daily menu » rate the banner | guess the city | one on oneforums map | privacy policy | DMCA | news magazine | posting guidelines

Go Back   SkyscraperCity > Infrastructure and Mobility Forums > Airports and Aviation

Airports and Aviation » Airports | Photos and Videos



Global Announcement

As a general reminder, please respect others and respect copyrights. Go here to familiarize yourself with our posting policy.


Reply

 
Thread Tools
Old August 21st, 2008, 03:52 PM   #301
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

INTERVIEW-Small Alitalia investors demand compensation

ROME, Aug 21 (Reuters) - Minority shareholders in Alitalia may take legal action unless a rescue plan for the troubled airline compensates them through warrants or other measures, the head of a group organising the investors said.

Shares of Alitalia have been suspended since June after the Italian government, which owns the controlling 49.9 percent stake, began a third attempt to sell the near-bankrupt carrier.

A long-awaited rescue plan by adviser Intesa Sanpaolo that could be unveiled next week is expected to propose a bankruptcy filing and splitting off the airline's healthy parts for new investors while leaving everything else in a so-called "bad company".

Alitalia's minority shareholders and bondholders fear they will end up with nothing and want either warrants allowing them to buy shares in a restructured Alitalia at a preset price or have part of the capital hike reserved for them, said Domenico Bacci of the Siti non-profit group.

"Our main concern is that one cannot have a rescue plan without safeguarding the Italians that continued to believe in the future of the airline through all these months," said Bacci, whose group defends investors in cases of financial collapse or fraud, such as Parmalat and Cirio.

"The minority shareholders have as much right to participate in the new company as anyone else; the form that takes can be discussed -- either through the issue of warrants or having part of the capital increase reserved for them."

Bacci said it was difficult to quantify the number of investors who have came forward under his group's initiative, since the effort to gather investors together was launched in July, just before the August holiday period.

According to the latest Reuters data, Air France-KLM -- whose deal to buy Alitalia collapsed over union opposition -- is the second-largest investor in Alitalia with a 2 percent stake, followed by 31 institutional holders who each hold a stake of less than 0.01 percent. The airline was worth just under $1 billion when its shares were suspended.

"We reserve the right to begin legal action if we are not guaranteed any compensation," said Bacci. "For now, we're waiting to see the rescue plan, and if the proposals we want don't materialise, we will move on that front."

The group has not yet decided whether to sue the government or Alitalia or the architects of its rescue plan, Bacci said.

But he said small investors were not to blame for failing to get out when the airline's fortunes began sinking, adding the government had reassured investors by stepping in earlier this year with a 300 million euro loan to keep the airline afloat.

"For small investors, the moment to get out is never clear," he said. "When a small investor sees that the Italian government is intervening to finance the company, he continues to hope that the plan to salvage the airline is being completed."
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote

Sponsored Links
Old August 26th, 2008, 06:30 AM   #302
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

Crucial week for Italy's near-bankrupt flag carrier
25 August 2008
Agence France Presse

Italy's near-bankrupt flag carrier Alitalia may know its fate this week as the company reveals its first-half results, expected to be disastrous, and a possible rescue plan takes shape.

Potential bidders in a consortium to rescue the airline were on Monday set to declare their interest in the project, according to a source close to the dossier.

The company, in which the state has a 49.9 percent stake, has been surviving on a loan of 300 million euros (471 million dollars) made in late April from public funds after the collapse of takeover talks with Air France-KLM.

Investors and business leaders met on Monday with Intesa Sanpaolo, the Italian banking giant tasked with advising the government on the operation, and were expected to outline "their availability to invest in the project to relaunch Alitalia," the source close to the dossier said.

Possible bidders include the Benetton clothing group, insurance magnate Salvatore Ligresti, the transport group Aponte and the Equinox investment fund.

Alitalia announced pre-tax losses of 215 million euros in the first quarter of this year.

The airline is some 400 million euros in the red, according to an estimate by the Bruno Leoni research institute.

Bidders must make a formal commitment on Monday so that a definitive offer for the airline can be presented to its board of directors on Friday, when the company is to announce its first-half results.

Intesa Sanpaolo has developed a plan that would hive off the unprofitable parts of the company into an entity that could declare bankruptcy, while relaunching the money-making parts.

The new Alitalia would join forces with its domestic rival Air One to create what is being billed as a "national champion."

Together, the two airlines would have nearly 65 percent of the market and Alitalia would be able to retire part of its fleet, considered the oldest in Europe.

In a later phase, the new Alitalia is expected to go into an alliance with a foreign company.

The daily La Stampa reported that Germany's Lufthansa has asked for a 20 to 25 percent stake in Alitalia in exchange for support for the Italian airline's relaunch.

However, uncertainty over the project is deep, beginning with the question of job cuts.

Some 7,000 of the company's 20,000-strong work force will have to be laid off, according to press leaks in recent weeks.

"We are anxious to know exactly how many layoffs are planned for Alitalia," said Raffaele Bonanni, secretary of CISL, a leading Italian trades union, on Monday.

