No More Flights for Rome

Alitalia's cancellation of direct route from Toronto is causing controversy in community

It had been a great victory for the Italian-Canadian community: thanks to the hard work of then-Ambassador Francesco Paolo Fulci, Alitalia had been convinced to open a direct Toronto-Rome service (at the time there was also a link with Montreal). Then came the code-sharing agreement between Alitalia and Canadian, and flights to and from Italy increased, not only Rome, but Milan as well. Finally Air Canada bought Canadian, wreaking havoc in Canada's transports and risking bankruptcy (it's not too late for that).
These last weeks have left everyone astonished, customers, travel agents, even Alitalia itself. Since October 26, Air Canada has cancelled Italy from its destination, and for the first time since that historic victory, Rome has no direct connection to Canada!
One of the world's top 10 tourist destinations, capital of a nation with important ties to Canada, allied in NATO and fellow member of the G8, has simply been wiped out from Air Canada timetables, which at best offer a connection via Frankfurt with Lufthansa.
"We were not forewarned, and this decision by Air Canada took us by surprise," remarked Salvatore Marra, Alitalia Sales Manager in Canada. "At the last minute we could only increase our flights on Milan from five to six per week. However, if Air Canada does not restore its flights in the spring, Alitalia will not leave Rome unattended."
The mystery concerns Air Canada's intentions: why did they cancel a flight that's usually sold out, and always profitable? A possible answer comes from Rome, where the Canadian airline had no fewer than 30 employees promptly fired. Should Air Canada restore its flights to Rome, the whole thing might turn out having been a way for Canadian managers to dodge Italian labour protection laws.
Travel agents have been showered with complaints. "Our customers are booking for their Christmas vacations, and this news leaves them speechless," told us Maurizio Magnifico of St. Clair Travel.


Airline Shares the Blame

by Francesco Riondino

The cancellation of direct flights between Toronto and Rome raises the ire of the top representatives of the Italian-Canadian community. Gino Bucchino, CGIE vice President for Anglophone Countries, and Vince Luca, National President of the Congress of Italian-Canadians, concur in denouncing the damage done to the over one million Italians residents in Canada and in announcing actions.
"We haven't issued press releases yet because we wanted to understand what exactly was going on," said Bucchino, "but now there is a clear responsibility of Alitalia managers in Rome as well as Air Canada managers here. We already spoke with the Ambassador in Ottawa and we're preparing several official initiatives."
"The Alitalia management," continued Bucchino, "has forgotten that Canada is no Third World country, and that over one million Italians who live in this country travel for leisure, but also, very often, for business. The connection with Milan, not even active every day of the week, leaves the capital and a large part of central and southern Italy without coverage."
Alitalia insists that flights will be resumed from next May and will not be limited to the summertime.
"I'm really curious to see what will happen," concluded Gino Bucchino. "Until now, experience shows that after the cancellation of a flight very rarely do airlines backtrack."
"Unfortunately, short-sighted bottom line considerations seem to prevail on everything else, and this led to direct flights being cancelled," argues Vince Luca. "We of the Italian-Canadian Congress are studying how best to protest this decision, and let our protest be heard at the Canadian federal level. For sure, this issue will be debated at our national convention that will be held in Montreal at the end of November."


