Tue, Sep 15, 2009
Asia's Largest Airline Lost $1 Billion Last Quarter
American and Delta Airlines are
both eyeing an investment in Japan Air Lines, Asia's largest
carrier in terms of revenue. The airline, which lost
approximately $1 billion in the 2nd quarter of 2009, hopes to
secure a government-backed 100 billion yen credit line. That is
putting pressure on the airline to raise cash and cut costs.
American and JAL are both members of the Oneworld air alliance,
and Reuters reports that AA is looking to increase ties with the
troubled carrier, as well as block any move to a rival network. AA
is reportedly in talks to invest in JAL, as well as forming a
joint venture with the airline.
Delta, meantime, is a member of the SkyTeam group along with Air
France-KLM, Korean Air and Russia's Aeroflot. Delta is also
exploring an investment in JAL, which, if successful, could shut
American out of the Japanese market, according to Yoshihisa
Miyamoto, and analyst with Okasan Securities. The second-largest
Asian carrier, All Nippon Airways, is already a member of The Star
Alliance. "Considering how desperate American is, it's likely that
they'll offer more than what Delta has been reported as ready to
spend," Miyamoto told Reuters.
The Japanese media has been reporting that Delta was considering
a 50 billion yen infusion of cash into JAL, but is asking for an
exclusive code-sharing arrangement.
All the negotiations are taking place before a backdrop of "Open
Skies" negotiations between the U.S. and Japan, which would open
the door to more cooperation on flight scheduling and profit
sharing.
More News
Chaff Thin, narrow metallic reflectors of various lengths and frequency responses, used to reflect radar energy. These reflectors, when dropped from aircraft and allowed to drift d>[...]
“Today, XB-1 took flight in the same hallowed airspace where the Bell X-1 first broke the sound barrier in 1947. I’ve been looking forward to this flight since founding>[...]
“Teaming up with the EAA and Berlin Express for this event in Cincinnati will give warbird fans a unique opportunity to see the aircraft that helped defend freedom and gave t>[...]
Hazardous Weather Information Summary of significant meteorological information (SIGMET/WS), convective significant meteorological information (convective SIGMET/WST), urgent pilot>[...]
Aero Linx: The Nebraska Aeronautics Commission The Nebraska Aeronautics Commission was created by the 1935 Legislature to oversee the development of aviation in the state. The Comm>[...]