Romano Prodi, leader of Italy’s center-left bloc which won Sunday’s general election, signaled he wanted to get Italy’s languishing privatization program moving again by selling off state phone holding company Stet SpA by the end of the year. However Prodi immediately ran into opposition from the Marxist party Communist Refoundation, whose support might prove vital in the lower house of parliament where the Olive Tree falls short of a clear majority. Privatization of Stet, controller of Italy’s two telephone operating companies Telecom Italia SpA and Telecom Italia Mobile SpA, would be one of the most ambitious sell-offs yet undertaken by Italy. It was scheduled for the end of last year but was put off awaiting parliamentary approval of regulatory legislation.
