KLM and the Italian Government have held talks about a renewed merger between the Dutch flag carrier and Alitalia. KLM put an end to its "virtual merger" with Alitalia last year, but the two carriers' search for a partner has proved fruitless. The talks with KLM are believed to be one of the reasons behind the resignation of chief executive Domenico Cempella, believed to favour an Air France link. He has been replaced by Francesco Mengozzi. The Italian Treasury is seeking to sell its 53%stake in Alitalia.

Source: Airline Business