NTDTV
Possible Funding for Troubled Japan Airlines

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Japan Airlines found itself at the center of international traffic Thursday, with American Airlines and Delta separately in Tokyo to court the troubled carrier with aid and investment offers.
Asia’s largest airline by revenue, which suspended some repayments on $15 billion in debt, has seen share plummet since Japan’s transport minister and even its CEO said bankruptcy may be an option.
Oneworld alliance partner American, though, said it’s ready to invest $1.1 billion with other partners and a private fund, as well as offer other financial benefits to keep JAL on-board.
[Tom Horton, CEO, American Airlines]:
“American, Oneworld and TPG are prepared to invest up to $1.1 billion US dollars, or roughly 100 billion yen in JAL, to bolster its financial foundation, for the near and long term.”
“American, Oneworld and TPG are prepared to invest up to $1.1 billion US dollars, or roughly 100 billion yen in JAL, to bolster its financial foundation, for the near and long term.”
Meanwhile, Delta President Edward Bastian says the airline and its SkyTeam partners could invest over $1 billion in the troubled flag-carrier, if it switches air alliances.
Bastian, also in Tokyo, said the carrier could exceed that level of financial support for JAL by teaming up with a third-party investor.
[Edward Bastian, President, Delta Airlines]:
“Delta is the largest carrier in North America, Air France-KLM is the largest in Europe, JAL is the largest across the Pacific, and we think is only natural that the largest carriers in each region be aligned to provide many new options and many new points of service.”
“Delta is the largest carrier in North America, Air France-KLM is the largest in Europe, JAL is the largest across the Pacific, and we think is only natural that the largest carriers in each region be aligned to provide many new options and many new points of service.”
The escalating bidding war for JAL’s attention helped its shares Thursday, which hit a record low last week.

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