The following factors could affect Italian markets on Tuesday.
Reuters has not verified the newspaper reports, and cannot vouch for their accuracy. New items are marked with (*).
For a complete list of diary events in Italy please click on IT/DIA .
ECONOMY
ISTAT releases April producer prices data (0800 GMT).
DEBT
Italy sells 6.0-7.5 billion euros over three bonds at auction, including 5- and 10-year nominal bonds.
COMPANIES
(*) POPOLARE DI VICENZA, VENETO BANCA
Corriere della Sera said indications coming from the EU Competition watchdog highlighted "several difficulties" in reaching a positive outcome over the rescue of the two Veneto banks.
MONTE DEI PASCHI DI SIENA BMPS.MI
Italy's fourth biggest bank Monte dei Paschi di Siena said it was in exclusive negotiations with a domestic fund and a group of investors over the sale of its bad loan portfolio, which it needs to offload to be allowed to receive state aid.
The bank, which at the end of last year had 26 billion euros in gross defaulting debts, has set a June 28 deadline for the talks with Quaestio, the fund which manages banking industry rescue fund Atlante and which will also conduct negotiations on behalf of other investors. L8N1IV3NL
(*) BANCA CARIGE CRGI.MI , ASSICURAZIONI GENERALI GASI.MI
The bank's board is expected to approve at a meeting on Tuesday the sale of a first tranche of bad loans using the GACS state guarantee, Il Sole 24 Ore said. The board is set to also discuss plans for a spin-off of further 2.4 billion euros in bad debts into a separate vehicle and the proposed 450 million euro capital increase. Top investor Malacalza, backed by shareholders Volpe and Spinelli, is unhappy with the cost of the bad loan spin-off and the slow progress made under the business plan, the paper said. The board is also divided over the possibility of converting an 80 million euro subordinated bond held by insurer Generali into equity.
(*) TELECOM ITALIA TLIT.MI , VIVENDI VIV.PA
A deadline for EU Competition authorities to rule over whether French media group Vivendi VIV.PA has de facto control over Telecom Italia expires on Tuesday.
ITALGAS IG.MI
Board meeting to approve 2017-2023 strategic plan (press release and presentation on May 31).
EXOR EXOR.MI
Annual general meeting (0600 GMT).
TISCALI TIS.MI
Annual general meeting (1200 GMT).