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Jan 19, 2010

Embraer, Mitsubishi may get boost from JAL woes

TOKYO, Jan 19 (Reuters) – Brazil’s Embraer <EMBR3.SA> and
Mitsubishi Heavy <7011.T> could see an uptick in business from
Japan Airlines Corp <9205.T> as the bankrupt carrier rejigs its
fleet towards smaller and more fuel-efficient aircraft.

JAL, which filed for bankruptcy protection on Tuesday as
part of a state-led restructuring [ID:nSGE60I079], plans to
retire all of its 37 Boeing <BA.N> 747-400 jumbo jets and all 16
McDonnell Douglas MD-90 planes and buy smaller aircraft to take
their place.

Jan 18, 2010

What will happen to JAL’s alliance talks?

TOKYO, Jan 19 (Reuters) – While Japan Airlines <9205.T>
heads toward bankruptcy, American Airlines <AMR.N> and Delta Air
Lines <DAL.N> are both courting the carrier with offers of
financial aid, aiming to gain routes in fast-growing Asian
markets and a stronger foothold in Japan.

All Nippon Airways Co <9202.T>, Japan’s second biggest
airline, competes with JAL on 30 of its 40 international routes,
and may also be interested in taking some of JAL’s overseas
business.

Jan 15, 2010

JAL draws on emergency funds as bankruptcy looms

TOKYO, Jan 15 (Reuters) – Japan Airlines <9205.T> moved a
step closer to bankruptcy on Friday by drawing down $1.6 billion
in emergency funding and with the government setting Tuesday as
the day to officially start a state-led restructuring.

JAL, Asia’s largest airline by revenues but with a market
value now lower than that of budget carrier Skymark Airlines
<9204.T>, will file for bankruptcy protection as early as
Tuesday, sources have told Reuters, as part of a restructuring
being crafted by a state-backed turnaround fund. [ID:nTOE60D089]

Jan 15, 2010

As JAL bumps, is the sky the limit for rival ANA?

TOKYO, Jan 15 (Reuters) – Shares of All Nippon Airways Co
<9202.T> are near 6-month highs as investors bet that Japan’s
No.2 airline will gain from the expected bankruptcy and
restructuring of bigger rival Japan Airlines Corp <9205.T>.

Debt-heavy JAL faces a drastic shake-up likely to include
the cutting of about 15,000 jobs and two dozen unprofitable
routes, a source has told Reuters. [ID:nTOE60A04W]

Jan 13, 2010

Japan Airlines gets new CEO as bankruptcy looms

TOKYO, Jan 13 (Reuters) – Kazuo Inamori, the founder of
electronics maker Kyocera Corp <6971.T>, agreed on Wednesday to
become the new chief executive of Japan Airlines <9205.T>, as
the carrier’s shares plunged ahead of its expected bankruptcy.

JAL is likely to file for bankruptcy as early as next week
as part of a broader restructuring aimed at reducing debts,
slashing about 13,000 jobs and cutting up two dozen
unprofitable routes, sources have told Reuters. [ID:nTOE60A04W]

Jan 13, 2010

American Airlines sweetens offer as JAL shares plunge

TOKYO (Reuters) – American Airlines <AMR.N> and its partners in the Oneworld alliance sweetened their offer to Japan Airlines <9205.T> to $1.4 billion to keep the struggling national carrier from joining hands with rival Delta Air Lines <DAL.N>.

The announcement came as JAL shares plunged 45 percent to a record low, wiping out nearly $900 million in market value, on growing expectations the airline is headed for bankruptcy and a delisting from the Tokyo exchange.

Jan 12, 2010

American sweetens support offer as JAL shares plunge

TOKYO, Jan 12 (Reuters) – American Airlines <AMR.N> and its
partners in the Oneworld alliance sweetened their offer to
Japan Airlines <9205.T> to $1.4 billion to keep the struggling
national carrier from joining hands with rival Delta Air Lines
<DAL.N>.

The announcement came as JAL shares plunged 45 percent to a
record low, wiping out nearly $900 million in market value, on
growing expectations the airline is headed for bankruptcy and a
delisting from the Tokyo exchange. [ID:nTOE60A04W]

Jan 7, 2010

Japan’s new finance minister endorses JAL bailout

TOKYO (Reuters) – Japan’s new finance minister, Naoto Kan, said he expected a state-backed fund to support Japan Airlines <9205.T>, fuelling growing expectations that Asia’s largest carrier by revenue will be bailed out with public money.

The airline, weighed down by $16 billion of debt and mired in losses, has applied for financial aid from a turnaround fund established to recapitalize ailing companies with state-guaranteed funding and help them restructure.

Dec 3, 2009

American, TPG offer $1.1 billion to JAL to block Delta

TOKYO (Reuters) – American Airlines said it and other members of the Oneworld airline alliance along with private equity fund TPG are willing to invest $1.1 billion in Japan Airlines to prevent it defecting to Delta Air Lines and the rival Skyteam group.

Debt-laden JAL faces the risk of bankruptcy unless it undergoes a major restructuring to cut costs and is seeking a capital injection from a state-backed fund on top of any money from American Airlines or Delta.

Nov 13, 2009

JAL falls to Q2 loss, more turbulence ahead

TOKYO, Nov 13 (Reuters) – Japan Airlines <9205.T>, which is
seeking a state bailout, sank into the red last quarter amid
sluggish travel demand, and applied on Friday for mediated debt
restructuring in a bid to muddle through financial turbulence.

Saddled with $15 billion in debt, a massive pension deficit
and dozens of unprofitable routes, JAL is seeking its fourth
state bailout since 2001.

    • About Mariko

      "From Tokyo, Mariko covers daily news and deals involving Japanese real estate companies and airlines."
      Joined Reuters:
      2004
      Languages:
      Japanese and English
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