UPDATE 1-JAL may post 90 bln yen H1 operating loss - Nikkei

Tue Nov 10, 2009 6:14pm GMT
 
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Nov 11 (Reuters) - Japan Airlines Corp (9205.T) likely posted an operating loss of more than 90 billion yen ($1 billion) in the first half ended Sept. 30, hurt by a decline in passengers and per-customer sales, the Nikkei reported Tuesday.

The company likely reported a net loss of about 130 billion to 140 billion yen in the April-September half, the business daily said without quoting sources.

Falling per-customer sales on the back of declining business travel appears to have hurt Asia's largest airline by revenue in the first half, it said.

In the July-September quarter, passengers on domestic flights fell 7 percent on the year to slightly more than 10 million, while those on international flights dipped 3 percent to about 3 million, the Nikkei said.

In October, Japan Airlines had said it would apply for assistance from Enterprise Turnaround Initiative Corp -- a state-backed corporate turnaround body -- setting the stage for a large injection of public funds into the troubled airline. [ID:nT349661]

On Tuesday, Japan's government said it was considering legislation to cut the pensions of Japan Airlines retirees and would use loans from a state bank to keep the airline afloat while it seeks its fourth bailout since 2001. [ID:nT287070]

($1=89.85 Yen) (Reporting by Mansi Dutta in Bangalore; Editing by Unnikrishnan Nair)

 

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