Assistance Extended for Embattled Alitalia

July 1, 2021
The Italian government has extended the deadline for the airline to repay a bridging loan until December 16, a move that should allow Alitalia to continue operating flights and selling tickets.

Rome — Alitalia will get an extension to its financial aid to enable the Italian airline to continue operations, Rome said Wednesday.

The Italian government has extended the deadline for the airline to repay a bridging loan until December 16, a move that should allow Alitalia to continue operating flights and selling tickets.

Ailing Alitalia has not reported a profit in years, and depends on state aid.

It is to be absorbed into the new airline Italia Trasporto Aereo (Ita). Under current plans, Ita will be launched as a reduced airline with fewer staff and aircraft.

This was originally planned for spring, but the lack of a decision by the European Commission has contributed to the delay. There is a dispute over landing rights at Milan Linate Airport, which are critical for the airline.

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