| All major international airlines are feeling the pinch | | | | government will not let the company go into |
| with premium business bookings well down as | | | | bankruptcy. |
| outlined in my article Major Airlines Between a Rock | | | | The government is however, understandably |
| and a hard place. | | | | becoming frustrated by this ongoing saga and it is |
| One airline that has severe problems is the Japanese | | | | being muted that a more root and branch approach |
| airline JAL. With the newly elected government far | | | | will need to be adopted by splitting the company into |
| from satisfied the proposed measures to put this | | | | the good and the bad. |
| business back on track are inappropriate and fall well | | | | This is very much the line taken with the banks by |
| short of what is required. Given for quarter 2 of this | | | | placing the toxic debts to one side so that the banks |
| year JAL was the worst performing airline in the | | | | could be put back on a proper financial footing to |
| world and losses on this scale need to be addressed | | | | continue operating. |
| sooner than later. | | | | Basically profitable routes will be placed in the good |
| In 2008 this airline recorded the 5th highest turnover | | | | company along with the newer planes and the |
| so we are talking about a major player on a global | | | | company operated with its own capital base. The |
| scale. Bearing in mind the Japanese government has | | | | uneconomic routes and aging planes would then be |
| already had to bail this company out on three | | | | housed in a separate company and scaled down in |
| previous occasions sine 2000 a further bail out seems | | | | due course. |
| inevitable, as the general consensus is the | | | | |