| NEWS ARCHIVES |
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| JAL share price plummets by daily maximum limit for second straight day |
| 13 Jan 2010 |
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Shares of Japan Airlines (JAL) plunged by the daily trading limit for a second day today on concerns it will file for bankruptcy.
The carrier fell 81 percent to 7 yen on the Tokyo Stock Exchange, after dropping 45 percent to 37 yen yesterday.
The Tokyo Stock Exchange has a daily limit of 30 yen.
Investors are fleeing the market as Japanese Transport Minister Seiji Maehara says the government has largely reached agreement with JAL’s lenders.
That paves the way for JAL’s bankruptcy filing, which, if confirmed, would be the nation’s sixth largest bankruptcy.
Separately, the carrier says it had won approval from retirees to cut pensions, helping to reduce costs.
A bankruptcy may allow JAL to shed debts, staff and unprofitable operations after posting a 1.4 billion US dollar first-half loss. |