MILAN/PARIS (Reuters) – Shareholders of Alitalia will vote on Monday on a 300 million euro ($407 million) capital increase to keep the near-bankrupt Italian airline flying, but the participation of top investor Air France-KLM is far from certain.
The loss-making carrier was thrown a lifeline on Friday when its board members – including Air France-KLM – approved a government-led 500-million-euro bailout. The emergency plan includes the capital increase and loans worth 200 million euros.
ROME, Oct 11 (Reuters) – Italy’s government drew fire on
Friday after stitching together an emergency bailout for
Alitalia that critics said should involve less taxpayer money
and more long-term strategy, while top shareholder Air
France-KLM refused to commit to the plan.
Alitalia, which last turned a profit in 2002, needs to
secure funding of 500 million euros ($676 million) by Saturday
or risk its planes being grounded. Creditor Eni has
threatened to cut fuel supplies unless the airline can show it
is a business “we expect to exist six months from now.”
MILAN (Reuters) – Alitalia, the Italian national airline that has made a profit only a few times in its 67-year history, once again risks collapsing as the government scrambles to find investors willing to rescue its problem child.
Rome offered a financial lifeline to Alitalia through the state-owned post office, but the plan depends on private shareholders ploughing more money into what many investors regard as a corporate lost cause.
MILAN/ROME, Oct 10 (Reuters) – The Italian government is
racing to save Alitalia from bankruptcy after unions warned the
national airline risked defaulting within days and creditor ENI
threatened to stop supplying fuel.
Alitalia, struggling to keep up payments on one billion
euros of debt, postponed til Friday afternoon a board meeting
scheduled for 1500 GMT on Thursday. An Alitalia spokeswoman
declined to say why, but the delay gives Prime Minister Enrico
Letta’s government, itself cash-strapped, longer to try to
persuade another Italian company to stump up interim funding.
MILAN/PARIS (Reuters) – Franco-Dutch carrier Air France-KLM (AIRF.PA: Quote, Profile, Research, Stock Buzz) said on Tuesday it was open to merging with Alitalia in a move seen as the best solution for turning round the loss-making Italian airline.
But both sides said any tie-up would depend on certain conditions being met first, as time runs out for indebted Alitalia.
MILAN, Oct 1 (Reuters) – Soybeans on the Chicago Board of
Trade slid to a six-week low on Tuesday, while corn dropped to
its lowest in three years, stung by a U.S. report showing
higher-than-expected stocks as harvest of near-record crops
Wheat also edged lower on pressure from corn and soybeans,
although losses were limited as strong demand tightens supplies.
MILAN (Reuters) – One in eight people around the world is chronically undernourished, the United Nations’ food agencies said on Tuesday, warning world leaders that some regions would fail in halving the number of hungry by 2015.
In their latest report on food insecurity, the U.N. agencies estimated that 842 million people were suffering chronic hunger in 2011-13, or 12 percent of the world’s population, down 17 percent from 1990-92.
MILAN, Sept 30 (Reuters) – Autogrill’s food and beverages
unit is expected to start trading around 5.3 euros per share
from Oct. 1 after splitting off its duty free unit, which in
turn is seen making its debut near 7.0 euros, a Reuters survey
of six analysts showed on Monday.
Italy’s Autogrill is spinning off its smaller but
growing travel retail and duty-free unit from its food business,
hoping the move will allow it to sound out market opportunities
and pave the way for possible tie-ups at either company.
MILAN, Sept 30 (Reuters) – Investors shunned Italian
government bonds and shares on Monday after Silvio Berlusconi
pulled the rug from under Prime Minister Enrico Letta’s frail
coalition government by ordering five centre-right ministers to
Berlusconi’s decision, which comes as the media tycoon is
facing eviction from parliament after a tax fraud conviction,
has left the euro zone’s third-largest economy without a
MILAN (Reuters) – Five years after Alitalia was rescued from bankruptcy, the options for the troubled Italian airline appear to be few: convince top shareholder Air France-KLM (AIRF.PA: Quote, Profile, Research, Stock Buzz) to support its new strategy or shut up shop.
Since being taken private by a consortium of Italian investors in early 2009, Alitalia has accumulated net losses of more than 840 million euros ($1.1 billion), debt of about 1 billion euros and is fast running out of cash.