Alitalia saga rumbles on – no decision until October

If the troubled airline didn’t already have enough to contend with, who gets Alitalia won’t now be resolved until October 31st.

Italy is again without a government – elections were indecisive 2 months ago and nobody will join a coalition.

The EU is investigating the loan the last Italian Government gave the airline to keep operating – which has to be repaid by December 15th. That bill may well fall on Etihad. The EU thinks it was possibly illegal state aid and breached competition rules.

Meanwhile despite evidence to the contrary AF-KLM (also a minority shareholder) have said they are not interested in Alitalia. WizzAir has now entered the fray and wants its short haul business – as do easyJet – but Lufthansa is still favourite to get the whole airline.