Manufacturing Industry
EU decision on Italy's Alitalia loan imminent
Airline Industry Information, July 12, 2004
AIRLINE INDUSTRY INFORMATION-(C)1997-2004 M2 COMMUNICATIONS LTD
The fate of Italian national airline Alitalia could be decided as soon as Tuesday (13 July) when the country's Transport Minister Pietro Lunardi meets European Transport Commissioner Loyola de Palacio.
Lunardi is expected to ask for the European Union to allow its proposed EUR400m emergency loan to save the ailing state-controlled carrier which is on the brink of collapse. Under European law countries are not permitted to provide state funds to save national airlines, in the interest of competition.
A decision is expected from the Commissioner either immediately or before 16 July, reports Reuters.
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