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.
Alitalia (2nd) (Rome) received good news yesterday (October 11) when its board of directors (including Air France-KLM) approved a capital increase as part of the Italian government’s sponsored 500 million euro bailout plan according to this report by Reuters. However with the airline losing an estimated 10 million euros a day, this amount will be exhausted in the next two months. Clearly the airline needs another financial overhaul to reduce costs and increase revenue. The Italian government has also called for Alitalia to join an alliance.