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Alitalia must pay back loan

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Alitalia must pay back loan

 Alitalia must pay back loan
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The EU has given the go ahead for the takeover of Alitalia, but the airline must pay back a 300 million euro loan first.

The European commission also said the loan, originally lent by the Italian government, would not have to be paid by the CAI consortium which is planning to buy the national carrier.

EU Transport Commissioner Antonio Tajani said: ‘‘The loan should be paid back by Alitalia and not by the CAI consortium. Given the fact that we don’t think Alitalia is able to guarantee this repayment we ask the sale of its assets represent their real market value.”

As the airline looks for ways to pay back the loan, air travellers faced further misery as a wildcat strike by Alitalia aircrew headed into its third day.

Dozens of national and international flights have already been cancelled.

With the CAI consortium planning to merge the airline with Air One, many pilots and cabin crew are unhappy over their contracts.