15 December 2008

12/12 New Dawn or Last Post for Alitalia?

Could this be the start of something great for Italy? Or is this just another part of the long drawn out death throes of Italian Aviation?

Either way - it will be an interesting ride for the chaps at CAI who now own the Alitalia brand and its assets without any debt. Is that enough though? The routes are essentially the same - the employees are the same - the service is the same... So we shall have to see.

Bringing in the AirOne franchise is beneficial but we cannot rely on that being the only differentiating factor. The new AZ will have to contend with a steady encroachment on its turf with a big growth from Ryanair who has been having a lot of fun in Italy and of course the growth of a new Italian version of Lufthansa - AKA LH-Italia.

I cannot help but think that the opportunity is dimmed for AZ and its future is not that bright. But we have seen things turn around. Witness Aer Lingus.

Best of luck or arrivederci?

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