Alitalia's debts are another big issue -- business leaders who have come forward to take over the company have made clear that they do not want to take them on board.

The rescue plan would leave the debts and unprofitable units in state hands -- a legally unviable prospect. However, the government could move quickly to introduce new bankruptcy legislation to make it possible as soon as Thursday.

Italian Prime Minister Silvio Berlusconi early this month promised a "miracle" to save the national flag carrier.

The billionaire Berlusconi is blamed for the failure of Air France-KLM's takeover bid by making it an election issue ahead of the polls he won in mid-April when he made repeated assurances that an all-Italian consortium would carry the day.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 3rd, 2008, 09:56 PM   #303
nazrey
Registered User
 
nazrey's Avatar
 
Join Date: Sep 2003
Posts: 91,239
Likes (Received): 11229

Italian group offers to buy Alitalia stake
Published: 2008/09/04

ROME: An Italian investor group leading a government-sponsored rescue of Alitalia has submitted a preliminary offer to buy a large chunk of the bankrupt airline, the carrier said in a statement.

No details about the offer were disclosed, but Alitalia said the bid by Compagnia Aerea Italiana (CAI) appeared to meet requirements under a newly modified bankruptcy law, according to the commissioner overseeing its bankruptcy.

Sources close to the matter had earlier said CAI, a group of 16 top Italian business figures led by Piaggio chief executive officer Roberto Colaninno, submitted the bid on Monday.

The offer is part of the government's latest attempt to settle the fate of the carrier, which filed for bankruptcy last week after 20 months on the block.

Under the plan, the investors will buy Alitalia's best parts and relaunch it as a smaller airline focusing on short and medium haul routes, before hunting for a foreign alliance.

Italy's government, which owns 49.9 per cent of the carrier, changed bankruptcy law and suspended antitrust rules last week to faciliate the rescue. - Reuters
nazrey está en línea ahora   Reply With Quote
Old September 8th, 2008, 01:08 AM   #304
nazrey
Registered User
 
nazrey's Avatar
 
Join Date: Sep 2003
Posts: 91,239
Likes (Received): 11229

Alitalia to be new company on Nov 1
Published: 2008/09/08

ALITALIA SpA, Italy’s insolvent state-controlled airline, will become a new company on November 1 after a government-backed reorganisation, Industry Minister Claudio Scajola said.

“I think the situation is such that this deadline will be respected,” Scajola said at a conference yesterday in Cernobbio, Italy. “We need an airline which can be competitive as soon as possible.”

A government rescue plan aims for Rome-based Alitalia to boost revenue and break even in two years, while adding new planes after a group of investors buys its best assets and unprofitable ones are sold. - Bloomberg
nazrey está en línea ahora   Reply With Quote
Old September 8th, 2008, 05:19 AM   #305
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

EU scrutiny of Alitalia rescue will be thorough
6 September 2008

CERNOBBIO, Italy (AP) - The European Union is studying an Italian measure passed to save struggling national carrier Alitalia to ensure that EU rules are respected, the EU transport chief said Saturday.

Transport Commissioner Antonio Tajani said in an interview with The Associated Press that assessment would take weeks, and that Italian government officials may be called upon for talks if any clarification is needed.

The Italian government passed the measure, a decree, late last month to revise the bankruptcy-protection legislation.

The move raised concerns that the custom-tailored law could qualify as state aid, which Alitalia cannot receive under EU rules. The EU already is investigating whether those rules were broken by a government loan given to Alitalia in April to keep the cash-strapped carrier flying.

"We will assess the text word by word," Tajani said. "We will also assess its implementation."

"My attitude will neither be persecutory nor indulgent," he said on the sidelines of a conference of global business and political leaders in this northern Italian resort on Lake Como. "We will neither attack nor defend. We will only work to ascertain that Italy has acted in the respect of EU norms."

The government's decree was presented to the EU before its adoption at a Cabinet meeting Aug. 28, Tajani said.

The decree paved the way for Alitalia to declare insolvency and seek bankruptcy protection the following day.

The move was crucial in Premier Silvio Berlusconi's government's plan to reshape Alitalia, a company that had been losing euro2 million (US$3 million) a day amid labor unrest, competition from budget airlines and, recently, high fuel prices. Its shares have been suspended from trading since June.

Under the plan, Alitalia's profitable assets are to be taken over by a group of Italian investors ready to inject euro1 billion (US$1.5 billion). The other assets are expected to be liquidated.

Tajani said the EU is also assessing the industrial plan presented by the investors. The plan was presented to EU transports authorities in a meeting Wednesday, which Tajani described as "fruitful." He said he has repeatedly stressed the need for respecting EU norms in "formal and informal" talks with members of Italian bank Intesa Sanpaolo, which is acting as the government's adviser for Alitalia.

He said it was premature to give further comment.

The investors who will take over the new, slimmer Alitalia are headed by Roberto Colaninno, the chairman of motorcycle maker Piaggio.

