Once-Bankrupt Japan Airlines Raises $2.7 Billion as Buffer
- JAL secures 200 billion yen in loans, plans bond sale too
- Funds raised to also be used for Airbus A350-1000 aircraft
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Japan Airlines Co. plans to raise about 300 billion yen ($2.7 billion) via subordinated bonds and loans to shore up its capital in case the coronavirus pandemic hurts travel demand longer than it expects.
The Tokyo-based carrier said it secured around 200 billion yen in loans from four Japanese banks and plans to sell 100 billion yen of bonds. The financing is partly a “preventive measure” to counter the long-term business impact of Covid-19, general manager of finance Yuichiro Kito told reporters.