Japan Airlines Corp.'s flight to profitability is running out of both time and fuel, and the passengers are catching on.
Despite posting a profit in the first half of fiscal 2006 -- mainly a one-time gain from the sale of Tokyu Corp. and East Japan Railway Co. shares -- industry watchers say the nation's largest carrier must realize it's in a crisis and do more to improve long-term profitability.
"This fiscal year will be the last chance for JAL to revitalize its business on its own," aviation analyst Kazuki Sugiura said. "JAL has to earn profits from its regular business activities, not from selling its assets."