Alitalia is also looking for a foreign partner. Possible candidates mentioned have included Air France-KLM, which earlier this year walked out of talks to take over the airline, and Germany's Lufthansa. The plan will also be presented to British Airways, Intesa Sanpaolo executive Gaetano Micciche was quoted Saturday as saying by financial daily Il Sole 24 Ore.

However, no decision has been made, and no foreign investor would have a majority stake, Intesa Sanpaolo CEO Corrado Passera said Saturday.

"We can rule out any possible international partner having a majority stake, either absolute or relative, now and in the future," Passera told reporters on the sidelines of the gathering in Cernobbio.

Berlusconi has said he wants Alitalia to remain in Italian hands, on grounds that its being under foreign ownership would hurt the country's tourism industry and damage Italy's overall prestige. He was opposed to the Air France-KLM takeover plan and made rescuing the company a chief promise of his electoral campaign before April elections.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 11th, 2008, 04:28 AM   #306
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

Alitalia unions warned of dismissals in absence of agreement
10 September 2008
Agence France Presse

The special administrator for foundering Italian carrier Alitalia warned unions Wednesday he would begin to dismiss workers if a deal on a new labour contract was not reached on Thursday.

Augusto Fantozzi, appointed late last month after Alitalia asked to be declared bankrupt, said that unless agreement was reached by a Thursday deadline, the company would proceed to "cancel (labour) contracts" and would begin procedures leading to dismissals.

He has warned repeatedly that in the absence of a deal with Alitalia unions, the airline -- which by the end of September will have only 30 to 50 million euros (42-70 million dollars) at its disposal -- will fail.

Fantozzi told unions that negotiations with an alliance of Italian investors prepared to take over -- and re-launch -- Alitalia would resume Thursday at the labour ministry.

Talks were suspended late Monday. Union negotiators rejected investor proposals for a single labour contract and for reductions in salaries and vacation time.

"The alternative is failure and that should induce everyone to adopt reasonable behaviour," said Labour Minister Maurizio Sacconi.

Talks between the Franco-Dutch carrier Air France-KLM and Alitalia on a full takeover and rescue collapsed in April when the airline's future became an issue in elections won by Silvio Berlusconi, who promised voters an "Italian solution" to its problems.

Alitalia, burdened with a debt of 1.7 billion euros at the end of July, employs 11,100 people in its air transport operations and a further 8,300 in maintenance and services.

The company, in which the Italian state has a 49.9 percent stake, has been surviving on a loan of 300 million euros made in late April from public funds after the collapse of the takeover talks with Air France-KLM.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 11th, 2008, 05:36 PM   #307
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

Alitalia unions, investors in talks on airline's future
11 September 2008
Agence France Presse

Unions at Alitalia and investors who want to reorganise the ailing Italian carrier were locked in talks Thursday on a plan seen as a last-ditch bid to save the company from bankruptcy.

The negotiations, which began a week ago but were suspended on Monday, are deadlocked, with unions rejecting an investor proposal for a single labour contract and cuts in salaries and vacation days.

Job cuts at a revived Alitalia, which could number between 3,250 and 4,000, have yet to be discussed.

Alitalia's special administrator, appointed late last month when the airline asked to be declared insolvent, warned unions Wednesday he would begin to dismiss workers if a deal on a new labour contract were not reached on Thursday.

Augusto Fantozzi has also warned that in the absence of a deal with Alitalia unions, the company -- which by the end of September will have only 30 to 50 million euros (42-70 million dollars) at its disposal -- will fail.

Talks between the Franco-Dutch carrier Air France-KLM and Alitalia on a full takeover and rescue collapsed in April when the airline's future became an issue in elections won by Silvio Berlusconi, who promised voters an "Italian solution" to its problems.

Alitalia, burdened with debt, employs 11,100 people in its air transport operations and a further 8,300 in maintenance and services.

The company, in which the Italian state has a 49.9 percent stake, has been surviving on a loan of 300 million euros made in late April from public funds after the collapse of the takeover talks with Air France-KLM.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 12th, 2008, 04:16 AM   #308
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

FACTBOX-Italy foots bill for Alitalia rescue

Sept 12 (Reuters) - Italy's rescue of Alitalia followed a familiar "Italian solution" script favoured by governments in the country, where domestic investors step in to bail out a company considered strategic to thwart foreign control.

But critics and the opposition say the patriotic rescue called for by Prime Minister Silvio Berlusconi ultimately will be financed by Italians, whose taxpayer funds were also used to lend 300 million euros to the cash-strapped airline in April.

The Economist magazine estimated that at the end of the rescue, about 5 billion euros of public money will have been pumped into saving Alitalia over the years, or about 125 euros by each Italian taxpayer.

Here's how the Italian solution could end up costing the state and taxpayers:

HIGHER AIRFARES

Consumer groups and competitors complain that the government's suspension of antitrust laws to permit Alitalia to merge with domestic rival Air One will give it monopoly control over the lucrative Milan-Rome route and hike fares.

