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SEPTEMBER 2014

Regional Round-Up

Government to review JAL bailout

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September 1st 2014

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A new Japanese government panel will review the turnaround support package provided to Japan Airlines (JAL), by the former Democratic Party of Japan government, in 2013, with some members of the ruling Liberal Democratic government arguing the rescue package distorted airline competition. Read More » The Panel of Competition and Public Assistance for Corporate Rehabilitation was convened in August and will commence its review this month. The review, said Orient Aviation’s North Asia correspondent, Geoff Tudor, is another example of the government’s shift away from JAL.

Within days of setting up the bailout panel, it was announced All Nippon Airways had replaced JAL as the maintenance provider for the government’s VIP B747-400 fleet that provides transport for the Imperial family and government ministers. The two aircraft fleet will soon be replaced by B777-300ERs. Both JAL and ANA have ordered the type, but ANA have ordered more, a factor many believe could have influenced the decision.

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