JAL to raise ¥500 bil to secure financial base
20 June, 2020
Japan Airlines Co said Friday it expectations to improve 500 billion yen from lenders to secure its financial position as it navigates a severe downturn popular for travel due to the coronavirus pandemic.
"We want to secure 500 billion yen," JAL President Yuji Akasaka told a general shareholders' conference, adding that the airline has recently borrowed 200 billion yen from finance institutions.
The carrier posted an organization net lack of 22.9 billion yen for the January-March period, its first quarterly loss since it relisted in 2012 after its bankruptcy filing this year 2010.
Like different airlines, JAL has considerably reduced domestic and international flights because of the pandemic. It expects to see a recovery in passenger numbers on domestic flights beginning this month.
On Friday, japan government lifted its final restrictions on inter-prefecture travelling, saying it believes the spread of the virus is now in check.
JAL has said it'll continue its more than 90 percent decrease in outbound international flights.
"We will change our business structure reliant on business-related demand into the one which can enhance profitability consistent with tourism demand," Akasaka told shareholders.
Source: japantoday.com
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