Alitalia was on the verge of collapse this afternoon (September 18) as the consortium offering to buy the bankrupt carrier withdrew its offer.
Both the CAI government and the Italian had set a deadline today for Alitalia”s nine unions to accept a rescue deal.
But reports from Rome said CAI withdrew the offer as the 4pm deadline passed without agreement.
Before the deadline passed, Italy”s labour minister Maurizio Sacconi warned the national carrier”s future was ”hanging by a thread.”
As the talks continued this week between the unions and CAI, the prime minister Silvio Berlusconi warned that time was running out for the airline.
Augusto Fantozzi, the commissioner appointed after the airline went into receivership at the end of August, also warned that cash had run out and contracts would be terminated if agreement was not reached.
The rescue deal had proposed that the government would sell its 49.9% stake in the airline to CAI.
The profitable parts of Alitalia would be merged with rival carrier Air One to form a streamlined carrier and the unprofitable parts liquidated.
Visit www.alitalia.com.