Alitalia unveils new strategy - Investors from Etihad Airways forecast profitability by 2017

The Italian airline, Alitalia has unveiled today new company strategy. Alitalia will introduce new routes, new product and service standards, a new cost management strategy and new branding, as the foundations to build a premium global airline representing the best of Italy.

The new Alitalia commenced operations on 1 January 2015, following the completion of equity investments by Etihad Airways and Alitalia’s existing shareholders. The new company’s Board meeting yesterday ratified the business strategy, which was outlined today by Luca di Montezemolo, Chairman of Alitalia, Silvano Cassano, Chief Executive Officer of Alitalia, and James Hogan, President and Chief Executive Officer of Etihad Aviation Group and Vice Chairman of Alitalia.

President Luka di Montezemolo said - The revitalized Alitalia we envision and have started building, will be an asset to this country, and a driver to support the growth of our tourism and our business.

James Hogan said Alitalia’s future will rely on major change throughout the organization.

- We’ve invested in the new Alitalia because we believe it can flourish again. It will only succeed if there is 100 per cent support from everyone. The coming months and next few years will not be easy, but if everyone pulls together as one team, Alitalia can grow again.

Mr Hogan said that Alitalia’s major investors had set a clear deadline for the airline to deliver profitability by 2017.

GM at Alitalia, Silvano Cassano added:

-“Successful Alitalia means jobs, it means trade and it means tourism. It means a major impact on the Italian economy.”

The key elements of the new business strategy include:

-A new three-hub strategy in Italy. Milan Malpensa will increase long-haul services, while Milan Linate will increase connectivity with partner airline hubs. Rome Fiumicino will grow long-haul flying and continue to expand short and medium haul flying to maintain relevance to the Italian market
-New routes from Rome include Berlin, Dusseldorf, San Francisco, Mexico City, Santiago (Chile), Beijing and Seoul, with increased flights to New York, Chicago, Rio de Janeiro and Abu Dhabi
-Alitalia will also add 13 weekly flights from Milan Malpensa, with daily services to Abu Dhabi, four flights a week to Shanghai, and additional flights to Tokyo
-There will also be increased connectivity with Etihad Airways’ hub in Abu Dhabi, with daily services from Venice, Milan, Bologna and Catania, as well as additional flights from Rome, all allowing onward connections to the Middle East, Africa, the Indian subcontinent, Southeast Asia, China and Australia.
There are also plans to work more deeply with national airline Air Serbia.

ALITALIA - Linee Aeree Italiane S.p.A

Etihad Airways

OGRANAK ETIHAD AIRWAYS Beograd

Air Serbia ad Beograd

Air France-KLM

Alitalia

Etihad Airways

Etihad Aviation Group

Luca Cordero di Montezemolo

Silvano Cassano

Džejms Hogan

James Hogan

SkyTeam

Transatlantic Joint Venture

Delta Air Lines