easyJet Expands Italy Operations Following Lufthansa-ITA Acquisition
Category:NewseasyJet will expand its Italian operations after being granted EU approval as a short-haul provider in connection with the Lufthansa-ITA acquisition.
easyJet has received approval from the European Commission to serve as the short-haul remedy provider in connection with Lufthansa’s proposed acquisition of ITA Airways. This marks a significant development in the European aviation landscape.
The decision comes after months of regulatory scrutiny and negotiations, addressing potential competition concerns in the Italian air travel market.
easyJet Expansion in Milan and Rome
Starting in spring 2025, easyJet will establish new bases with five aircraft at Milan Linate and three at Rome Fiumicino. This will create approximately 300 jobs across these locations.
This strategic expansion will bring easyJet’s total Italian fleet to 38 aircraft across four bases. These are Milan Malpensa, Milan Linate, Rome Fiumicino, and Naples. The airline will operate through 20 Italian airports, serving over 20 million customers annually.
The background of the ITA Airways-Lufthansa merger is complex and rooted in the transformation of Italy’s national airline. ITA Airways replaced the bankrupt Alitalia in October 2021. Since that time, it has been seeking a strategic partner to ensure its long-term viability.
Lufthansa emerged as a potential savior, offering a lifeline to the struggling Italian carrier after a competitive bidding process. This saw several potential investors involved.
The European Commission’s approval came with specific conditions to maintain market competition. easyJet’s role as a short-haul remedy taker is crucial in this context.
It ensures that the merger does not create a monopolistic situation in the Italian air travel market. By requiring Lufthansa to divest certain routes and slots, the commission aims to protect consumer interests and maintain competitive pricing.
Milan Malpensa as Key Italian Base
Milan Malpensa continues to be the focus of easyJet’s European and Italian network, having recently celebrated a remarkable milestone of 100 million passengers since beginning operations in 1998. Over the past 26 years, the airline has transported more than 210 million passengers to and from Italy. It has established itself as a key player in the country’s aviation sector.
Kenton Jarvis, easyJet’s CFO and incoming CEO, highlighted the importance of the approval. “We are delighted to be selected as the short-haul remedy taker in Milan and Rome. This decision ensures continued market competitiveness, allowing easyJet to provide expanded destination choices and affordable fares for Italian consumers.”
“Travelers to and from Linate and Rome will benefit from new services starting this spring, reinforcing our commitment to investment, job creation, and growth in the Italian market.”
Lorenzo Lagorio, easyJet’s Country Manager for Italy, provided additional context: “Throughout our 26-year history of carrying over 210 million passengers, we have been instrumental in democratizing air travel in Italy, enabling seamless European travel for more Italians.”
“We are excited about expanding our presence in Milan and Rome, creating employment opportunities and offering increased choices for our customers.”
Summary
The merger and subsequent remedy arrangement represent a complex solution to the challenges facing European aviation. With ITA Airways struggling to find profitability and Lufthansa seeking expansion, the deal provides a strategic opportunity for both parties.
easyJet’s involvement ensures that the transaction does not come at the expense of market competition. This ultimately benefits Italian travelers through increased options and potentially lower fares.
As the aviation industry continues to recover from the challenges of the global pandemic, this merger and easyJet’s expanded role demonstrate the ongoing transformation and resilience of European air travel.
