Lufthansa sought to reassure investors about ITA’s financial health on Friday after the German carrier won EU approval this week to buy 41 per cent of the Italian airline, which remains under the shadow of its predecessor Alitalia.
Once a symbol of glamour and style for Italy and a beacon of national identity, the government accepted that ITA, Alitalia’s new configuration, needed strong ownership to survive. “We only need to execute if it is economically viable, even though you can hear my optimism and the optimism of the whole group that this will be the case,” CEO Carsten Spohr told a conference call for investors and analysts.
Spohr said he expected ITA’s business costs to improve further, given the efficiency of Rome’s Fiumicino Airport, and that the airline’s leasing debt was not a major concern.