Noting that Alitalia and Air One together control 67 percent of traffic at Milan's Linate airport and 58 percent at Rome's Fiumicino airport, low-cost rival carrier Easyjet was one of several critics to warn that this could restrict choice and lead to "extremely high" fares.

GOLDEN PARACHUTES FOR BAGGAGE HANDLERS?

Alitalia's employees have long enjoyed generous benefits and pay and fended off successive restructuring efforts thanks to the political muscle of their unions, who felled a sale of the airline to Air France-KLM this year. Eager to avoid a fresh union backlash, the government has promised welfare benefits for seven years and the option of jobs at other public or private firms for the more than 3,000 employees who will be laid off.

One newspaper estimated the welfare benefits alone for fired employees will cost the state 1 billion euros.

BAILING OUT SMALL INVESTORS

The government also plans to refund small savers who had invested in Alitalia by turning to dormant public funds available to it, a move expected to cost 200-300 million euros according to La Repubblica newspaper. A group representing investors had threatened lawsuits if they were not compensated.

ALITALIA'S "BAD COMPANY"

Under the "Phoenix" plan, Alitalia's profitable parts will be sold off to Italian investors while its troubled parts and debt of more than 1 billion euros will likely be liquidated, with the state likely to absorb the losses.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 12th, 2008, 05:37 PM   #309
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

CHRONOLOGY-Alitalia's troubled sale process

Sept 12 (Reuters) - Italian investors trying to help save Alitalia SpA from collapse have broken off talks with the airline's unions, saying they see no way to break an impasse. [ID:nLC510628]

Below is a timeline of Alitalia's troubled sale process:

DECEMBER 2006 -- INITIAL AUCTION

The previous centre-left government announces it is putting its Alitalia stake up for sale. The state owns 49.9 percent and sought bids for at least 39.9 percent of the carrier, which would automatically trigger a full bid under Italian takeover law.

There were 11 bidders initially but the auction collapsed in July 2007 as the number shrank gradually, until the only remaining bidder -- smaller rival Air One -- also pulled out.

DECEMBER 2007 -- SECOND TRY

Alitalia then draws up its own list of six potential partners and French-Dutch carrier Air France-KLM and Air One put in non-binding bids.

The centre-left government overlooked lobbying by unions and regional politicians to pick Air France-KLM for exclusive talks.

The two airlines agreed on a takeover that valued Alitalia shares at 10 euro cents, or $184 million, an 81 percent discount to the price they were trading at the time.

Criticism from the then leader of the opposition Silvio Berlusconi during the election campaign, plus a lawsuit by Milan's airport operator, put the deal at risk and it ultimately fell apart over union opposition.

APRIL 2008 - THIRD TIME NOT SO LUCKY

After returning to office as prime minister for a third spell in April, Berlusconi launches third attempt to secure Alitalia's future, promising a group of Italian investors would buy it. Normal disclosure requirements on the sale progress were waived and Alitalia shares were suspended indefinitely in June.

The new centre-right government asked bank Intesa Sanpaolo to draw up a plan, which eventually had Alitalia seek bankruptcy protection under a new process for "public service" companies on Aug. 29.

Berlusconi's cabinet suspended antitrust laws and overhauled bankruptcy law to accommodate the rescue. It hired a special administrator to sell assets to a single buyer of his choice rather than the highest bigger.

A group of investors led by Roberto Colaninno called Compagnia Aerea Italiana (CAI) on Sept. 3 submitted an offer for parts of Alitalia to create a smaller airline with the help of Air One, a domestic rival.

The plan's success was dependent on union approval and a partnership with a foreign airline and the administrator gave unions until Sept. 11 to accept the plan, warning he would liquidate the airline if they refused.

Despite the reluctant support of one union, the others rejected the plan.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 12th, 2008, 05:37 PM   #310
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

CHRONOLOGY-Alitalia's troubled sale process

Sept 12 (Reuters) - Italian investors trying to help save Alitalia SpA from collapse have broken off talks with the airline's unions, saying they see no way to break an impasse. [ID:nLC510628]

Below is a timeline of Alitalia's troubled sale process:

DECEMBER 2006 -- INITIAL AUCTION

The previous centre-left government announces it is putting its Alitalia stake up for sale. The state owns 49.9 percent and sought bids for at least 39.9 percent of the carrier, which would automatically trigger a full bid under Italian takeover law.

There were 11 bidders initially but the auction collapsed in July 2007 as the number shrank gradually, until the only remaining bidder -- smaller rival Air One -- also pulled out.

DECEMBER 2007 -- SECOND TRY

Alitalia then draws up its own list of six potential partners and French-Dutch carrier Air France-KLM and Air One put in non-binding bids.

The centre-left government overlooked lobbying by unions and regional politicians to pick Air France-KLM for exclusive talks.

The two airlines agreed on a takeover that valued Alitalia shares at 10 euro cents, or $184 million, an 81 percent discount to the price they were trading at the time.

Criticism from the then leader of the opposition Silvio Berlusconi during the election campaign, plus a lawsuit by Milan's airport operator, put the deal at risk and it ultimately fell apart over union opposition.

