Countdown to Alitalia airline’s fate

On Monday, October 16, at 6 pm the deadline for Alitalia binding offers expired. Finally, it should be known who are interested and in what form. However, with the new tax decree, the framework changes: to the 600 million bridge loan granted in May, another 300 was added, with an extension of ten-month restitution times, from early November 2017 to September 30, 2018. The date for completion of sales procedures was also extended from November 5, 2017 to April 30, 2018.

Alitalia’s latest released information says that 7 proposals have been delivered to the notarial study in Rome. Among the offers, which will now be evaluated by the extraordinary commissioners, is Lufthansa.

The German Group has confirmed through a press release that its interest is only on part of the aviation: the fleet, the staff, and the global, European, Italian, and point-to-point services.

“The offer – specifically the note – includes the concept for a new and structured Alitalia with a precise business model (NewAlitalia) that develops on long-term economic goals. The Commissioners responsible for the procedure and the management of Lufthansa have agreed to keep private information on the economic and financial details of the offer.”

Over the past few hours, rumors have come up saying that a draft of Lufthansa indicates the interest for an offer of about 500 million euro, a halving of staff (about 6,000 exuberance), and a reduction in short- to medium-range activities. However, there is no confirmation or denial by the German management and the Italian government.

Lufthansa has officially certified the acquisition of Air Berlin, the low-cost German company in extraordinary administration: it was awarded a billion and a half euro after a race that saw the participation of EasyJet. There were 140 aircraft and 8,500 workers in the deal. For the time being, the giant German air carrier opted for the acquisition of 81 aircraft and 3,000 staff.

EasyJet was Interested, however, only tin some assets of Alitalia. The offer is “consistent with the current strategy” of the UK company for Italy. Given the nature of the process, the content of the proposal is subject to confidentiality, reads Easyjet’s statement. It adds, “There is no certainty that we will go ahead with a transaction, and EasyJet will provide a further update in due time if and when deemed appropriate.”

There are many dark spots regarding Alitalia. While its survival is ongoing, it is opening new destinations and taking on staff at the management level.

It turns out that of late the General Manager, the Marketing Manager, and other staff of Emirate Airlines Rome, have joined Alitalia – a strange exodus considering the uncertainty of the survival of an airline on the brink of bankruptcy.

However, in Italy, anything and everything can happen, especially when the government wants to maintain prestige in the eyes of the world, even if it is to the dependent upon taxpayers’ sacrifices.