TOKYO (Reuters) –
Shares of Japan Airlines Corp (9205.T) fell 9.4 percent on Tuesday on growing concerns the struggling carrier could be put through bankruptcy court as part of a state bailout.
Sources have told Reuters that a state-backed turnaround fund now weighing whether to bail out JAL is considering using a bankruptcy procedure similar to Chapter 11 in the United States as part of its revival plan.
Shares of JAL were down 9 yen at 87 yen by the midday break in Tokyo. The benchmark Nikkei average (.N225) was down 0.1 percent.