Italian airline Alitalia said today that it would postpone until next Tuesday its decision on which buyer it prefers to take over the loss-making company.
The choice of the partner was initially expected today, but press reports said the Italian government is split on whether to sell Alitalia to Air France-KLM or to AP Holding, which operates Italy's second biggest airline, Air One.
It asked the company to suspend its decision, the reports said. The government owns 49.9% of Alitalia and is seeking to sell a controlling stake to a partner that can relaunch the ailing airline.
Alitalia has to examine offers from Air France, AP Holding, which operates Air One, and from a consortium organised by Rome lawyer Antonio Baldassarre.
The newspaper Il Sole 24 Ore said Alitalia's management and Citigroup, which is advising the company, favour Air France because its offer is considered more solid.
Alitalia currently loses about €1 million a day owing to its high operating costs and fierce competition from budget rivals.