APRIL 2008 - THIRD TIME NOT SO LUCKY

After returning to office as prime minister for a third spell in April, Berlusconi launches third attempt to secure Alitalia's future, promising a group of Italian investors would buy it. Normal disclosure requirements on the sale progress were waived and Alitalia shares were suspended indefinitely in June.

The new centre-right government asked bank Intesa Sanpaolo to draw up a plan, which eventually had Alitalia seek bankruptcy protection under a new process for "public service" companies on Aug. 29.

Berlusconi's cabinet suspended antitrust laws and overhauled bankruptcy law to accommodate the rescue. It hired a special administrator to sell assets to a single buyer of his choice rather than the highest bigger.

A group of investors led by Roberto Colaninno called Compagnia Aerea Italiana (CAI) on Sept. 3 submitted an offer for parts of Alitalia to create a smaller airline with the help of Air One, a domestic rival.

The plan's success was dependent on union approval and a partnership with a foreign airline and the administrator gave unions until Sept. 11 to accept the plan, warning he would liquidate the airline if they refused.

Despite the reluctant support of one union, the others rejected the plan.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 12th, 2008, 06:03 PM   #311
Alvar Lavague
European citizen
 
Join Date: Aug 2006
Location: Paris
Posts: 1,236
Likes (Received): 124

What a shame!
__________________
"Every man has two countries, his own and France"
Thomas Jefferson
Alvar Lavague no está en línea   Reply With Quote
Old September 13th, 2008, 05:51 PM   #312
[email protected]
Global Citizen
 
R@ptor's Avatar
 
Join Date: Jan 2004
Location: Frankfurt
Posts: 4,302
Likes (Received): 6407

I've just read that starting from Monday a large number of Alitalia planes will stay on the ground, because they have no money to purchase fuel anymore!
R@ptor no está en línea   Reply With Quote
Old September 13th, 2008, 08:05 PM   #313
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

Italy PM says will do all he can to save Alitalia

ROME, Sept 13 (Reuters) - Italy's Prime Minister Silvio Berlusconi said on Saturday he would do all he could to save Alitalia from collapse, as the airline's bankruptcy commissioner said the carrier's situation was "plummeting".

A day after a deadline passed for unions to agree a rescue plan, Berlusconi rushed back to Rome from the southern city of Bari to consult key ministers on Alitalia, the loss-making flag carrier which he has said must remain in Italian hands.

"The executive is always ready with its ministers, and today even with the prime minister, to give all the possible support to get to the only solution possible to avoid the airline going bust," Berlusconi told ANSA news agency.

The airline's bankruptcy commissioner had set early Friday as a deadline for a deal between unions and the Italian investors that have agreed in principle to buy the profitable parts of the heavily loss-making airline.

Augusto Fantozzi had said he would start liquidating the company and laying off its staff but on Saturday he convened unions to a meeting that they had requested at 2 p.m. (1200 GMT).

"I'm not declaring insolvency this evening but the situation is plummeting," Fantozzi told reporters.

Italy's Labour Minister Maurizio Sacconi gave Alitalia a 50-50 percent chance of survival.

"We are in the final phase of the long and tortuous Alitalia saga and both outcomes are still possible in equal measure," he said.

In April, Alitalia's unions sank a deal agreed under the previous, centre-left government to sell the airline to Air France-KLM and are now under intense pressure to accept the job losses and reduced conditions that the latest rescue plan would impose.

"What's certain is that this is a failed company and therefore there isn't any alternative," Industry Minister Claudio Scajola said on Friday. "Either a deal is reached or all of the workers are laid off."

The fate of Alitalia has huge political significance for Berlusconi, who swept back into power at an April election after almost two years in opposition, promising to use his business connections to keep the flag carrier Italian.

CAI, the consortium of Italian businesses he persuaded to make an offer for Alitalia said on Saturday it was not prepared to make additional concessions to employees.

"We repeated to (Berlusconi aide Gianni) Letta our position: ready to talk but steadfast on the contents (of a deal)," CAI Chief Executive Rocco Sabelli told reporters as he left a meeting with government representatives.

Alitalia, a symbol of Italy's post-war economic boom has been constantly dogged by labour disputes and financial woes and has not posted a profit since 1999 and had nearly 1.2 billion euros ($1.68 billion) in debt as of July.

Unions held out for government intervention. "At the point we are at now it is up to the government to come up with an initiative with the consortium," Guglielmo Epifani, head of Italy's biggest union confederation CGIL, told Corriere della Sera daily.

Pope Benedict, who travelled to France on a chartered Alitalia flight on Friday, said he was praying for the airline.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 13th, 2008, 09:31 PM   #314
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

Quote:
Originally Posted by [email protected] View Post
I've just read that starting from Monday a large number of Alitalia planes will stay on the ground, because they have no money to purchase fuel anymore!
Alitalia official says some flights might be at risk due to fuel supply problems
13 September 2008

ROME (AP) - Alitalia's bankruptcy administrator on Saturday warned unions opposed to a rescue plan that time was running out for saving the Italian carrier, as flights were at risk of cancellation for lack of fuel and some workers would be laid off soon.

