Japan Airlines May Seek Government Funds

February 5, 2009

Japan Airlines may seek tens of billions of yen in public funds aimed at bolstering companies hurt by the economic crisis, the Asahi newspaper said on Thursday.

The restructuring airline is hurting as the slowdown hits passengers' travel budgets, and it is expected to cut its outlook for an annual recurring profit of JPY5 billion yen (USD$55.93 million), the paper said without citing sources.

Japan's cabinet approved a bill on Tuesday aimed at supporting struggling firms outside the financial sector. The government aims to pass the bill in the current parliament session and could begin accepting applications in the spring.

A JAL spokesman declined comment on the report.