Alitalia board picks Air France-KLM’s bid


The Board of Directors of Alitalia has decided to choose Air France-KLM as its preferred bidder and considered its offer the best guarantee for the national carrier’s future, Italian media reported Saturday.

The decision came after a board meeting, which lasted almost seven hours and saw Air France-KLM win out over a rival offer presented by the AP Holding, the parent company of Italy’s biggest private carrier Air One. The board’s decision is, in fact, only a suggestion to the government which has the final word on the sale of the Treasury Ministry’s controlling 49.9% stake in Alitalia. The Italian government said earlier this week that it would make a decision on the board’s recommendation by the middle of January.

The French-Dutch carrier said it is a top priority to renew Alitalia’s fleet and that the combination of the three European brands „will be able to offer clients an unparalleled international network.” Air France-KLM’s plan calls for returning Alitalia to profitability by 2010, and includes total investments of €6.5 billion ($9.3 billion) through 2015. However, many analysts believed the AP Holding will now launch a political offensive to persuade the government to go against the Alitalia board’s recommendation.

The AP Holding confirmed this week it will be offering 1 euro cent per Alitalia share, compared to a reported 35 cents by Air France-KLM, and that it expected Alitalia to break even by 2009 and to return to profit by 2010. The AP Holding would invest a total of €5 billion in Alitalia, 1 billion to boost the company’s capital and 4 to renew its fleet. The Italian government owns a 49.9% share and has decided to sell most stake at the end of last year. An auction failed this summer after bidders complained they were denied access to Alitalia books and not guaranteed full control of the airline. (

MET Group Records 2nd Most Profitable Year in 2023 Energy Trade

MET Group Records 2nd Most Profitable Year in 2023

Gov't Considering Fuel Price Intervention Government

Gov't Considering Fuel Price Intervention

Real Estate Continues to Strengthen in March Residential

Real Estate Continues to Strengthen in March

Time Out Market to Open in Budapest Next Year Food

Time Out Market to Open in Budapest Next Year


Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.