Alitalia SpA said it exhausted all options after workers voted against job cuts aimed at salvaging the cash-strapped Italian airline, pushing it toward administration for the second time in a decade, Bloomberg News reported yesterday. A 2 billion-euro ($2.2 billion) recapitalization tied to the savings plan is effectively dead and Alitalia will start appropriate “legal procedures” as funds run out, the Rome-based airline said. Chairman Luca Cordero Di Montezemolo “formally” communicated to the Italy aviation authority that the carrier decided to start the process of naming a administrator, the authority said on its website late Tuesday. The decision to appoint an administrator is the first step for being placed in a legal reorganization process, making it almost impossible a last-minute rescue of the carrier as it exists today. Italy has said it won’t nationalize Alitalia whatever the circumstances.
