Alitalia Posts First-Quarter Loss

Troubled Italian airline Alitalia posted a first-quarter net loss of 135 million euros, smaller than the loss of 159 million euros a year ago, and said that it had cash for another 12 months. In a statement, Alitalia also said its operational continuity depended on the outcome of its ongoing sale process.

But it added it was not aware of any plan by its shareholders, the largest one being the Italian Treasury, to close it down should the sale process fail. The airline also said the Treasury had asked it to draft guidelines for a sustainable business plan for the next three years in spite of the ongoing sale process.

The Treasury, which owns 49.9 percent of Alitalia, has put the loss-making carrier up for sale. Only two suitors, Italian airline Air One and Russian flag carrier Aeroflot, are left in the bidding after private equity fund TPG pulled out at the end of May.

Alitalia said its auditor Deloitte had certified the conformity of Alitalia’s 2006 accounts with International Financial Reporting Standards. The Treasury has asked bidders to submit binding offers by July 2.