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22.09.2008 - Alitalia set to seek rescue bids

Alitalia's administrator is expected to make a final appeal for rescue bids to save the ailing Italian airline.
The plan comes after an attempt to reach a deal with unions and Italian consortium CAI collapsed last week, after a disagreement over job cuts.

The Czech Republic news are represented by www.czechrepublic-prague.com


Alitalia is estimated to be losing more than 2m euros ($2.9m; Ј1.6m) every day.
On Saturday, Italian Prime Minister Silvio Berlusconi admitted that the airline could be heading towards bankruptcy procedures.
Flight threat
Alitalia administrator Augusto Fantozzi is set to request bids by 30 September, according Alitalia cancels 30 flights after consortium drops takeover bid ...
Alitalia faces liquidation ...
Alitalia 'running out of fuel' ...
Argentines 'forging Italian passports' ...
EU court rules against Alitalia ...
to newswire Ansa.
"We will proceed with a public request (for offers)," Mr Fantozzi told Il Messagero over the weekend.
"It will formalise what I have been doing - without any results so far despite all my efforts - regarding the main assets."
Without a rescue, Alitalia flights could be grounded within a week to 10 days. Last week, the airline cancelled a number of flights from Rome's Fiumicino airport amid rumours it could no longer afford to buy aviation fuel.
Union resistance
Alitalia has been in financial trouble for years.
Last week, the possibility of a takeover by Italian investor group CAI collapsed after the offer was opposed by six unions, who were unhappy at plans to cut 3,000 jobs. Three unions had backed the offer.
Earlier this year, unions had also blocked Air France-KLM's bid to buy Alitalia.
Under European competition rules nationalisation of the airline is not permitted.
At the weekend, Silvio Berlusconi said there was little chance of finding a foreign bidder.
"The other big flag carriers aren't interested in getting Alitalia out of trouble," he said in a TV interview.
Mr Berlusconi said he still hoped that a solution could be found, but conceded that the airline could be "heading towards bankruptcy procedures".



(BBC)


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