Airlines
Alitalia To Enter Bankruptcy for Second Time in Nine Years
Rescue plan by Etihad scrapped due to failure to agree on employee cost concessions
SkyTeam member Alitalia now operates under "extraordinary administration." (Photo: Flickr: Creative Commons (BY-SA) by BriYYZ)
SkyTeam member Alitalia now operates under "extraordinary administration." (Photo: Flickr: Creative Commons (BY-SA) by BriYYZ)

Altialia has begun bankruptcy proceedings following its failure to gain pay concessions from its workforce and a fresh capital injection from Abu Dhabi-based Etihad Airways among others. In a statement released Tuesday, the Italian flag carrier said its board of directors unanimously voted to enter “extraordinary administration” following the company’s shareholders’ meeting.