Alitalia files for bankruptcy in line with plan
Published: Friday 29 August 2008 18:42 UTC
Last updated: Friday 29 August 2008 18:42 UTC
The Italian airline Alitalia has filed for bankruptcy, clearing the way for a rescue plan presented last week. The proposal is to divide the company into two parts, one profit making and the other loss making.A syndicate of 16 Italian financiers plan to take over the profit-making section of the company. Negotiations are underway on the possibility of Air France/KLM buying a minority interest in the new company.
The government in Rome is determined to keep Alitalia under Italian control. The loss-making part of the company will be wound up under the plan.
