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Italy/UAE: Alitalia finalizes life-saving deal with Etihad

By  |  August 10, 2014

United Arab Emirates-based Etihad is reportedly set to lock down plans to acquire a 49 percent stake in financially struggling Italian airline Alitalia.

Reports said Friday that Etihad will invest about $1.6 billion in the Italian company in part of a broader company restructuring plan set to extend over the next three years. That restructuring is expected to result in 1,635 job cuts, reports say.

Italian government officials met with Etihad officials on Thursday to finalize the takeover as Italy hopes to save the airline from bankruptcy.

According to reports, Alitalia’s struggles are only part of Italy’s broader economic woes. The nation has fallen into its third financial recession in six years, reports say.

Full content: Reuters

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