The EU Court of Justice deems legal the operation that allowed the birth of the new Alitalia

The ‘Italian airline’ was created “ad hoc” in 2008 to save the flagship carrier
Ryanair had filed several complaints against the methods of the operation of the Berlusconi government, but they were all rejected: “Cai is not the economic successor of old company”

There is no continuity between Cai (Compagnia Aerea Italiana) e Alitalia; thus there is nothing irregularin in the rescue operation of the airline conducted by the Rome government in 2008 . This was stated by the European Court of Justice, in a judgment that rejects all the arguments raised by Ryanair. The Irish low-cost airline appealed to the justice system because it was convinced that there were irregularities in the operation sponsored by the Berlusconi government that allowed Cai to take over Alitalia. The body of Justice in Luxembourg has no doubt that “Cai was not the economic successor of Alitalia.” As explained in the Court’s decision, Cai’s offer  “included only some of Alitalia’s assets and concerned only the passengers business and certain assets related to it.” In addition, the deal included “the totality of the slots corresponding to the goods purchased in the proceedings.” From these elements, then, to the European Court of Justice “does not appear that the offer of Cai covered the use of 100% of Alitalia slots for the transport of passengers.” Furthermore, still finds the body of Justice, the Cai offer “covered only half of the 180 aircraft of Alitalia.”

In 2008, the Italian government has granted the air transport company Alitalia € 300 million of loans due to its financial difficulties. Alitalia at that point in insolvency, was placed under temporary external administration and  a bank was named as an independent expert to assess the market price of the company. The Cai offer for the purchase of certain assets of Alitalia, in response to the invitation for expressions of interest launched for this purpose, was communicated by the Italian authorities to the Commission. Initially, the EU executive considered that the bridge loan of 300 million to Alitalia constituted a State aid contrary to EU rules, but later revised its decision in consideration of the saleof certain assets from Alitalia, a factor that has led to believe that there is no State aid. This has triggered the legal proceedings of Ryanair, today rejected definitively.

Renato Giannetti