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Air France-KLM will not subsicribe to Alitalia capital increase

15-Nov-2013 6:53 AM

Air France-KLM confirmed (14-Nov-2013) it will not subscribe to Alitalia's EUR300 million capital raising. The company stated: "Even if the industrial component of the new plan presented yesterday by Alitalia is a step in the right direction and is receiving Air France-KLM's full support, the necessary financial restructuring measures are still not yet met. As a confirmation of its support to Alitalia, Air France-KLM, after the capital increase is completed, intends to convert its convertible bonds, which will improve the equity of Alitalia and keep a strong relationship between the airlines through the stake of Air France-KLM in Alitalia." Air France-KLM added: "Air France-KLM confirms its commitment to remain a loyal and serious partner of Alitalia, in continuation of the broad industrial partnership currently in place. The Group will further leverage on the excellent achievements reached by Alitalia in terms of operating performance, quality of service and cost control. This partnership, signed in 2009 for a period of eight years, provides strong benefits for both parties." [more - original PR]