Is “Lufth-Alia” Going to be a Thing?

Rumors from the past seem to be going to materialise in the future: Lufthansa is interested in a relevant share of ITA Airways, the airline borne from the ashes of the ex-Italian national carrier, Alitalia.

Lufthansa eyes the Dolce Vita

After a long tradition of solid commercial relationships, codeshare agreements, and Joint Ventures with the Air France-KLM Group and Delta Airlines, the Italian national carrier has been seriously eyed by the German Lufthansa.

Lufthansa is indeed interested in acquiring a share of the Italian airline, which is said to be around 15 to 40%. Moreover, LH is also thinking big for this possible German-Italian partnership: the development of Rome Fiumicino Airport as a renewed hub, commercial agreements, which will likely include codeshare agreements and joint ventures, and maximising purchasing and maintenance synergies.

Lufthansa A320 taxiing. @ Marco Macca / Travel Radar
Lufthansa A320 taxiing. @ Marco Macca / Travel Radar

But why the Italians? Well, Lufthansa is presumably planning a strategic attack against European competition. ITA Airways will be helpful in this sense, with its planned eco-friendly fleet (by 2025), discontinuity with the financially-troubled Alitalia, high service quality, and, last but not least, being the national carrier of Italy, a strategic market in Europe, especially for leisure travel, which is recovering at a much higher pace than the business segment after the COVID-19 crisis.

The shadow of the past

Even though Lufthansa is making big plans for a future relationship with ITA, Delta Airlines doesn’t seem to be willing to give up on the SkyTeam partner. Indeed, on 21st December 2021, ITA and Delta entered a reciprocal codeshare agreement to offer more flight options to the USA, Italy, and beyond.

Moreover, at the beginning of December, ITA entered another codeshare agreement with a historic partner, the Air France-KLM Group. As stated by the Group President, Benjamin Smith, Italy is a crucial market for the Franco-Dutch Group.

Alitalia A319 moments before landing. @ Andrea Ongaro / Travel Radar
Alitalia A319 moments before landing. @ Andrea Ongaro / Travel Radar

It seems that ITA’s top management has to come to a conclusion shortly, before the summer season. Will it be the end of an era, or will ITA follow Alitalia’s path and stay with the historic SkyTeam partners?

What do you think of a possible partnership of ITA Airways with the Lufthansa Group?

 

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Giacomo Amati
Giacomo Amati
Aviation Reporter - Giacomo has been passionate about commercial aviation since his very childhood. Currently, he is pursuing a Master in Air Transport Management at the University of Surrey, UK. His expertise within the industry entails an internship with Emirates Airlines in Milan Malpensa airport and a bachelor's thesis on the financial status of the former Italian national carrier, Alitalia. Besides aviation, Giacomo loves foreign languages, German being his favourite one, and travelling.

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