Japan Airlines (JAL) is expected to meet with Transport Minister, Seiji Maehara, today, to discuss options available for the struggling carrier (Wall Street Journal, 24-Sep-2009). Options being considering include separating JAL’s profitable and unprofitable operations, separating its freight operations and continuing to reorganise its non-flying operations, which currently accounts for almost 30% of JAL’s revenues.
Separately, Mr Maehara has stated he plans to “go back to the drawing board” on the current approach to the carrier’s rescue plan (Asahi Shimbun, 22-Sep-2009). Mr Maehara has, however, ruled out the option of allowing the airline to become bankrupt, saying such a scenario "must never happen."
American Airlines confirmed it is in talks with JAL regarding options ranging from a joint business relationship to “possible capital or financing arrangements,” according to a US Regulatory Filing (Bloomberg, 23-Sep-2009). Delta Air Lines is also in discussions with the Tokyo-based airline. Both airlines are currently engaging in cash-boosting/debt refinancing measures.