Delta, Air France-KLM eye majority stake in ITA Airways - paper

Delta and Air France-KLM have teamed up with an unidentified fund to express an interest in a majority stake in ITA Airways, daily La Repubblica said Thursday, setting the stage for a potential bid battle for the successor to Alitalia. The expression of interest was presented to Italy's government in a letter, the paper said, citing a government source. A further expression of interest arrived from another international fund which is already invested in low-cost carriers, the paper added. A Delta spokesperson said the US airline had regular contact with the ITA leadership but did not comment directly on the report. "Delta has a longstanding history with the former Alitalia and has created a partnership with ITA Airways which Delta is committed to strengthening," the spokesperson said. Air France-KLM also declined to comment on the report, reiterating it was committed to deepening cooperation with ITA. It was often seen as a potential partner for Alitalia but nothing ever came of the speculation. Air France-KLM and Delta both have codeshare partnerships with ITA, the slimmed down successor to Alitalia which started operations last October.<br/>