JAL plans to raise share of revenues from int'l routes to 47%+

TOKYO, July 9 Kyodo -
Struggling Japan Airlines Corp. will aim to raise the share of air transport
revenues from its international flight services to 47 percent in fiscal 2012
through March 2013 from 42 percent in fiscal 2009 under its reconstruction
program, sources familiar with the matter said Friday.
To that end, JAL intends to boost the average fare per international flight
passenger as well as the passenger load factor for international flights, the
sources said.
JAL will try to attract more business customers, who generally use
higher-yielding class seats, to increase the average fare per passenger from
about 39,000 yen in fiscal 2009 to around 46,000 yen in fiscal 2010 and about
51,000 yen in fiscal 2011, they said.
As for the passenger load factor, JAL plans to increase it from 69 percent in
fiscal 2009 to about 76 percent in fiscal 2011, following JAL's elimination of
deficit-ridden flights on 15 international routes between September and October
this year.
JAL will incorporate the plan into its reconstruction program that will be
submitted by the end of August to the Tokyo District Court as part of efforts
to rebuild following its filing for bankruptcy protection in January.
The plan is expected to allow JAL to raise the share of air transport revenues
from international flights to 44 percent in fiscal 2010 and 46 percent in
fiscal 2011, according to the sources.
But a banking industry source doubted the feasibility of the plan as
international air services are vulnerable to economic deterioration.
The 2008 global financial crisis has hurt the business performance of JAL's
international services, leading the airline to see its overall earnings
deteriorate.
A senior JAL official said, however, that the company's plan is based on a
conservative projection of the world economy and air traffic demand.
==Kyodo
2010-07-10 00:37:17


Delete & Prev | Delete & Next