Alitalia plan to avoid bankruptcy
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The management of Alitalia is today due to present to its unions a rescue plan which holds the key to whether the state-controlled airline receives a government-guaranteed loan to avoid bankruptcy.
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After winning union backing for job cuts, Alitalia gave formal approval Monday to a four-year business plan aimed at saving the near-bankrupt Italian carrier from collapse.
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MILAN : Alitalia pursued last-ditch talks with unions, its deadline for clinching a rescue plan or face bankruptcy, a day after winning a key deal with pilots.
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Air France-KLM appeared best placed to buy Alitalia, ahead of Italian company Air One, as Alitalia's board prepared to meet on Friday on which rescue plan to recommend to the government.
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The management of Alitalia was due to present a rescue plan to trades unions which hold the key to whether the state-controlled airline receives a government-guaranteed loan to avoid bankruptcy.
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Alitalia reached a vital deal with its pilots on productivity improvements on Tuesday, a day ahead of a deadline to seal a rescue plan or face bankruptcy, union sources said.
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State carrier Alitalia could be faced with collapse within 20 days without the approval of a restructuring plan that would allow the airline to tap into a loan of 400 million euros (&#36;488 million), the company's chairman was quoted as saying in Italian news reports Tuesday.
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Alitalia headed into eleventh-hour talks with unions to clinch plans to avoid bankruptcy, after winning a key deal with pilots.
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Alitalia's board of directors said Friday it had advised the Italian government to pursue an offer by Air France-KLM to rescue the near-bankrupt airline with a long-term investment of 6.5 billion euros.
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With union backing for job cuts, Alitalia&#39;s board has approved a four-year business plan to save the near-bankrupt Italian airline from collapse.
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MANAGEMENT at the Italian national airline Alitalia put forward a rescue plan today to trade unions that foresees slashing 5000 jobs and splitting the struggling carrier into two in order to keep it aloft.
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Alitalia directors were expected later to give formal backing to a four-year rescue plan that will free up a 400-million euro (486-million-dollar) state-backed loan to keep the carrier aloft.
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Alitalia reaches agreement with the Italian government about a 400m euro loan needed to fund a major restructuring of the business and to ensure its survival.
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Italy's flagship air carrier Alitalia plans to cut 5,000 jobs as part of restructuring efforts aimed at avoiding collapse, news reports and an industry source said Monday.
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Air France-KLM on Monday detailed its offer to buy Alitalia, including a cash injection and promising no new lay-offs, confirming comments made on Sunday by its chairman to Italian newspapers.
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ROME - Italian air carrier Alitalia plans to cut 5,000 jobs as part of restructuring efforts aimed at avoiding collapse, news reports and an industry source said Monday.
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Alitalia directors and union officials met to thrash out a rescue plan for the Italian airline which could go bankrupt in a month, as shares closed at a near-historic low.