By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Travel Radar - Aviation NewsTravel Radar - Aviation News
  • Breaking News
  • Aviation
    • Aircraft
    • Airlines
    • Airshow & Events
    • Careers
    • Manufacturing
  • Travel
    • Airports
    • Points & Loyalty
    • Technology
    • Trip Reviews
  • Newsletters
Reading: Alitalia; What’s Next?
Share
Sign In
Notification Show More
Font ResizerAa
Font ResizerAa
Travel Radar - Aviation NewsTravel Radar - Aviation News
  • Breaking News
  • Aviation
    • Aircraft
    • Airlines
    • Airshow & Events
    • Careers
    • Manufacturing
  • Travel
    • Airports
    • Points & Loyalty
    • Technology
    • Trip Reviews
  • Newsletters
Have an existing account? Sign In
Follow US
Copyright © Travel Radar Media Ltd. 2024 | All Rights Reserved
Travel Radar - Aviation News > News > Alitalia; What’s Next?

Alitalia; What’s Next?

Travel Radar
Last updated: 18 February 2020 13:10
By Travel Radar Staff 3 Min Read
Share
Alitalia A319-100 © Eric Salard
Alitalia A319-100 © Eric Salard
SHARE

Quite a few full-service airlines are in difficulties at the moment. We’ve reported on the trials and tribulations of just a few that are staggering on, including Air India and Flybe. Others that have probably disappeared for good include AtlasGlobal and Air Italy.

Another that’s been hanging on for years is Alitalia.

It’s hard to understand why it’s so difficult to run a profitable Italian airline. The country has the third-largest economy in the eurozone, eighth-largest GDP in the world, the second-largest manufacturer in the EU and runs a large trade surplus. As a tourist destination with Rome, the Amalfi Coast, Venice and Florence, to name just a few, a well-run airline should be making money by the truckload.

Not so.

After being declared bankrupt in 2008 the airline was relaunched in January 2009 when a consortium—Compagnia Aeria Italiana (CAI) bought the ‘old’ Alitalia and promptly sold 25% of the shares to Air France/KLM.  (the relationship terminated in 2017) Various partnerships with other local carriers were explored but failed to make any substantial progress.

Alitalia A330-200 © Venkat Mangudi

In May 2017 the carrier was again declared bankrupt and put into administration. The strategy of the administrators was–like Air India and South African–to stem the losses and sell the airline, given the Italian government declined to nationalise. EasyJet, Ryan Air, and China Eastern all expressed interest but the deals again failed to materialise.

Late in 2019, Alitalia was reported as losing €2 million a day. In December the Italian Industry Minister Stefano Patuanelli confirmed a €400 million loan was given but warned no more government funds would be used to bail out the airline. There’s no doubt that Air Italy hoped to take advantage of the situation, but with some strange choices of destination, bad luck with the 737-MAX grounding and a poor business plan, they came and went.

Florence © The Independent

Alitalia also has intense competition with low-cost carriers, and it hasn’t shown a profit for 15 years but even so, there’s some room for optimism. 2019 revenue was up 10% compared to 2018, the number of long-haul passengers increased by nearly 5% and it’s the second most punctual airline in Europe. The demise of Air Italy hasn’t hurt either, but Alitalia has far to go before it’s sustainable. If it can continue the recent progress and perhaps find a solid partner, we might still be able to visit the glories of Italy on the national carrier.

You Might Also Like

Cathay and HKYAA Launch New AeroQuiz and Cathay Inter-school Aviation Challenge Cup

India denies UN assistance following the 787 crash

UK government evaluating the Boeing-Spirit Deal

Etihad Airways Prepares to Welcome 7 Million Travellers This Summer

Air Canada Launches New Route to Edinburgh

Share This Article
Facebook Twitter Email Copy Link
What’s your thoughts?
Love0
Sad0
Happy0
Angry0
Travel Radar
By Travel Radar Staff
Follow:
Articles from guest contributors wishing to remain anonymous are credited to this account. Want to contribute to Travel Radar either in-name, or anonymously? Get in touch: [email protected]
Previous Article Coronavirus Evacuation ©ItAF News Roundup; Week #7 of 2020
Next Article Anniversary; The Boeing 757
2 Comments
Subscribe
Login
Notify of
guest
guest
2 Comments
Oldest
Newest Upvoted
Inline Feedbacks
View all comments

Stay Connected

FacebookLike
TwitterFollow
InstagramFollow
YoutubeSubscribe

Trending News

Airport flight gate sign
Oil Price Dip & Rising Demand Fuel Optimism for Airline Stocks
Airline Economics Aviation
Woman Draped In A Flag Of Canada with mountains in the background
How Canadian Travelers Can Find Fair and Secure Online Casinos That Work Anywhere
Did You Know Travel
Emirates sponsorship behind Carlos Alcaraz (ESP) who serves against Frances Tiafoe (USA) in the third round of the Gentlemen's Singles on Centre Court at The Championships 2024
Emirates Sponsors The Championships, Wimbledon
Airlines Airshow & Events Travel
© Toyota
Top 10 Most Reliable Used Cars to Buy in Dubai
Travel
© Xclusive Yachts
The Best Dubai Luxury Experiences in 2025
Travel
//

Travel Radar is the leading digital hub for all things aviation and air-travel. Discover our latest aviation news, aviation data, insight and analysis.

Discover

  • About Us
  • Contact Us
  • Careers
  • Press & PR
  • Privacy & Legal

Our Content

  • News
  • Data
  • Images
  • Jobs
  • Subscribe

Sign Up for Our Newsletter

Subscribe to our newsletter to get our newest articles instantly!

Click here to Signup!

© Travel Radar Media Ltd. 2015-2025 | ISSN #2635-0696 | Trademark #UK00003579704
wpDiscuz
adbanner
AdBlock Detected
Ads help us bring you high-quality, independent journalism for free. Support us by whitelisting us from your ad blocker.
Okay, I'll Whitelist
Welcome to the TR Community!

Sign in to your account

Register Lost your password?