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Japan Airlines posts $1 billion loss
Posted By admin On August 7, 2009 @ 2:23 pm In Aerospace & Defence, Business, Finance, Travel & Tourism, World | No Comments
Japan Airlines has experienced a significant loss in its first quarter results.
Asia’s largest airliner, Japan Airlines (JAL), has reported a significant loss in the three months to May after experiencing a drop in ticket sales.
The ¥99 billion (£618 million) loss is a huge increase on the ¥3.4bn loss the airline made a year earlier - having experienced a 32% drop in sales to ¥334.9bn over the same period.
The news of the first quarter results comes as the Japanese government begins preparations to provide an emergency loan to JAL.
JAL could receive up to ¥100bn in state aid to buoy the ailing company. The airliner asked to borrow up to ¥200bn earlier in the year.
In the announcement, JAL has blamed the disappointing results on the swine flu pandemic and economic downturn, stating “operating conditions compared to a year before are starkly harsher.”
Despite the huge loss, JAL remains tentatively optimistic for the future as the pandemic recedes and the Japanese Yen gains appreciation.
The airliner maintains its forecast of ¥63bn net loss for the financial year to March 2010.
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