The addition of Japan Airlines (JAL) to the oneworld alliance closes a widening gap between rivals Star and SkyTeam in terms of passenger traffic marketshare. JAL will be oneworld’s largest member in terms of group revenues and was one of the only 20 largest IATA members not to have aligned itself.
JAL had long been courted but resisted joining a multilateral alliance. It codeshares with members of all the alliances and says it intends to maintain bilateral agreements. “Up to now, JAL has followed a bilateral alliance policy but has always kept an eye on multilateral alliances and has decided that now is the time to participate,” it says.
JAL should become a full member of the alliance in one to two years. It is the third airline this year to announce its intention to join oneworld, after Royal Jordanian and Malev. JAL will expand oneworld’s network by around 10% with 68 additional destinations.
JAL’s decision came as it unveiled initiatives to help improve its deteriorating financial position. Earlier this year it said it would report a profit for the year to March 2006, but now expects a net loss in excess of $400 million. Economy cuts include across-the-board 10% salary decreases and the retirement of older aircraft.
Source: Airline Business
