ALITALIA CHIEF executive Domenico Cempella has set a deadline of 20 June for pilots' unions to present an alternative rescue plan for the carrier and to agree a solution.
Cempella laid out his own restructuring plan in May shortly after taking up the reins at Alitalia (Flight International, 22-28 May). The plan included an immediate injection of L1.5 trillion ($1 billion) from state holding-company IRI, with a similar amount due to follow from asset sales and other investors as cost savings and restructuring come into effect.
The first cash injection was due to be approved at an IRI meeting on 10 June, but, following union opposition, that has now been postponed until 28 June.
The pilots are understood to be arguing for an immediate L3 billion cash injection and want a 30-40% stake in the company after privatisation in return for concessions. Fears are growing within the airline that drastic action will have to be taken if the decision date slips again. There are signs, however, that this time the Alitalia management will get the backing from IRI and the new Italian Government if a dispute develops.
Alitalia's first-quarter results show losses rising to L272 billion and forecasts for the whole of 1996 are now for a loss of L400 billion.
Source: Flight International
