JAPAN: Still some turbulence in JapanÃ¢â‚¬™s air cargo sector
A mixture of asset write-downs, restructuring, consolidation and recovery is on the cards for the Japanese airfreight sector, according to a new report from Business Monitor International (BMI). The bankrupt Japan Airlines (JAL), AsiaÃ¢â‚¬™s largest air carrier, was expected to have registered an operating loss of nearly US$1.7 billion in the fiscal year ended 31 […]
September 1, 2010
After 2009Ã¢â‚¬™s very steep falls in volumes, the Japanese airfreight sector is now enjoying a recovery, according to BMI, which is forecasting cargo volumes to grow by 2.5 per cent in 2010, a small improvement after 2009Ã¢â‚¬™s 10.9 per cent slump, but Ã¢â‚¬Å“nevertheless a move in the right directionÃ¢â‚¬Â, according to the report. Air freight carried (RTKs) will rise a little more strongly, up by 4.8 per cent.
JAL and two subsidiaries appealed for bankruptcy protection in January 2010, with a combined debt of US$25 billion and a government-ordered restructuring is currently underway. Meanwhile, JAL reported a 12.7 per cent year-on-year (y-o-y) increase in international cargo volume to 49,454 tonnes in April, compared with an increase of 32.9 per cent y-o-y in March 2010. In the same period, JALÃ¢â‚¬™s domestic cargo volume rose by 4.3 per cent y-o-y to 38,050 tonnes, compared with 9.6 per cent y-o-y in March 2010.