American Airlines offers Japanese Airlines US$1.1 billion

CASH-strapped carrier Japan Airlines (JAL) is reviewing a proposal of a US$1.1 billion investment offer from American Airlines, the Oneworld alliance and the private equity group TPG while the Development Bank of Japan (DBJ) works at increasing its loan to the troubled Japanese flag carrier.

American Airlines proposal is competing against a Delta's offer, part of the SkyTeam alliance, to prevent JAL's bankruptcy and maintain its position in each alliance group, reports UK's International Freighting Weekly.

According to a Reuters report DBJ will double its existing loan to JPY200 billion (US$2.156 billion) since the carrier consumed JYP55 billion of its existing credit line.
 

Source: SchedNet