LET'S FLY VIA NEW YORK

by Niccolò Marras

Direct Toronto-Rome flights only in the summertime, June 2 to October 30. "This is all we can do for now," told us Paolo Enrico Rubino, Alitalia marketing and strategy manager, from their Rome headquarters.
What about the future? Can the flight be extended year-round?
"Let's think about today, the future is still to come."
Rubino, 44, from Naples, said no more.
Isn't this too little? How will you guarantee decent service to passengers wishing to travel from southern Italy to Toronto and vice versa?
"Our connections with central and southern Italy are structured in such a way as to ensure optimal connection to and from Toronto. In case of need, anyway, passengers will be routed via New York or Paris, with a second flight operated by our partner Sky Team, i.e. Delta and Air France."
Which plane will be used?
"We'll use a Boeing 767, carrying 205 passengers: 175 in economy class, 30 in first class, which we call Magnifica class."
What about the timetables?
"Under study."
This answer is "political"; on the other hand, Rubino must be diplomatic, as Alitalia is attempting to recover through privatization, and this could lead to an alliance or a merger with Air France and KLM.
Alitalia also has a host of immediate problems to tackle, such as labour relations with its staff (some 2,700 employees, 1,200 of which must be transferred to other companies) and a 2003 bottom line in the red for over $400 million.
The woes of passengers accustomed to flying Toronto-Rome direct are not so much due to decreasing traffic as rather to Air Canada's cancellation of its flights to Rome. Why did this happen? The answer to this question is to be found in recent strategies and alliances among airlines.
Air Canada has no reason anymore to fly to Rome because it is a part of Star Alliance, and must concentrate its flights on Frankfurt, maximizing the advantages of using a hub shared by all 15 allies: United Airlines, Thai Airways, Air New Zealand, All Nippon Airways, Mexicana, Singapore Airlines, Asian Airlines, Varig, Lufthansa, BMI British Midland, SAS, Austrian Airlines, Spanair, Lot, and Air Canada. These 15 airlines control a 23 percent share of the global market.
Alitalia, on the other hand, belongs to Sky Team, an alliance controlling 22 percent of the market including, with Alitalia, seven airlines: Korean Air Lines, Delta Air Lines, Aeromexico, Air France, CSA, and KLM.
The battle for sky supremacy includes a third group called Oneworld, with 19 percent of the market, formed by American Airlines, Qantas, Cathay Pacific, Lan Chile, British Airways, Iberia, Swiss International, Finnair, and Air Lingus.
Of course the problems for Toronto-Rome passengers are not entirely to be blamed on this gigantic battle, but also on the abysmal operation of Italian airports such as Rome and especially Malpensa, where apparently as much as 50 percent of all pieces of luggage get lost. Moreover, there is also the anomalous use of Milan's second airport, Linate, which is convenient but detracts much traffic from Alitalia in favour of other carriers.


ALITALIA SCRAMBLES TO RESPOND

by Angelo Persichilli

Air Canada's refusal to respond to our requests for an interview indirectly contributed to Alitalia's difficulties, while the company is under pressure to restore service to Rome.
What are Alitalia managers doing? Clearly, Air Canada's sudden decision took them by surspise, and they are now trying and responding as best as they can to the requests of users and travel operators. "I can say that, from mid-May to mid-October of next year," told us Vincenzo Cappelluto, in charge of Alitalia in Canada, "we shall most likely operate daily flights between Toronto and Rome, thus restoring normal service."
On the short run, Alitalia boosted its Toronto-Milan flights from five to six per week, in an effort to compensate somewhat the loss of seats generated by Air Canada's withdrawal. At present, little else seems possible. Cappelluto, in fact, remarked that "from an economic standpoint the Rome market is very difficult, being 'terminal', as they say, and especially seasonal." Leaving the Christmas holidays aside, in fact, the winter market to Rome cannot sustain a weekly service, which would operate at a loss. Moreover, Milan gives the possibility to sell "not only Italy but other destinations as well, thus enhancing profitability."
In such a situation, however, industry operators say that Alitalia risks losing its dominance on Rome and the whole southern Italy. "This is due to the fact that now flying to Rome via Milan or Frankfurt or Paris makes no difference any more," claimed some Canadian travel operators.
This is even truer considering that users can shop around with Air France, KLM, British Airways, or any other European company, finding more flexible connections and occasionally cheaper fares.
Troubles continue, and in the next days and weeks many community organizations will try and pressure their respective governments, in Rome and Ottawa, to restore a service that is seen as fundamental in the development of relations between the two countries.

Publication Date: 2003-11-16
Story Location: http://tandemnews.com/viewstory.php?storyid=3353