Meanwhile, Premier Silvio Berlusconi rushed back to Rome from a southern Italian city to offer his help in breaking the deadlock between a group of investors tapped to take over the company and unions opposed to the plan. He summoned unions to a meeting later Saturday.

Talks between the unions and the investors were suspended Friday when the investors walked away, having failed to obtain the crucial support of Alitalia's nine unions. Each side accused the other of being intransigent.

But the investors' offer remains on the table, leaving the government and the administrator, Augusto Fantozzi, scrambling for a solution as Alitalia edges toward collapse.

"There are difficulties concerning fuel supply, which could endanger some flights," Fantozzi told the unions during their meeting in Rome, according to an Alitalia statement.

Alitalia denied news reports quoting Fantozzi as telling the unions that the company could guarantee flights only until Sunday. But it did say it was becoming more difficult to "ensure ordinary services necessary for flying activities."

"So far we have tried, amid a thousand difficulties, to guarantee regular service," it said.

The ENAC civil aviation agency said in a statement that Alitalia's license to operate was also at risk "if a solution is not found soon that guarantees the continuing of the carrier's operations."

According to Alitalia and union leaders, Fantozzi informed unions that he would start laying off some Alitalia workers -- the crews of 34 aircraft that are not currently being used -- and enroll them in welfare programs. He said he would take all further measures necessary in the face of "the very grave crisis."

"He has explained that we are at a very critical situation," said union representative Roberto Panella. Panella also quoted Fantozzi as saying he would have to begin procedures to terminate employment contracts on Monday.

"We are aware of this urgency," Panella said, calling on the investors to abandon what he said was the rigidity of their position and on the government to intervene.

But the investors insisted they would not make concessions, according to the ANSA news agency. Rocco Sabelli, the man who had been designated to be the chief executive of the new Alitalia, said the group was willing to talk, but added that "on the contracts and on the plan, our position is firm," ANSA said.

Alitalia, which had been losing some €2 million (US$3 million) a day, was declared bankrupt on Aug. 29. The move paved the way for the investors to negotiate their plan to buy Alitalia's profitable assets.

The rescue plan reportedly envisages a €1 billion (US$1.4 billion) investment, the merger with Italy's No. 2 airline, Air One, and a partnership with a foreign carrier.

Among the sticking points in the talks are new contracts, salary cuts and layoffs that might run to 5,000 of the airline's 20,000-strong work force.

Berlusconi, who traveled from Bari to follow the crisis, said he was "very worried" about the situation, and that he could not understand "this suicidal behavior," ANSA reported.

The premier, who has made solving Alitalia a priority of his government, said he was ready to intervene to help break the deadlock.

"The government is always ready with its ministers, and today even with the prime minister, to give all support possible to get to the only solution possible to avert the collapse of the company," Berlusconi was quoted as saying.

On Friday, a few hundred Alitalia workers staged a protest at Rome's Leonardo da Vinci airport, while others gathered outside the company headquarters where Fantozzi was meeting with unions.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 14th, 2008, 05:15 PM   #315
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

Italian government meets unions, investors in last-ditch effort to save bankrupt Alitalia
14 September 2008

ROME (AP) - The Italian government held emergency talks with unions and investors Sunday over a plan to save Alitalia, as the bankrupt airline risks having to ground flights for lack of fuel.

The rescue plan would have investors buying profitable assets and investing $1.4 billion. But the plan also envisages wage cuts and layoffs opposed by the unions.

The government began mediating when direct talks broke down Friday, after the investors failed to win the unions' crucial support. But the investors said their offer remained on the table.

The labor and transport ministers met Sunday with representatives of flight attendants and pilots, who have been the most critical of the rescue plan. The talks had started on Saturday but ended late at night with no resolution.

Among the sticking points in the talks are new contracts, salary cuts and layoffs that might run to 5,000 of the airline's 20,000-strong work force.

Reaching an agreement "depends a lot on what we'll be able to do today, and on the realism and flexibility that everyone will have: the government, the company and the unions," said Raffaele Bonanni of the CISL national labor confederation.

Alitalia's bankruptcy administrator warned Saturday that time was running out for saving the airline, saying lack of fuel supply and other problems might force the airline to ground some flights.

Administrator Augusto Fantozzi also said he would start procedure to lay off a number of Alitalia workers and enroll them in welfare programs.

Alitalia also risks losing its license to operate "if a solution is not found soon that guarantees the continuing of the carrier's operations," said the civil aviation agency, ENAC.

The Italian newspaper Corriere della Sera said Sunday that the investors might offer an additional $140 million in order to minimize the wage cuts and overcome the unions' opposition.

Alitalia, which had been losing some $3 million a day, was declared bankrupt on Aug. 29. The move paved the way for the investors to negotiate their plan to buy Alitalia's profitable assets.

