Unions call on govt to stop Alitalia bankruptcy
Transport minister does not want to give State aid10 October, 16:46
There are fears the loss-making airline could default on its huge debts within days.
Earlier this week creditor ENI, which is owed around 30 million euros, threatened to stop supplying fuel to Alitalia and the unions say the company needs a 300-million-euro capital increase and 200 million euros in interim funding to stay afloat.
Possible solutions could be for a State-controlled company such as the national train company to inject capital into Alitalia.
It is possible that Alitalia's largest shareholder, Air France-KLM, could raise its 25% stake, although there are fears the French-Dutch carrier would want to cut thousands of jobs if it took over. Unions CGIL, CISL and UIL called on the government to undertake an "immediate intervention" to save a company "that is a strategic asset for the country's development". Transport Minister Maurizio Lupi said the government was working on solutions but said it was against granting State aid, which would be difficult given the condition of the public finances and might be seen as breaking EU law. Alitalia was rescued from bankruptcy by a consortium of Italian investors in 2009 after then-premier Silvio Berlusconi scuppered a bid by Air France to take over the Italian airline.