Media owner Silvio Berlusconi on Wednesday said Alitalia could be sold to Air France-KLM as long as it retained its Italian identity, backing away from previous comments opposing a deal between the carriers.

Alitalia shares lost nearly 7 percent on Tuesday after Berlusconi, a candidate for prime minister in April's election, said Italy should not lose its flagship airline and that an Italian consortium would have been a better suitor.

But he toned down the comments when asked about Alitalia on a television talk show on Wednesday.

"The idea of an Air France-KLM-Alitalia public company is possible, but by maintaining Alitalia as a flagship carrier, with its own symbol and offices around the world," he said.

Alitalia is in exclusive talks to be bought by Air France-KLM, which was picked by Italy's outgoing government as the preferred buyer for the state's 49.9 percent stake in the airline.

The French carrier has said it will need the blessing of Italy's next government before concluding a deal, sparking fears that the potential alliance might collapse if the coalition headed by Berlusconi returns to power.

Alitalia's talks with Air France-KLM have met with resistance in Italy's north because of their plans to reduce the Italian carrier's presence at its Milan hub.

Berlusconi, whose power base is in the northern industrial area around Milan, reiterated on the talk show that Italy should maintain two hubs -- in Rome and Milan.

Asked if the state should intervene to bail out Alitalia -- which needs a fresh cash infusion by mid-year to keep flying solo -- Berlusconi said the Italian state could contribute a temporary "sacrifice" under exceptional circumstances.

That option is unlikely even if Italy's next government is willing to make such a sacrificial contribution. The European Union has already barred Italy from providing any more state aid to the unprofitable carrier.