[an error occurred while processing this directive]
BBC News
watch One-Minute World News
Last Updated: Monday, 15 January 2007, 10:52 GMT
Investors back JAL business plan
Japan Airlines Airbus A300
JAL is Asia's biggest airline in terms of revenue
Japan Airlines (JAL) shares have closed at a six-month high as investors predict fresh funding and job cuts will help the firm stage a recovery.

Shares closed 5.1% higher as JAL said it will ask banks for 60bn yen ($500m, 254m) by March to help pay its debts.

Investors were also lifted by media reports on the airline's mid-term business plan, which was said to include a 6% cut in the work force.

The airline has been hit by high fuel prices and high-profile safety alarms.

"We can't yet say the company's operations have fully recovered but its stock price will likely reflect investors' views that the worst is over," Okasan Securities analyst Yoshihisa Miyamoto told Reuters.

He said JAL still had to deal with sluggish demand from individual domestic travellers and reduce its debt.

JAL posted a loss of more than 47bn yen in the year to March 2006.

The airline, Asia's biggest airline by revenue but ranked sixth by market value, plans to announce its new business plan on 6 February.

Japan Airlines 'mulls job cuts'
10 Jan 07 |  Business
Japan Airlines holds strike talks
28 Sep 06 |  Business
Japan Airlines gets Chinese boost
07 Aug 06 |  Business
Japan Airlines hit by tough year
10 May 06 |  Business
Japan Airlines head to step down
01 Mar 06 |  Business

The BBC is not responsible for the content of external internet sites

Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit


Americas Africa Europe Middle East South Asia Asia Pacific