Italy’s civil aviation authority could order troubled national airline Alitalia grounded within 10 days after a consortium withdrew its rescue plan, a source close to the regulator said on Friday.
The National Civil Aviation Authority will from Monday determine whether the company had new bailout offers after unions on Thursday rejected a lifeline by an Italian consortium because of proposed mass job cuts.
The source said the body would conduct its probe for six to 10 days and, if its finding were negative, ”Alitalia will be grounded” with its licence taken away.
Alitalia on Friday cancelled 30 flights as its troubles deepened. A spokesperson blamed ”technical reasons” for the cancelled flights.
The government holds a 49,9% share in Alitalia, a national symbol for Italians since it was founded in 1946. But the airline has lurched for years from crisis to crisis, and was placed under special administration in August.
The government has spent €5-billion in the past 15 years to keep Alitalia flying, the last handout being a €300-million emergency loan in April.
It is barred by European regulations from subsidising the airline with further public money. — Sapa-AFP