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Union deal could save troubled Alitalia

Italy’s four main unions have reached an initial agreement with a potential buyer which could rescue Alitalia from collapse.


The CGIL, CISL, UIL and UGL unions have clinched a deal with CAI, a consortium prepared to invest in a new national Italian airline. As part of the 1 billion euro deal, Alitalia would merge with Air One, the country’s second largest airline.


The rescue plan would mean about 3,000 job cuts, with the new Alitalia employing a slimmed-down 12,500 people.


However, five other unions oppose the deal.


Last-minute rescue talks were taking place overnight in Rome and a further meeting is scheduled for midday today.


The airline faces liquidation if a deal is not reached and has said it is already running out of money to buy aviation fuel.


 

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