New Alitalia flies crowded skies
15 January 2009Alitalia SpA begins operating under new ownership Tuesday but still faces the task of fighting off low-cost rivals in its pivotal domestic market. Alitalia has undergone massive change since it entered bankruptcy protection in late August with more than €1.2 billion ($1.6 billion) in debt.
As part of its restructuring, Alitalia has been merged with its biggest domestic rival, Air One SpA, giving it more than a 55% share of Italy’s internal flights, according to the airline. Lucrative domestic routes, such as that between Rome and Milan, form a key part of Alitalia’s plan to break even next year.
source: WSJ
