Economy

Alitalia stops flying on October 14. Ok from Brussels to Italy air transport – Corriere.it

Italia Trasporti Aereo, the new public company set up to relaunch Alitalia, will launch on October 15. The day before will also be the last day in the life of Alitalia, a transport company in exceptional management since May 2, 2017. The Ministry of Economy – a shareholder of ITA – confirms in a note that the discussion with the European Commission on the creation of newco. The new company will start operating from October 15, the date on which the first flights are scheduled to take off. And so, seven months later, the close confrontation – not without setbacks and friction – between the offices of the European Commissioner for Competition Margrethe Vestager and the Italian government ends. Although now Brussels will monitor compliance with the agreements.

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The Treasury wrote that the discussion with the European Commission made it possible to reach a constructive and balanced solution that would ensure the necessary discontinuity of compliance with European legislation. The positive outcome of the dialogue with the Commission allows the launching of procedures for increasing the capital of the Information Technology Authority and creates the conditions for the signing of a Memorandum of Understanding to transfer some activities from Alitali to the Information Technology Authority. In fact, the next steps expect the first injection of cash into the new company in the amount of 700 million euros for 2021, 400 million for 2022 and 250 million for 2023. With the first payment, Air Italy will be able to purchase the Alitalia aviation branch with private negotiation and participation In calls for tenders for brand, handling and maintenance.

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staff

In return, ITA will have to sell part of the slots to Milan Linate, Rome Fiumicino and other European airports. As for the Alitalia chapter, it says the Ministry of Economic Development (the owner of the exceptional management). Mise will continue to ensure the utmost commitment to support the birth of the ITA on schedule – as he explains in a note -. The transitional period will be accompanied by the appropriate supervision by the exceptional management of Alitalia which will take upon themselves the social consequences together with the Minister of Labor to activate all the protections allowed to accompany workers who will not find a place in the new company towards new horizons. Alitalia’s scheduled termination on October 15. Buyers of airline tickets after this date will be protected. The monastery also explains what the staff will be. The number of Alitalia employees that could be employed in the new company is 2,800 in 2021 (for the most part of the pilots and flight attendants) and 5,750 in 2022. So this would come to 8,550 people compared to the current 10,000 for the old company. from Brussels

A committee

The European Commission takes note of Italy’s announcement today that ITA, a new state-owned airline, will begin flying on October 15, 2021 – they explain from Brussels -. Italy has also announced that Alitalia will cease operating as an airline on October 15, 2021. Vestager’s offices state that contacts with Rome are continuing to ensure that the launch of the new airline complies with the rules set for state aid. The European approval allows the ITA not to assume Italy’s possible conviction for illegal aid to Alitalia in 2017 and 2019, and to return 1.3 billion euros in loans plus interest. With regard to these funds – the commission states – two investigations are still ongoing and no final decision has been taken.

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industrial scheme

What do you envision the agreement with the European Union? ITA to disclose in a note. The new company will take off with 52 aircraft (45 for short and medium flights, 7 for intercontinental flights) and will increase to 78 in 2022. At the end of 2025, the fleet will contain 105 aircraft, 81 of which are of the new generation. For ITA slots, it will sell 15% of those currently owned by Alitalia to Linate and 57% of those used in Fiumicino, where it expects to grow over the next five years. On staff, appointments will be between 2,750 and 2,950 (for the aviation portion) which will double in 2025 to 5,550-5,700. The new company explains: “All people will be appointed with a new employment contract that guarantees greater competitiveness and flexibility compared to other operators in the sector.”

Roads and revenue

The staff could rise if ITA wins the tenders announced by Alitalia for handling (2650-2,700 more) and maintenance (1100 – 1,250). The telecom network will have 45 destinations and 61 routes which will become 74 and 89 respectively in 2025. Finally, on the economic side, the ITA states that an industrial plan has been approved with a turnover in 2025 that will reach 3329 million euros, with an economic result (Ebit ) with a value of €209 million and an operating equivalent to be achieved by the third quarter of 2023.

Millemiglia . Program

With the ITA taking off, there will be a farewell to the old Millemiglia, which in any case will be replaced by a new custom software. Not being able to participate in the public tender to be launched by Alitalia in the Special Management and managed to sell assets related to its loyalty program, the ITA – reads the industrial plan – intends to adopt an effective and modern new loyalty program from the beginning. oriented to meet the needs of customers and allow greater access to the offer of the company and its partners.

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Thelma Binder

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