Portugal to submit decree to president to nationalise TAP airline - report

Portugal's government will submit a decree to the country's president to nationalize flag carrier TAP, weekly newspaper Expresso reported on Tuesday on its website.

The move came after the state, which holds 50% of TAP, and Atlantic Gateway, a private consortium owned by David Neeleman which holds 45%, failed to reach an agreement over a 1.2 billion euro ($1.34 billion) rescue loan from the state for the airline, Expresso reported.

TAP was not immediately available for comment. ($1 = 0.8922 euros)