Alitalia's emergency loan good for a year: Rome

0 Comments | AFP, May, 2008

MILAN (AFP) — The Italian government's emergency loan of 300 million euros (460 million dollars) to struggling Alitalia will allow the national carrier to survive for 12 months, lawmakers were assured on Thursday.

The loan "shows the willingness of the government to safeguard the continuity of Alitalia's operations for the next 12 months," according to the text of a decree that would allow the funds to be counted as Alitalia's own capital.

This move will "provide the financial and capital means necessary for seeking ways to revive the company and to avoid, for this (12-month) period, any possibility of liquidation," according to the text quoted by Italian news agencies.

Alitalia reported a net loss of 495 million euros for 2007 after a loss of 626 million...