Alitalia has lined up former Ferrari boss Luca Cordero di Montezemolo as chairman and Etihad Airways CEO James Hogan as his deputy in the new company that will be formed when the Italian airline ties up with the Abu Dhabi-based carrier.
This is according to two sources close to the matter.
The sources said the two men had not been formally appointed because the deal still needs approval from European authorities to be officially signed off.
The deal sees Etihad agreeing to buy 49% of loss-making Alitalia as part of a €1.76 billion rescue plan.
"Yesterday, the board of the old Alitalia designated Montezemolo and Hogan who will eventually be nominated by the board of the new company," one of the sources said.
Both Alitalia and Etihad declined to comment.
While Montezemolo has long been seen as a candidate to be chairman at Alitalia, the appointment of Hogan as his deputy will likely fall under the scrutiny of European authorities which require that no airline from outside Europe controls a European carrier.
Hogan joined Etihad in 2006 and has expanded it through acquisitions of minority stakes in about nine airlines globally.
"He is focused and determined to achieve his goals and has proven that in the last few years," said one Etihad insider who has worked with him.
In September, Alitalia designated Silvano Cassano as new chief executive after current CEO Gabriele Del Torchio said he would step down following a deal with Etihad.
Montezemolo, one of Italy's best connected and most colourful business leaders, who stepped down as Ferrari chairman last month, is seen as a major boost to Hogan's bid to revitalise a brand which he once described as the "sexiest airline in Europe".
"Montezemolo is well recognised in business circles worldwide so having him as chairman is definitely a success and will help build a strong brand image," Giuricin added.
Montezemolo will succeed Roberto Colaninno who decided not to continue in his role after the deal.
The European Commission has said it would decide by Novemeber 17 whether to clear the Alitalia-Etihad deal.
A union with Etihad will bring Alitalia money to invest in more profitable long-haul routes and make it less reliant on domestic and regional services where it has struggled to compete against low-cost airlines and high-speed trains.
The Gulf carrier already has stakes in Aer Lingus and Air Berlin, among others, and investing in Alitalia will help it expand in Europe.
