Alitalia unveiled a new business plan late last week that aims to make €1 billion of cost cutting to help it better compete with low-cost carriers. The Italian flag carrier will begin to charge for meals, priority boarding and preferred seating on flights of less than four hours but will retain full-service long-haul flights. The plan also includes job cuts as well as the renegotiation of certain supplier contracts. The airline is planning to add short-haul capacity by fitting more seats on its narrowbody aircraft and decreasing its fleet by 20 aircraft. Alitalia expects to boost revenues by 30% from €2.9 billion to €3.7 billion by 2019.
Alitalia presents new business plan
Alitalia unveiled a new business plan late last week that aims to make €1 billion of cost cutting to help it better compete with low-cost carriers. The Italian flag carrier will begin to charge for meals, priority boarding and preferred seating on flights of less than four hours but will retain full-service long-haul flights. The plan also includes job cuts as well as the renegotiation of certain supplier contracts. The airline is planning to add short-haul capacity by fitting more seats on its narrowbody aircraft and decreasing its fleet by 20 aircraft. Alitalia expects to boost revenues by 30% from €2.9 billion to €3.7 billion by 2019.