JAL ponders low cost launch

Ailing Japan Airlines is planning the launch of a no-frills subsidiary carrier, according to reports in the Far East.

The company is believed to have included plans for a budget airline into its corporate turnaround plan that is to be presented to the Tokyo District Court on Tuesday.

Reports have claimed the new airline would operate under a different brand while being wholly owned by JAL.

There has been no indication of what routes the budget carrier would operate.

JAL's rival All Nippon Airways said earlier this year that it was considering the launch of a no-frills carrier.

JAL fell into bankruptcy in January is has since been going through a corporate restructure.

Its new management team is expected to be announced to the Japanese Stock Exchange in December.