by Staff Writers
Hong Kong (AFP) July 17, 2012
Japan Airlines said Tuesday the country's booming budget carrier market would not pose a "tremendous" threat to the flag carrier, which went bust in one of the nation's biggest-ever bankruptcies.
JAL, which went bankrupt in January 2010 with debts totalling 2.32 trillion yen ($29 billion), exited bankruptcy protection last year and has logged an annual net profit of about $2.3 billion in the fiscal year to March 2012.
Its president Yoshiharu Ueki said its revitalisation plan was not threatened by the flourishing low-cost carrier (LCC) scene in Japan, where a third budget airline is due to start flying next month.
"We don't expect a tremendous impact from the emergence of these LCC," Ueki told reporters in hong Kong, adding that budget airlines had yet to make a "very large" impact on JAL'S revenue.
"The LCC represents a new mode of transportation and as a result they have created a new demand -- demand (that did) not exist in the past and demand that we had not expected.
"We are not taking a complacent attitude and we are watching the movement of the LCC market carefully," said Ueki, a former pilot and the son of Japan's traditional kabuki drama actor Kataoka Chiezo.
Japan's major airlines were behind global players in terms of entry into the low-cost sector, but JAL's main rival All Nippon Airways (ANA) last year set up budget airline Peach Aviation with a Hong Kong investment fund.
It was followed by JAL's tie-up with Australia's Qantas which launched Jetstar Japan earlier this month, while AirAsia Japan -- a joint venture between ANA and Malaysia's AirAsia -- will start flying next month.
The launch of these budget airlines was part of a bid to open up a market that has traditionally suffered from high prices because of the dominance of JAL and ANA, Japan's two major carriers.
Japanese media have reported that JAL, which was de-listed due to the bankruptcy, has formally applied to re-list its shares on Tokyo's main bourse by September. Ueki declined to comment on the progress of the plan Tuesday.
Aerospace News at SpaceMart.com
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Boeing Commends ICAO Progress on Developing a Global Aviation Carbon Standard
Seattle WA (SPX) Jul 16, 2012
Boeing has commended the agreement reached by the International Civil Aviation Organization's (ICAO) Committee on Aviation Environmental Protection on the metric system which will support the carbon dioxide (CO2) standard being developed for aircraft. Teams from ICAO's member states, the aerospace industry and non-governmental organizations have worked extensively on the development of the CO2 s ... read more
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