Alitalia asks to be grounded as debt hits €3bn
Rome rules out renationalising the airline once a symbol of Italy’s post-war economic boom
Milan — Loss-making airline Alitalia, which asked to be put under special administration on Tuesday, had debts of about €3bn as of the end of February, Italy’s government said on Saturday. In a document marking the opening of the special administration process and the appointment of three commissioners to run the airline, the government said Alitalia had current liabilities of about €2.3bn and assets worth €921m. Alitalia, 49% owned by Abu Dhabi’s Etihad Airways, has filed to be put under special administration for the second time in less than a decade after workers rejected its latest rescue plan. Rome has ruled out renationalising Alitalia, an airline that was once a symbol of Italy’s post-war economic boom but is now struggling to compete at home against low-cost carriers and high-speed trains, and has not invested sufficiently in the higher-margin long-haul routes to get back to profit. The airline’s balance sheet will be scrutinised by the three commissioners who have been give...
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