Alitalia may be grounded

Published September 20, 2008

ROME, Sept 19: Italy’s civil aviation authority could order troubled national airline Alitalia grounded within 10 days after a consortium withdrew its rescue plan, a source close to the regulator said on Friday.

The National Civil Aviation Authority will from Monday determine whether the company had new bailout offers after unions on Thursday rejected a lifeline by an Italian consortium because of proposed mass job cuts.

The source said the body would conduct its probe for six to 10 days and if its finding are negative, “Alitalia will be grounded” with its licence taken away.—AFP

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