American Airlines JAL Bid USD1, 4 M
Company Info October 13th, 2009
Airlines of the United States (U.S.) American Airlines yesterday raised bid higher than competitors Delta Airlines to buy shares in Japan Airlines (JAL) is teetering on the verge of bankruptcy.
In a press conference in Tokyo yesterday, American Airlines and its partners make investment in Asia’s largest airline into a USD1, 4 billion, from the previous bid $ 1, 1 miliar.Amerika Airlines to join oneworld alliance with private equity firms trying to persuade tpg JAL also has accepted $ 1 billion aid package from the Delta, the largest airline in the world.
American Airlines and Delta are competing for shares of JAL for the potential increase in market share in Asia to be profitable in the future. “This proposal shows that oneworld has a remarkable commitment to JAL,” said Executive Vice President of American Airlines Thomas Horton.
He added that his company bids will bring stability and certainty to JAL on the most needed time like now, where the financial conditions facing turbulence. JAL shares in early trading yesterday shrunk nearly 45%, followed by investor worries about the future of the company that is expected to take shelter under the bankruptcy laws January 19 next. JAL is losing around $ 1, 5 billion for six months until September 2009, is now looking for the bailout to the government for the fourth time since 2001.
Meanwhile, Japanese Finance Minister Naoto Kan said yesterday the government will support the rescue if diperlukan.Demikian JAL also with the shareholders, Kan said, they are fully responsible for the current position of JAL. “The government has expressed readiness to support, including five ministers of related, but I think it was not enough.
If we need further support we will take action immediately, “Kan said in Tokyo yesterday. The Japanese government is now under pressure if it helps airlines Sakura itu.Namun State pride, there is no other choice because of JAL’s swollen debt up to USD16 billion.
JAL himself yesterday stated that the company has reached an agreement on pension cuts by two-thirds of employees who have retired in order to reduce the burden of the estimated perusahaan.Kesepakatan reduce pengeluaransekitar331miliaryen ($ 3, 6 billion) until March this year.
