Japan Airlines further downgraded by Standard and Poor's as debt waiver becomes more likely

Japan Airlines was further downgraded by Standard and Poor's from already speculative grades, following a previous downgrade less than three weeks ago (AFP/Kyodo, 04-Nov-2009). S&P lowered the long-term corporate credit ratings on JAL and Japan Airlines International by two levels from 'B-minus' to 'CCC' and maintained its credit watch with a negative outlook. The downgrade "is based on the recognition it is becoming more likely that JAL will opt for a debt waiver by its creditors or for a debt equity swap in its restructuring plan" under the supervision of a quasi-public body.