Although I find it hard to imagine perennial loss leader Alitalia will ever go out of business, the carrier is in serious trouble.
After workers rejected a plan to save the beleaguered Italian flag carrier, the government warned this time there would be no bailouts. Italy’s Transport Minister, Graziano Delrio, told reporters–
“Somebody believed that there would have been yet another public rescue. I will say it clearly: there will not be one,” he told the La Stampa newspaper.
Or maybe just a little one:
In another interview, industry minister Carlo Calenda – who brokered negotiations on the rejected rescue plan – said the government would only be prepared to offer Alitalia a six-month bridging loan worth between 300 and 400 million euros. The funding was intended to keep Alitalia’s flight operations going until a new owner had been found, he told the Radio 24 broadcaster.
In either case, Alitalia is in serious trouble, which leads me to this post.
During the last AMEX transfer promotion, I sent over a big chunk of miles to Alitalia. Award availability in business class was better back then and I figured I could take the family to Israel in business class (Alitalia counts Israel as part of Europe).
But with a bridge loan only bailing out Alitalia through the summer months, I’m eying a last minute redemption on whatever route is available. I do wish to try Alitalia before it becomes merely a reference in a history book.
How about you? Do you have expiring Alitalia miles that may need to be used? If Alitalia goes under, the one valuable redemption in MilleMiglia will be gone. Even so, in the back of my mind I cannot help but to think the company will be bailed out in some form, as it always is.
MilleMiglia is actually a separate company and won’t be directly affected by the bankruptcy. You might not be able to redeem for Alitalia flights anymore, but other redemptions should not be affected in the short term.
Really? Good to know.
I’d be very worried if I had a ticket booked. I’d be kinda worried if I had many miles in the program even if it’s a separate company (which is a great point made by Joe)
They have been handed a 6 month bridge loan to continue flying while waiting for a potential buyer. Summer flights appear to be safe.
In Dec, I moved AMEX miles over. I had tickets booked for this Oct. Then they cancelled my return from Rome (changing seasonal end from Oct 9 to Sept 29). They weren’t helpful, and I still don’t have my fees and taxes back from that. I was able to find tickets in Sept, but I’m worried as well. Will I have an outbound flight? Or a return? When will I know? And what happens to my miles?? I was trying to reschedule to fly in May, but nothing open. Would it be better to book a Delta or KLM/AF flight with them??
I wonder if it is facing bankruptcy how safe is to fly with them?
I hope the two are not related!
Until when is Alitalia garanteed to fly? I booked a flight with them for October…