The Italian cabinet has given its go ahead to the financing of an interim loan of up to €400 million ($490 million) to flag carrier Alitalia. The one-year loan should help the airline continue operations while it prepares a new business plan. The initiative is subject to European Union approval. Meanwhile, Alitalia has reached a long-awaited agreement with pilots unions to obtain a further 2% saving on its costs. The pilots agreed to their wages and benefits being reduced, also agreeing to more flexible work practices. The deal will cut Alitalia's costs by €5 million this year.
Source: Flight International