PINO MODOLA / GENOA

In a surprise move, Alitalia has abandoned plans to form an alliance with Volare Group in favour of a possible partnership with Sardinian carrier Meridiana.

Although the Italian flag carrier has been engaged in long-running talks with Volare, its board has instructed managing director Francesco Mengozzi to instead evaluate the feasibility of a tie-up with Meridiana. Talks will be aimed specifically at the establishment of a domestic low-cost operation to counter increasing competition from foreign carriers such as Germanwings and Ryanair.

Many observers saw a link with leisure group Volare as the best fit because the company's structure gave it a significantly lower cost base than that of Alitalia. Meridiana is more conventionally structured, and headed by former general director of Alitalia and Air One founder Gianni Sebastiani.

According to Volare sources, Alitalia dropped Volare after strong opposition from its powerful pilot union Anpac, which feared the airline would revamp its labour agreements after evaluating the higher efficiency of Volare operations.

Source: Flight International

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