Alitalia is to enter bankruptcy proceedings after its employees rejected a plan to restructure the troubled Italian airline.
The carrier said its flights would continue to operate as normal while administrators try to come up with a financial rescue package.
Its employees have already voted against a plan to cut jobs and salaries, which would have allowed Alitalia to secure new funds.
Alitalia said in a statement that Italian shareholders and Etihad, which owns 49% of the airline, had been 'committed to recapitalise and finance the plan with €2 billion euros', but that without the approval of workers, it could not go ahead.
The Italian government has given Alitalia €6 billion over 10 years and it has given the airline a €400 million bridging loan to allow it to keep operating during the bankruptcy process, but it has ruled out re-nationalising or providing further funds.