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Japan Airlines to be listed again on Tokyo Stock Exchange after government bailout
TOKYO (AP) ¯¯¯ Japan Airlines, which was bailed out by the government in 2010 and removed from the Tokyo stock market, is going to be listed again next month, likely allowing all public funds to be recouped.
JAL, which competes against All Nippon Airways in Japan, filed for one of the country's biggest-ever bankruptcies in January 2010, saddled with debt, unprofitable routes and a bloated workforce. It received a 350 billion yen government-orchestrated bailout.
The Enterprise Turnaround Initiative Corp. of Japan, the body overseeing JAL's bailout, said Friday it will sell the 175 million shares it owns in JAL as part of the listing that is slated for Sept. 19. The value of that share sale is estimated at more than 600 billion yen ($7.6 billion), according to Kyodo News service.
JAL has been aiming for a comeback by trimming routes, slashing jobs and entering the low-cost carrier business, which is still relatively new for Japan because of a protected airline industry. It has returned to profitability recently.
JAL in the past had been battered by safety lapses and ballooning pension obligations.