This archive report was first published on 8 May 2020.
On May 8, 2020, the Italian government announced a $3.3 million cash injection for Alitalia, its flag carrier, as part of a broader plan to nationalize the airline.
The move comes as part of a larger stimulus package approved by the Italian government in March 2020, which allocated $542 million to the aviation industry, with the majority going to Alitalia.
According to Stefano Patuanelli, Italy's Industry Minister, the government's intention is not to provide another bailout, but to relaunch the airline under state control. Under this new arrangement, Alitalia will focus on long-haul routes and form new transatlantic alliances.
Alitalia is already in talks with Delta Air Lines and Air France-KLM to form joint ventures.
Due to the COVID-19 pandemic, the Labour ministry has allowed Alitalia to temporarily lay off 6,622 of its workers until October.
Alitalia is the flag carrier of Italy, with its headquarters in Fiumicino, Rome, and main hub at Leonardo da Vinci–Fiumicino Airport. The airline also operates direct flights to Johannesburg, Casablanca, Tunis, and Cairo.
