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| Version 2 | Version 3 |
|---|---|
| Alitalia accepts Air France offer | Alitalia accepts Air France offer |
| (about 20 hours later) | |
| Troubled Italian carrier Alitalia has agreed to be bought by rival Air France for a bargain 138m euros (£106m; $215m) in a move to save the state airline. | |
| The Italian government, which holds 49.9% of Alitalia, failed to sell the company by auction in 2007. | The Italian government, which holds 49.9% of Alitalia, failed to sell the company by auction in 2007. |
| Alitalia has lost money for five years, and has struggled to clinch a buyout. | Alitalia has lost money for five years, and has struggled to clinch a buyout. |
| Air France-KLM offered one share per 160 Alitalia shares, valuing Alitalia at a low-value 0.10 euros a share. | Air France-KLM offered one share per 160 Alitalia shares, valuing Alitalia at a low-value 0.10 euros a share. |
| That is a 81% reduction on Alitalia's current share price. | That is a 81% reduction on Alitalia's current share price. |
| The offer includes plans for a 1bn euro capital injection by the Franco-Dutch airline, which says it will also pay 608m euros to buy back Alitalia bonds. | The offer includes plans for a 1bn euro capital injection by the Franco-Dutch airline, which says it will also pay 608m euros to buy back Alitalia bonds. |
| The proposed purchase could become a hot topic in Italy's general election, being held on 13 and 14 April. | The proposed purchase could become a hot topic in Italy's general election, being held on 13 and 14 April. |
| 'National leader' | 'National leader' |
| Alitalia, which is struggling under 1.2bn euros of debt, is hoping the tie-up will generate significant savings. | Alitalia, which is struggling under 1.2bn euros of debt, is hoping the tie-up will generate significant savings. |
| There are a number of hurdles to be overcome before the deal is sealed. Air France-KLM are seeking support for the move from Italian trade unions. | There are a number of hurdles to be overcome before the deal is sealed. Air France-KLM are seeking support for the move from Italian trade unions. |
| The Italian government must also agree to sell its shares, and the country's stock market and European Union competition regulators must also give their backing. | The Italian government must also agree to sell its shares, and the country's stock market and European Union competition regulators must also give their backing. |
| Air France-KLM has a restructuring plan for Alitalia to enable it "to rediscover the means of its development and to consolidate its status as a national leader". | Air France-KLM has a restructuring plan for Alitalia to enable it "to rediscover the means of its development and to consolidate its status as a national leader". |
| And it said Alitalia will maintain its national identity within the Air France-KLM group after the takeover, which could be completed by mid-2008. | And it said Alitalia will maintain its national identity within the Air France-KLM group after the takeover, which could be completed by mid-2008. |