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ITA's financial resources improving, all set for Lufthansa offer, states chairman

Italy's ITA Airways is heading for a fullyear revenue and remains in great financial shape for a. planned tieup with Lufthansa which can yield. considerable synergies, the Italian carrier's chairman Antonino. Turicchi stated in a newspaper interview on Wednesday.

Lufthansa stated recently it had sent a. package of treatments to the European Commission required to. protected EU antitrust approval to take a minority stake in. state-owned ITA, bringing it an action better to sealing the deal.

Turicchi informed day-to-day Il Messaggero that the business's. revenues before interest and tax stood at 40 million euros. ($ 42.36 million) at the end of October and would close the year. in favorable territory, and it had cash reserves of over 550. million euros.

We have actually revealed with realities that we are a competitive and. lucrative company, Turicchi said.

Core earnings, or incomes before interest, tax, devaluation. and amortisation (EBITDA) stood at 309 million euros at the end. of October, Turicchi stated, an increase of 213 million compared. with the same period last year.

He approximated synergies from the tie up with Lufthansa of. 300-400 million euros through 2027, and stated the business could. increase its workforce in 2025 if market trends remain positive. as he expected.

Lufthansa in July won EU antitrust approval to purchase 41% of. ITA, the follower airline to insolvent Alitalia, for 325 million. euros ($ 354 million), in an offer created to boost its existence. in the profitable southern European market.

A recent row between the companies over an obvious cost. distinction appeared to be gotten rid of after Italy's Treasury also. sent to Brussels the solutions to win antitrust approval,. and an Italian source said Lufthansa had dropped its ask for. a discount rate.

(source: Reuters)