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.

POLITICS

Tommaso Foti, a close ally of Prime Minister Giorgia Meloni, was on Monday appointed Italy's new EU and regional affairs minister, taking on the daunting task of overseeing the spending of EU post-COVID funds.

DEBT

Italy posted a state sector budget deficit of 5.1 billion euros ($5.35 billion) in November, widening from a deficit of 1.29 billion euros in the same month of 2023, the Treasury said on Monday.

COMPANIES

STELLANTIS STLAM.MI

The automaker is considering Chief Purchasing and Supplier Quality Officer Maxime Picat and Chief Operating Officer for North America Antonio Filosa as internal candidates for the CEO position, a source told Reuters on Monday. The source added that external candidates are also being considered.

Outgoing CEO Carlos Tavares clashed with Stellantis' board over his plans to quickly turn around the ailing U.S. business by cutting costs, rather than focusing on long-term strategy, investors and bankers familiar with the matter said on Monday.

The Italian government wants to protect jobs and supply chains in its talks with Stellantis and aims to achieve its goals at a planned meeting with the company on Dec. 17, Prime Minister Giorgia Meloni said on Monday.

New car sales in Italy fell by 10.8% year-on-year in November, transport ministry data showed on Monday. Stellantis held a 24.9% share of the market, compared to 25.15% in the previous month, according to Reuters calculations.

UNICREDIT CRDI.MI

The Italian government is ready to use its special vetting powers if UniCredit's takeover bid for smaller rival Banco BPM goes against the national interest, Prime Minister Giorgia Meloni said on Monday.

Fitch affirmed the bank's long-term IDR and senior preferred rating at BBB+, and said the Banco BPM BAMI.MI transaction would not affect the rating.

SALVATORE FERRAGAMO SFER.MI

The Italian luxury group said on Monday that an impairment test on its full-year financial statements is likely to lead to an overall cumulative write-down in the range of 70-90 million euros.

LEONARDO LDOF.MI

An agreement between Italy, Britain and Japan on the Global Combat Air Programme $(GCAP)$ for a new fighter jet will be signed on Dec. 13, the CEO of Leonardo Roberto Cingolani said on Monday, adding it will be seen on that day whether Saudi Arabia will join in.

DIARY

Rome, Cabinet meeting (1100 GMT).

Barcelona, Bank of Italy Governor and ECB board member Fabio Panetta to speak at the 20th Spain-Italy Dialogue Forum.

Rome, Industry Minister Adolfo Urso chairs meeting on Eni Versalis (1700 GMT).

Rome, general assembly of logistics association ALIS; expected attendees include Foreign Minister Antonio Tajani, Infrastructure and Transport Minister Matteo Salvini, Civil Protection and Sea Minister Nello Musumeci, Environment and Energy Security Minister Gilberto Pichetto Fratin, Defence Minister Guido Crosetto, Interior Minister Matteo Piantedosi.

Rome, Italian Nuclear Association $(AIN)$ holds meeting "The Italian industry and the opportunities of the new nuclear power" (0800 GMT); expected attendees include Industry Minister Adolfo Urso, Environment and Energy Security Minister Gilberto Pichetto Fratin (via video message).

Rome, Industry Minister Adolfo Urso attends event "Southern Italy on the move, the challenge of sustainable mobility in the South" (1200 GMT).

Rome, National Cybersecurity Agency $(ACN)$ Director General Bruno Frattasi presents the work of the G7 Cybersecurity Working Group (1600 GMT).

Rome, "Space and underwater conference" (0800 GMT); expected attendees include Leonardo LDOF.MI CEO Roberto Cingolani, Fincantieri FCT.MI CEO Pierroberto Folgiero, Civil Protection and Sea Minister Nello Musumeci, Industry Minister Adolfo Urso, Cabinet Undersecretary Alessio Butti, Italian Space Agency (ASI) Director General Luca Salamone, Energy and Sustainable Economic Development (ENEA) Director General Giorgio Graditi.

Milan, 6th edition 'GeoEconomy talk' on "Innovative companies and growth strategies" (0815 GMT); expected attendees include ECB board member Piero Cipollone (via recorded message), Deutsche Bank DBKGn.DE Italian CCO Roberto Parazzini, Banco Desio DESI.MI CEO Alessandro Decio, Electrolux ELUXb.ST Italian CEO Manuela Soffientini, Terna TRN.MI CFO Francesco Beccali, Credito Emiliano EMBI.MI director General Angelo Campani, Mastercard MA.N Italian Country Manager Luca Corti.

Milan, Morningstar DBRS presents "2025 Credit Outlook Milan" (0745 GMT).

((Milan newsroom, e-mail: reutersitaly@thomsonreuters.com))

For Italian market data and news, click on codes in brackets:

20 biggest gainers (in percentage).............PG.MI

20 biggest losers (in percentage)..............PL.MI

FTSE IT allshare index .FTITLMS

FTSE Mib index........ .FTMIB

FTSE Allstars index... .FTSTAR

FTSE Mid Cap index.... .FTITMC

Block trades.......... .BLK.MI

Stories on Italy...... IT-LEN

For pan-European market data and news, click on codes in brackets:

European Equities speed guide...................EUR/EQUITY

FTSEurofirst 300 index...............................FTEU3

DJ STOXX index.......................................STOXX

Top 10 STOXX sectors............................PGL.STOXXS

Top 10 EUROSTOXX sectors.......................PGL.STOXXES

Top 10 Eurofirst 300 sectors....................PGL.FTEU3S

Top 25 European pct gainers........................PG.PEUR

Top 25 European pct losers.........................PL.PEUR

Main stock markets:

Dow Jones................DJI Wall Street report ......N

Nikkei 225..............N225 Tokyo report.............T

FTSE 100................FTSE London report............L

Xetra DAX..............GDAXI Frankfurt market stories.F

CAC-40..................FCHI Paris market stories....PA

World Indices.....................................0#.INDEX

Reuters survey of world bourse outlook.........EQUITYPOLL1

Western European IPO diary..........................WEUIPO

European Asset Allocation........................EUR/ASSET

Reuters News at a Glance: Equities...............TOP/EQE

Main currency report:...............................FRX/