The rescue plan also reportedly calls for the merger with Italy's No. 2 airline, Air One, and a partnership with a foreign carrier.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 14th, 2008, 10:13 PM   #316
nazrey
Registered User
 
nazrey's Avatar
 
Join Date: Sep 2003
Posts: 91,239
Likes (Received): 11229

Italy scrambles to save Alitalia
Published: 2008/09/15

ROME: The Italian government held emergency talks with unions and investors yesterday over a plan to save Alitalia, as the bankrupt airline risks having to ground flights for lack of fuel.

The rescue plan would have investors buying profitable assets and investing US$1.4 billion (US$1 = RM3.46). But the plan also envisages wage cuts and layoffs opposed by the unions.

The government began mediating when direct talks broke down Friday, after the investors failed to win the unions' crucial support.

The labour and transport ministers met yesterday with representatives of flight attendants and pilots, who have been the most critical of the rescue plan. The talks had started on Saturday but ended with no resolution. - AP
nazrey está en línea ahora   Reply With Quote
Old September 15th, 2008, 10:52 AM   #317
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

The same issues remain from the beginning of this process to now - there is a lot of political unwillingness to let big job cuts go through, and unless they can accept that, there is little hope to turn the airline around.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 15th, 2008, 12:06 PM   #318
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

FEATURE-Planning a bailout? Italy shows the way

MILAN, Sept 12 (Reuters) - Italy may have earned a bad name for changing the rules to rescue its corporations, but in these straitened times Prime Minister Silvio Berlusconi's bespoke bailout of airline Alitalia puts him in illustrious company.

Manoeuvres like last month's change to Italian bankruptcy law for companies providing a public service, and suspension of antitrust rules, have typically won scant approval from the international investing community.

Italian government bonds yield about 70 basis points more than German paper, one of the highest risk premiums in the euro-zone. According to the IMF, Italy attracted about $40 billion in new foreign direct investment in 2007, equivalent to 1.9 percent of GDP. That compares with about 5.8 percent of GDP for France and 4.2 percent of GDP for Spain.

But where before the credit crunch, the rallying cry championed by financial powers led by the United States was a market-led government-light pursuit of profit, now in other economies struggling with the disconnection in credit markets, pressure is mounting on governments to intervene.

"What has been done for bailing out Alitalia is a slap in the face of all free-market, rule-of-law, separation-of-powers norms and practices," said Carlo Alberto Carnevale-Maffe, a professor at Bocconi University's business school.

"But it is widely popular. In bad times of uncertainty, nation-states provide quick and cheap (so to say) reassurance to the disoriented many."

The risk for Italy was not systemic -- like that faced by the U.S. government in seizing control of mortgage finance companies Fannie Mae and Freddie Mac in what could be its biggest ever bailout.

And Italy is not alone in acting unilaterally to preserve perceived strategic interests. France stepped in to help once-struggling engineering firm Alstom, Britain rescued building society Northern Rock and even the United States was accused of protectionism for warding off Dubai's DP World from its port terminals.

But Italy's government, which owns 49.9 percent of the floundering carrier, did act radically: it changed the laws to set up the rescue by a group of Italian investors, after a sale to Air France-KLM failed.

BUSINESS-FRIENDLY

The deal is one of a line of corporate rescues pulled together with clever rule changes by Italy's political and financial elite, fulfilling an election pledge from Berlusconi to find Italian buyers for a carrier no-one seemed to want.

The country's previous major rescue came at the end of 2003 when food group Parmalat -- a household name for its long-life milk -- collapsed under the weight of 14 billion euros in debt.

It was another Berlusconi administration that changed the laws then, speeding up the insolvency process and giving administrator Enrico Bondi nine months to put a new strategy together instead of the previous 60-day deadline.

This time around, a group of executives led by Roberto Colaninno, who in 1999 championed Olivetti's leveraged buyout of Telecom Italia and later brought Vespa scooters back into the black, submitted an offer after the rules were changed for just the best bits of Alitalia -- likely to include slots, planes and partnerships.

News media may smart on the taxpayers' behalf -- commentator Eugenio Scalfari in an editorial for La Repubblica called the Alitalia deal a "typical case of nationalising the debt and privatising the profit".

The carrier had already had a 300 million euro cash injection from the government, which the European Commission could end up considering illegal state aid.

But the EU's transport commissioner Antonio Tajani -- a former spokesman for Berlusconi -- has already said Brussels has no option but to view the rescue positively.

International bankers are not complaining.

"Italy is and remains a country open to investment," said Sergio Ascolani, head of banking for Citigroup in Italy, in the wake of the Alitalia rescue. Citigroup was adviser to Alitalia while it was discussing the Air France deal.

"The changes to the previous law were needed and they made it more flexible," said Ascolani. "Of course, legislative uncertainty never helps. But the actual situation is alright even if there's room for improvement."

Italy's global ranking in a World Bank report this week on the ease of doing business slipped to 65th from 59th -- well behind the United States and Britain. But it was praised for expanding creditors' rights to let distressed companies seek a deal without declaring bankruptcy.

