Alitalia Teetering On Bailout or Liquidation


Alitalia is on the brink of liquidation today as it awaits a decision by CAI, an investor group,  on whether or not to rescue the government-controlled airline, Reuters reports. The airline, which filed for receivership protection earlier this month, said last week that it could not guarantee any flights after Monday. The Airlines Reporting Corporation (ARC) has processed Alitalia's remaining tickets in the meantime.

CAI, whose board meeting begins at 4 p.m. EDT,will withdraw from the bailout if its proposal does not get union approval. Only three of Alitalia's nine unions have said they are ready to accept CAI's offer. Nearly 3,250 of Alitalia's 20,000 workers will be laid off if the bailout plan comes to fruition, as CAI would only buy the profitable parts of the airline before relaunching it as a regional carrier.

Read more on:

Suggested Articles:

JetBlue will launch 24 new routes later this year, bolstering its hubs in New York City, Florida, Latin American and the Caribbean. Read more here.

The insurance means that any guests who are diagnosed with COVID-19 during their trip won’t have to worry about medical expenses or quarantine costs.

Plans include additional service to 14 leisure destinations in Hawaii, Florida and Mexico. Here's what travelers can expect.