Japan Airlines 300 billion yen borrowing consideration Business deterioration due to new corona April 25 14:33

Japan Airlines, a major aviation company, is borrowing 300 billion yen from multiple banks, including loan facilities, in order to secure funds in hand amid the rapid deterioration of the business environment due to the spread of the new coronavirus. I understand that you are considering.

Due to the spread of infection, Japan Airlines has seen a dramatic decrease in passenger numbers, and currently 90% of international flights and 60% of domestic flights are suspended or reduced in frequency.

While the business environment is rapidly deteriorating, according to the people involved, the company is considering borrowing a total of 300 billion yen, including the establishment of loan facilities from several banks, mainly Mitsubishi UFJ Bank and Mizuho Bank It means that

Even if many routes are out of service, a large amount of money will be incurred each month such as personnel expenses and maintenance of aircraft, so it is a good idea to secure funds in advance.

Apart from this, JAL is also considering using the special credit line called "crisis response loan" to raise funds through the Development Bank of Japan.

At major domestic aviation companies, ANA Holdings is also considering financing by utilizing loans from private financial institutions and crisis response loans.