"The solution from the point of view of ... decree laws, talks, antitrust, protection of shareholders and so on, seems to me excellent," said Oliviero Baccelli, professor at Milan's Bocconi University and vice-director at transport research centre CERTeT.

"Now we need clarity on the industrial plan," he added.

PRIVATE PROFIT, PUBLIC PAIN

Many of the investors lined up for Alitalia have businesses working with the government, which has led to speculation they could gain political benefits for helping out.

Looking at the list of businessmen, "you won't find a single one that isn't waiting for pretty lucrative government favours," wrote Alberto Statera in newspaper La Repubblica.

Consumer groups and competitors complain that Alitalia's dominant position after the rescue deal could restrict choice and lead to "extremely high" fares.

The government crimped antitrust powers so the carrier's future dominance of the lucrative route from the financial capital Milan to Rome would not be a problem.

"It's right to wonder how on earth there can be any important national economic interest in allowing the new Alitalia to retake a dominant position on national routes," said economists on the respected lavoce.info Web site.

More pain for the public could come if the government has to cope with layoffs for around 3,000 airline employees or doles out compensation to them, as well as assuaging small shareholders and Alitalia's creditors.

"I don't think Alitalia changes the relationship of Italy to the rest of Europe for investment," said Simon Goodfellow, strategist at ING in London, noting that management of European airlines has long reflected political concerns.

"All governments treat airlines as a special case." (Additional reporting by Jamie McGeever; Editing by Catherine Evans and Sara Ledwith)
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 18th, 2008, 11:56 AM   #319
hkskyline
Hong Kong
 
hkskyline's Avatar
 
Join Date: Sep 2002
Posts: 86,889
Likes (Received): 18153

Pilots' union reject Alitalia rescue plan

ROME, Sept 17 (Reuters) - One of the unions representing Alitalia's pilots said on Wednesday it still rejected a rescue plan by a group of investors after the group said it would withdraw the offer without union approval, a union source said.

The Pilots Union, the second biggest labour group representing the airline's pilots, said that if no changes were made its assessment of the plan remained negative, the source said.

The head of the investors' group earlier said he could not make further concessions and that he would propose to withdraw the offer at a shareholder meeting on Thursday unless unions come on board by then.
__________________
Hong Kong Photo Gallery - Click Here for the Hong Kong Galleries

World Photo Gallery - | St. Petersburg, Russia | Pyongyang | Tokyo | Istanbul | Dubai | Shanghai | Mumbai | Bangkok | Sydney

New York, London, Prague, Iceland, Rocky Mountains, Angkor Wat, Sri Lanka, Poland, Myanmar, and much more!
hkskyline no está en línea   Reply With Quote
Old September 18th, 2008, 06:39 PM   #320
Alvar Lavague
European citizen
 
Join Date: Aug 2006
Location: Paris
Posts: 1,236
Likes (Received): 124

AFP, September 18, 2008;
Quote:
Alitalia rescue consortium withdraws: report

ROME (AFP) — An Italian consortium that proposed to take over Alitalia withdrew its offer Thursday for the stricken Italian flag carrier, dooming it to bankruptcy, a news agency reported.

The Radiocor agency said the Italian Air Company (CAI) consortium pulled out after labour unions failed to accept the takeover plan which would have meant the loss of 3,250 jobs.

The Sky TG 24 news channel also reported that CAI would drop its offer, while the ANSA agency said it was likely, quoting union officials as saying they had been told so unofficially from four sources.

A CAI spokesman refused to either confirm or deny the reports.

Both the consortium and the government had said there could be no more negotiations, and CAI chief Roberto Colaninno said Wednesday that without a union consensus the offer would be withdrawn.

The nine unions were given a deadline of 4 pm (1600 GMT), when the CAI was to meet, to give their response, but only three had accepted in last-ditch talks on Tuesday.

The other six, including the pilots' union and Italy's largest employees' organisation, the CGIL, demanded further talks.

Transport Minister Altero Matteoli warned earlier Thursday, "There is no alternative -- if we don't sign today, we are facing bankruptcy."
Link
__________________
"Every man has two countries, his own and France"
Thomas Jefferson
Alvar Lavague no está en línea   Reply With Quote


Reply

Tags
alitalia, european airlines, italy, skyteam

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Related topics on SkyscraperCity


All times are GMT +2. The time now is 04:19 PM.


Powered by vBulletin® Version 3.8.11 Beta 4
Copyright ©2000 - 2018, vBulletin Solutions Inc.
Feedback Buttons provided by Advanced Post Thanks / Like (Pro) - vBulletin Mods & Addons Copyright © 2018 DragonByte Technologies Ltd.

vBulletin Optimisation provided by vB Optimise (Pro) - vBulletin Mods & Addons Copyright © 2018 DragonByte Technologies Ltd.

SkyscraperCity ☆ In Urbanity We trust ☆ about us | privacy policy | DMCA policy

tech management by Sysprosium