The Strategist

Italy to create a new national air carrier

10/12/2020 - 05:03

The Italian government has decided to create a new national air carrier, which will be called Alitalia ITA.

A special decree on the creation of the country's largest airline was signed by the Ministers of Finance, Transport, Economic Development and Labor of Italy. "A leading national airline is born, which must play an important role in the European and international market. This is a production operation for the benefit of the country, which embodies Italian competence and professionalism, it will support the competitiveness of our companies and tourism. This is an investment in the future", - Italian Minister of Infrastructure and Transport Paola De Micheli wrote on Facebook.

Founded in 1946, Alitalia haв been on the brink of bankruptcy for more than ten years. In August 2014, an agreement was signed with Etihad Airways to sell a 49% stake in the national carrier to the Emirati airline. The agreement provided for the recapitalization of the company for a total amount of €1.158 billion. However, in April 2017, during a corporate referendum, the company's employees rejected the anti-crisis plan for its development, proposed by the top management.

As a result, Alitalia appointed an extraordinary commissioner, and the Italian government over the years provided the airline with loans totaling €1.3 billion to continue its current activities.

The creation of the new airline thus leaves behind Alitalia's sad history of recent years, along with its debts. The ministerial decree also contains the names of the board members of Alitalia ITA. Francesco Caio became the president of the new company.