June 23: Japan Air Lines, part of the JAL Group, is experiencing difficult trading conditions due to the worldwide recession. It recently announced a series of cost-cutting measures including restructuring of the network with 36 routes axed, a reduction in the aircraft fleet by nine, reduction of staff bonuses and reducing the number of employees through early retirement.
Added to this, ATW Daily News reports that the Japanese Government may provide a loan of approximately ¥100 billion ($1.04 billion) with 80% guaranteed and the balance provided by three private sector banks, but this is dependent upon JAL implementing further cost-reduction measures.
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