Thumbs-up for Alitalia rescue plan

THE European Commission has said Alitalia may proceed with its restructuring plan but warned Italy must act like a private investor in the airline's recapitalisation, reports Reuters. Alitalia’s restructuring plan involves a capital increase of up to €1,2bn (R9,8bn) and the airline being split into AZ Fly, which will handle air operations, and AZ Services, which will handle ground operations. State-owned holding company Fintecna is to take a stake in AZ Services. A number of European carriers pressed the commission to reject the rescue plan, arguing it constituted illegal state aid. (Lucy Siebert)