Monday, 24th August 2009
In Business In Japan,
Japan Airlines eyes potential merger
Asian airline Japan Airlines has announced plans which could see it merge its cargo arm with the same division of a rival firm.
Under the scheme, Japan Airlines' freight business will team up with that of Nippon Cargo Airlines, after Japan Airlines saw its profits fall sharply in the three months up until June.
If the move goes ahead, the team-up would have control of 30 per cent of Japan's international air cargo market, which would make it the biggest provider of cargo movement in the country.
The join-up is set to be fully completed by April 2010.
"Following the collapse of the economy in the United States last autumn, the financial crisis that spread worldwide caused demand for air cargo transport to fall drastically and market situations to worsen," Japan Airlines said in a statement.
Both airlines have already begun to share codes for some cargo flights, it has been noted.
Written by Kimberley Homer.
Related news stories:
Japan Airlines gets bid from consortium (18th September 2009)
Japan Airlines announces US airline deal (13th January 2011)
Japan Airlines 'to take American offer' (9th February 2010)
New management take over Japan Airlines (3rd February 2010)
US carrier makes new offer to Japan Airlines (3rd December 2009)