Japan Airlines Corp. is planning to offer an outline of its rehabilitation plan, including route and job cuts, when President Masaru Onishi holds a news conference Wednesday, sources said.
But JAL, which filed for protection from creditors in January, may delay submitting its turnaround plan to the Tokyo District Court by around two months from its initial target in late June, the sources said Tuesday.
The country’s largest airline is facing fierce opposition from local governments to drastic route cuts, while its creditor banks have pressed the company for further restructuring efforts.
According to the sources, the key pillars of the rehabilitation plan will likely include an elimination of around 50 international and domestic routes and a reduction of around 16,000 group employees by the end of next March.
The carrier will aim to return to an operating profit in fiscal 2010 by also replacing aging aircraft.
In a time of both misinformation and too much information, quality journalism is more crucial than ever.
By subscribing, you can help us get the story right.