A deal between the European Commission and the Treasury of Italy paved the way for Italian Transporto Aereo, better known as ITA, to begin flights on October 15, 2021.
The long-running negotiations were centered around the question of ITA’s independence from Alitalia, Italy’s failed flag carrier. Had the talks failed, ITA could have become responsible for paying off Alitalia’s debt.
The new company now aims to raise a capital of 700 million euros and acquire Alitalia’s assets necessary to start operations, according to the Italian media. The majority of the old airline’s slots at Italian airports are going to be transferred as well.
ITA’s 2021-2025 business plan, approved on July 15, 2021, by the board of directors, also includes a plan to contract Alitalia for ground handling and maintenance, discontinue Alitalia’s loyalty programs, and an attempt to buy Alitalia’s brand.
There were reports that the consensus between the European Union’s executive branch and the Italian government had been reached in the first days of July, but the particularities of the deal were not yet clear.
The decision to establish a new Italian flag carrier on the ruins of ailing Alitalia was reached in late 2020. It was preceded by numerous attempts to save the airline, which has been bankrupt since 2017.