Japan Airlines to slash USD5bn in costs; shed 16,000 workers
Japan Airlines (JAL) announced it is accelerating up to USD240 million in cost-reduction efforts, as part of new restructuring efforts (Yomiuri Shimbun, 25-Jul-2010). JAL aims to reduce costs by approximately USD5 billion over the next five years, cutting 16,000 positions and shedding a large number of subsidiaries. Profitability is projected for FY2014, with a target of USD1.5 billion. The carrier is seeking approval from creditors and courts for its restructuring plans, under Japanese Corporate Rehabilitation Law (Mainichi Japan, 24-Jul-2010).