Looks like you're running low on troops. What's your manpower reserve and what is currently being produced? Any relocation of Italian air units to Iberica yet? Where's the Portugese / Spanish fleet? I expected them to scramble when being attacked.
Manpower is not an issue, just the number of divisions available. I have raised 4 four division infantry corps, 4 four division Alpini corps, 1 four division armor corps, and the ever expanding marine corps, which at this point I believe was 6 divisions destined for 8 divisions. Those are my "offensive" units ready for combat operations. That means I still have two marine divisions in the production cue, as well as a large number of maniple mini-divisions (1INF+1ART). As these little divisions are created, they are being stationed around the empire as garrisons / partisan fighters. They are also being used to back fill the defenses on the french border. I also have a couple carriers in production which would have been very useful to provide my guys air cover in southern Spain prior to the occupation of Seville. But those ships have not been launched yet. (I have a picture of the entire cue two posts below.)
As far as air power is concerned, I have only moved the interceptors over to Spain. Logistics are such a pain that I didn't want the supply drain caused by the bombers, but I needed the air cover. Two wings were based in Barcelona since early in the invasion, and they have really only been providing cover. As set forth in the last chapter, three wings were sent to Seville, again only for air cover. I just want the skies clear so my infantry can do its work!
Sea power is proving very frustrating to me (and Benito). We have divided the Regia Marina into a number smaller fleets with 0% positioning penalty. The two main fleets consist of 2xBB, 1xCA, 2xCL, 1xDD. There are two more fleets based around cruisers. The transportation flotilla is guarded by 2xCA and a few destroyers, but they usually perform their missions on "defensive" and are led by a blockade runner.
With these precautions, my fleets have dominated the seas around Iberia, have never lost a sea battle, but have suffered greater casualties. It is very frustrating to see a pop up saying that you have won an engagement only to see that the Spaniards lost "none". It makes me positively batty to see a pop up saying we won, they lost none, but we lost a DD or something. Here are the ships sunk by Italy:
As you can see, in spite of 0% positioning penalty, the Italian gunners are prone to friendly fire incidents, sinking three of our own DD's. Here are the ships sunk by the Spanish fleet:
They sank 3xDD and 2xCL. The only consolation that can be taken from this butcher's bill is that Spain only sank Italian screens, and that is their job (to get sunk). The only capital ships sunk by either side were the two CA's sunk by RM Caio Duilio. The Portuguese have not sunk any ships, and we sank just one of their transports: