It now appears that the beleaguered Asian airline Japan Airlines has asked the Japanese government for some funding in a battle for survival. The request for a government bailout comes at a time when many airlines are having a hard time fighting off the effects of the economy.
The bailout request was made by the president of Japan Airlines, Haruka Nishimatsu, at a meeting with the Japan transport minister. This request, of course, will be followed by a radical restructuring of the company. In fact, Japan Airlines has just recently announced 6,800 more job cuts.
The president of Japan Airlines went on to say that, ultimately, the airline thinks that if they can get more funds, they will be able to reduce their debt to the public. As of right now, due to the bad financial problems of Japan Airlines, the carrier’s shares have actually sunk by 18 percent. This happens to be a record low for the company and has brought on fears that the airline could actually be broken up.
However, there have been a number of media speculations that note that many airlines, including many from Europe and America, are ready to buy stakes in Japan Airlines. Some of the airlines that may be buying stakes in the carrier include British Airways, American Airlines, Delta Air Lines, and Air France.
Of course, many other airlines are currently having their own problems, and it is unsure how much support they can offer to Japan Airlines. For example, British Airways has offered a lot of support, but none in the form of cash funds.