MILAN (Thomson Financial) - Italy's economic development minister Claudio Scajola said he is convinced that Intesa Sanpaolo SpA will complete its operation to relaunch and privatise 49.9 percent state-owned Alitalia SpA.
Intesa Sanpaolo is working for the government and Alitalia on a business plan to relaunch the airline, which is reportedly will involve a financial restructuring and new shareholders.
'I don't know if in the next government ministerial meeting will consider the changes to the Marzano law needed for Alitalia,' Scajola said.
Reports have said that the Marzano law on special company administration, used for the Parmalat and Cirio failures, requires changes for application to the airline sector and for Alitalia.
Under such a restructuring, Alitalia's bank creditors could replace debts owed with new share stakes, reports said.
'I am convinced that the adviser will close the operation. The government will facilitate the work of Intesa Sanpaolo,' Scajola said.
Weekend reports said Intesa Sanpaolo's plan foresees 5,000 to 6,000 job cuts and an injection of 700 million to 800 million euros in new capital. nigel.tutt@thomsonreuters.com nt/wj COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.