a third?

The Italian drama continues. Read the full report: CLICK HERE

Alitalia (2nd):

Alitalia refuses to work with Ryanair

Alitalia (2nd) (Rome) has flatly turned away Ryanair’s (Dublin) (please see the previous post) offer to feed Alitalia’s long range flights at its Rome Fiumicino hub. Ryanair has announced it will move many of its flights to its new Fiumicino base.

Alitalia issued this terse and short statement:

“Alitalia has its own strategy, an industrial plan, a fleet and its own crews that allow it to have the necessary passenger traffic to feed its international and intercontinental connections leaving from the hub at Fiumicino airport”.

Read the full report from Reuters: CLICK HERE

Copyright Photo: Ken Petersen/AirlinersGallery.com. Alitalia’s Boeing 767-343 ER EI-CRM (msn 30009) arrives from Rome (Fiumicino) at New York (JFK).

Alitalia (2nd):

Alitalia is likely to cut up to 2,600 jobs to reduce costs

Alitalia (2nd) (Rome) is likely to eliminate between 2,500 and 2,600 positions, including 1,300 are fixed-term contracts and possibly 220 pilots, 400 cabin staff and 600-700 ground workers according to this report by Reuters citing union sources familiar with the latest cost-cutting plan.

Read the full report: CLICK HERE

Copyright Photo: Ken Petersen/AirlinersGallery.com. Boeing 777-243 ER EI-DBM (msn 32782) approaches New York (JFK) for landing.

Alitalia: