Italy's government just can't let the airline die...
I'm not surprised, they have been more or less bankrupt for a couple of years but still flying.
have been more or less bankrupt for a couple of years but still flying.
Only 'a couple of years' ???
They have been under administration since May 2017, so almost exactly three years. But the new Alitalia haven't been doing well since they were created about 10 years ago from the remains of the bankrupcy of the former Alitalia.
It's il Papa's mode of transport, his blessing probably saved it for eternity
I wish I had as many lives as Alitalia.
We’re bailing out airlines in the US as well. But Alitalia is uniquely consistent as a business-they have not made a profit since 2002! Italy is in terrible economic shape. Maybe this amount of cash is inconsequential from a governments perspective but I’ve got to think they could find a better use for it. But I know nothing about running airlines or countries, so there you go.
"I wish I had as many lives as Alitalia." - nove vite and counting. The sick flying man of Europe.
Now the EU is saying Italy needs to review it's plans for Alitalia, that the plan as-is is unacceptable.
Also, Ryanair doing some saber-rattling about this....
Interesting stuff. Thanks for the update.
Alitalia has made an annual profit twice since 1947. That's a huge amount of taxpayer dollars from a country that's known for tax evasion to prop up a not very good airline. And it wouldn't be hard to make better, since they run with over twice the administrative staffing of any other airline. Nepotism anyone?
As for Ryanair, I feel their whinging just became another load of hot air since they just took a 600 million pound interest free loan from the Bank of England. But hey, if the govt's are going to bail out the big guys why not take your turn at the trough?
They have not made a profit since 2002.
Whether it's the best use of resources is certainly a question, but it's perfectly possible for a state to decide to keep afloat an airline in perpetuity for policy reasons (sensible & practical ones like connecting remote regions but also for reasons of nationalistic hubris). After all, public hospitals and schools don't, in general, make a profit, but civilised countries think it's worth keeping them going. More pertinently perhaps, many of Europe's railways aren't profitable and never have been, but are kept alive by state subsidy or financial jiggery-pokery - because overall railways are a good thing.
@Nick. Thurs 11.30 AM.
Congratulations on fitting national hubris, financial jiggery pokery and Alitalia into the same paragraph.
It seems to me the only country that can truly engage in national hubris is New Zealand. Kicked that virus out. Not surprising to those of us who have witnessed firsthand the All Blacks rendition of the Haka before a rugby game. Silly virus trying to invade NZ in the face of the Haka.
I have high hopes that the great southern land will be able to join NZ. Though I would argue, in both cases that the national hubris would have been a hard-fought victory and deserved. Definitely extreme and unreasonable.
Seen some financial jiggery pokery over the years. 2002 was an outstanding year for Enron and Arthur Anderson. Who would have thought sane people would have given their money to someone with the surname Madoff? The result was looking them straight in the face.
Alitalia, one of the delights of being Italian.
It is reported that Imperial College epidemiologist Neil Ferguson ignored lockdown rules to meet his married mistress. That is real jiggery pokery for you. Never cease to be amazed by the English elites’ insatiable appetite for self-pleasure. Not to be outdone, many of the political elite over the pond have a similar appetite.
Stay healthy. Care for all humankind. (Including Webmasters.) Time is a traveller.