The loss-making airline is struggling to keep flying and raised 300 million euros (£250.1 million) in an emergency capital increase last month having agreed 200 million euros in bank financing in October.

"If the business plan targets are not reached another cash call will be inevitable," Gabriele Del Torchio told a shareholders meeting which re-elected him as chief executive and Roberto Colaninno as chairman.

Earlier in January newspaper Il Messaggero said Alitalia had asked banks to extend existing loan agreements by 50 million euros.

Italy's biggest retail bank Intesa Sanpaolo (>> Intesa Sanpaolo SpA) is Alitalia's leading shareholder with a 20.6 percent stake while UniCredit (>> UniCredit SpA) is its third-largest investor with 13 percent.

Air France-KLM (>> AIR FRANCE-KLM) was Alitalia's biggest shareholder with 25 percent but its stake fell to around 7 percent after the Franco-Dutch group snubbed Alitalia's recent rights share offer.

Alitalia needs money to invest in more lucrative long-haul routes after a focus on domestic and regional flights failed to pay dividends due to competition from budget carriers and high-speed trains.

Talks are under way with Etihad to bring the fast-expanding Abu Dhabi-based airline on board, with sources close to the matter having said Etihad is willing to take a stake of up to 40 percent.

However, Etihad said earlier on Monday it would not be rushed into making a decision over an investment.

Del Torchio said the talks with Etihad were in an exploratory phase, but added he was "optimistic".

Alitalia's CEO, who said the new board would remain in place until 2014 results were approved, also told shareholders Air France-KLM was still interested in an cooperation deal.

($1=0.7324 euros)

(Reporting by Alberto Sisto; Writing by Stephen Jewkes; Editing by Greg Mahlich)

Stocks treated in this article : AIR FRANCE-KLM, Intesa Sanpaolo SpA, UniCredit SpA