Japan's airlines diverge as ANA soars and JAL dips

See what happens when the government here gets involved in business? ANA is a privately held company and JAL has been propped up by the government for years. This should not be a surprise to anyone.

"See what happens when the government here gets involved in business?"

Indeed,the prime minister -- the prime minister no less! -- is now in California working as a salesman for private firm JR Tokai in its quest to sell the Americans bullet train technology. He and the rest of the government should just butt out, and let the private companies do their own work, with their own money.

I didn't ask to have my tax money spent this way.

You might want to look at JAL's history before blaming the gov't, as this carrier was completely privatized in 1987

Maybe I'm having trouble understanding how a 149 billion yen profit is bad? I can see ANA is trending up but their net profits are not even close. Same for operating profit.

Mocheake

Maybe I'm having trouble understanding how a 149 billion yen profit is bad? I can see ANA is trending up but their net profits are not even close. Same for operating profit.

Because JAL, at the moment, is paying no corporate tax, under the terms of their bailout, among other perks they get.

JAL's profits would be much less and the purpose of these perks was to put JAL in a financial growth situation, not a financial decline situation.

Once the perks and exemptions are removed, the life support, JAL's profit margin will decline at a much faster rate than 3.4% and it won't take JAL long to be back at its 2011 position of bankruptcy.

I was on an ANA 737-800 from Narita to Fukuoka two weeks ago that had about 30 passengers. How do they make any money doing this? In contrast, the return flight one week later was full.

You might want to look at JAL's history before blaming the gov't, as this carrier was completely privatized in 1987

And you might want to look at the 600 BILLION yen the government gave in public funds and government backed loans in 2009 to keep the company afloat when it was over 25 BILLION DOLLARS in debt.

Without the government propping it up it would have gone under.