Japan Airlines says most creditors back rehabilitation plan

Struggling Japan Airlines (JAL) on Tuesday said it had won approval from the Tokyo district court for a rehabilitation plan that will see thousands of job cuts, route closures and a debt waiver."The court today formally approved the restructuring plan," said Hideo Seto, president of the Enterprise Turnaround Initiative Corp. (ETIC), which is charged with leading the restructuring process."With the approval of the plan, we have built the foundation to create a new Japan Airlines," he told a press conference.

The Japanese government agreed Sunday to double a state-funded credit line for troubled Japan Airlines to 200 billion yen (2.2 billion dollars), Jiji Press reported.The extra funding was agreed at a meeting of cabinet ministers including Transport Minister Seiji Maehara and Vice Prime Minister Naoto Kan, the news agency said.The state-run Development Bank of Japan had set a credit line of 100 billion yen for JAL in November and has already paid out just over half of the total to the carrier, Asia's largest.

The Japanese government agreed Sunday to double a state-funded credit line for troubled Japan Airlines to 200 billion yen (2.2 billion dollars), local news agencies reported.The extra funding was agreed at a meeting of cabinet ministers including Transport Minister Seiji Maehara and Vice Prime Minister Naoto Kan, Jiji Press said.JAL, battered by the global recession and swine flu pandemic, is scrambling to slash costs and is seeking its fourth government bailout since 2001 to keep flying in the face of mounting losses.

Japan Airlines is likely to get about 3.3 billion dollars of new public money from a state-backed body overseeing the rehabilitation of the struggling carrier, reports said Thursday.The Enterprise Turnaround Initiative Corp. of Japan (ETIC) is readying a 300 billion yen investment if the company goes through the courts and declares bankruptcy, Japanese newspapers the Asahi, Mainichi, Nikkei and others reported, without citing sources.

After a two-month delay, struggling Japan Airlines was to announce on Tuesday details of a rehabilitation plan that will see thousands of job cuts as well as route closures and debt waivers.In January the flagship carrier went under with 26 billion dollars of debt in one of Japan's biggest-ever corporate failures, but has continued flying while it goes through a painful state-led restructuring process.

After a two-month delay, struggling Japan Airlines was to announce on Tuesday details of a rehabilitation plan that will see thousands of job cuts as well as route closures and debt waivers.In January the flagship carrier went under with 26 billion dollars of debt in one of Japan's biggest-ever corporate failures, but has continued flying while it goes through a painful state-led restructuring process.

Share prices in Japan Airlines (JAL) took another dive on Friday following news reports that the government is finalising a bankruptcy option for the debt-ridden carrier.Asia's biggest carrier sank 10.53 percent to end the morning session at 68 yen on the Tokyo Stock Exchange.The Japanese government is now finalising a plan to have JAL file for bankruptcy with a guarantee of public support so that the airline can continue operations, Jiji Press and Kyodo News said.