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AF/KL Juggernaut Blunted a Bit: Alitalia Offer Cancelled

AF/KL Juggernaut Blunted a Bit: Alitalia Offer Cancelled

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Old Apr 22, 08, 7:14 am
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AF/KL Juggernaut Blunted a Bit: Alitalia Offer Cancelled

Apparently, the Italian Alitalia unions broke the deal up, though the language used is a bit strained. Here’s the story from AP:

“Air France-KLM said Monday that its offer to buy the struggling Italian airline Alitalia for 139 million euros ($220 million) was “no longer valid.”

Air France-KLM said Alitalia had failed to clarify the “legal situation” after talks on a possible takeover broke off this month.

Air France-KLM, which is based in Paris, said that it had told Alitalia of the decision and that the Italian airline did not meet the necessary conditions. An Air France-KLM spokeswoman would not comment beyond the statement.

There was no immediate comment from Alitalia, which is based in Rome.

Air France-KLM’s offer, announced March 14, called for the layoffs of 2,120 Alitalia employees, among other measures.

Air France-KLM’s bid was the only offer on the table, but negotiations broke down three weeks ago after the company refused to accept Italian union demands."

Of course, this may all be part of the negotiation strategy for the long-term, rather than a final withdrawal.
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Old Apr 22, 08, 7:20 am
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well...we all know who's in the...financially difficult situation right now.

Maybe Berlusconi will come to his senses and drive this deal along. Ohh wait. Its Berlusconi we're talking about.
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Old Apr 22, 08, 7:30 am
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I think the most prudent course of action is just to close down AlItalia completely.
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Old Apr 22, 08, 7:40 am
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I think I also saw some stuff about Berlusconi and Putin getting together for talks. Perhaps the Russians want to get in on the action?
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Old Apr 22, 08, 7:50 am
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Originally Posted by COFan View Post
I think I also saw some stuff about Berlusconi and Putin getting together for talks. Perhaps the Russians want to get in on the action?
I'm sure the slightly more pressing issue for them to talk about is the security of natural gas supply from Russia. Not sure why Russia would want to run an unprofitable European airline. Heck they can't even manage their own airlines that well.
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Old Apr 22, 08, 8:03 am
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Not surprising at all. The unions killed the deal and now the airline will die. Berlusconi keeps suggesting that there is an Italian company with the money and desire to run the failing carrier without making any cuts, but there is no evidence of anything close to that in reality. Sad that AZ is likely to go under at this point, but the Italians will get what they wanted.
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Old Apr 22, 08, 8:06 am
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continental?
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Old Apr 22, 08, 8:22 am
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Originally Posted by fly co to see the yanks View Post
continental?
Please use the report bad post functionality if you have any issues. Adding a reply of this nature is not appropriate.
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Old Apr 22, 08, 8:23 am
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I am going to move this over to the Skyteam forum.
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Old Apr 24, 08, 12:30 am
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Originally Posted by CJ1120 View Post
Heck they can't even manage their own airlines that well.
Aeroflot, for one, has its shortcomings, but one thing it's not is unprofitable.
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Old Apr 24, 08, 9:01 am
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I would just let this airline DIE and let the unions finally realising that what they are doing is killing job for all and they should start to use their brain that cutting jobs at the first place could safe at least the jobs for others partially... simple math but those unions must have failed the Pisa test..
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