Jal near Bankrupt

http://www.guardian.co.uk/world/2010/jan/19/japan-airlines-bankrupty-reports

Japan Airlines (JAL) was today reported to be hours away from bankruptcy the first step in an attempt to free itself from the huge debts and poor management that have come to define a once-revered Japanese corporate symbol.

As the Japanese transport minister, Seiji Maehara, prepared to put the airline in the hands of a state-backed turnaround body, it suffered the indignity of seeing shares reach a record low of four yen (26 pence).

JAL, which has received three government bailouts in the past decade, has seen the value of its shares fall by 90% since the beginning of the month.

With a market value of $150m (£91m) less than the price of a Boeing 747 jet the airline is now trailing the likes of Croatia Airlines and Jazeera Airways.

JAL shares could soon be worth nothing if, as expected, they are de-listed from the Tokyo stock exchange.

Despite filing for what would be Japan's sixth-biggest ever bankruptcy, the airline is expected to stay in business while it attempts to rid itself of debts of $16bn and repair its battered reputation.