New Alitalia posts first operating profit

Alitalia reported a €15 million ($22.3 million) operating profit in the third quarter, its first since the mid-January re-launch under new ownership with backing from Air France KLM.

The surplus followed a €210 million operating loss in the first quarter and a €63 million deficit in the second, leaving AZ €258 million in the red on an operating level since the takeover by the Compagnia Aerea Alitalia consortium (ATWOnline, July 31).

"Managing to exceed the forecast of an even balance for the third quarter. . . represents a significant outcome for us," CEO Rocco Sabelli said, while Chairman Robert Colaninno said the result "proves the validity of the industrial operation and of the investment made by the stockholders. The challenges that lie ahead are again many and complex, but today we know that we have the means to face them."

Third-quarter revenue was €838 million. AZ transported 6.3 million passengers and load factor was 74%, up 9 points from the second quarter and 23 from the first. It said market share as of Sept. 30 was 53% domestic and 20% international. Nine-month revenue came to €2.12 billion and the company had financial debt of €831 million as the third quarter ended.

AZ took delivery of four A320s during the quarter and has added nine this year. Four MD-80s left the fleet. It said it also has launched the "purchasing procedure" for four 90-seat regional jets. It currently operates 148 aircraft, according to its website.

by Brian Straus

Originally published 10 Nov 2009 at: http://feeds.atwonline.com/~r/AtwDailyNews/~3/Ab0zFIhRuKE/story.html