The news for Japan Airlines is not looking so good these days. Stock in JAL fell 25% last week to end the 2009 year. Rumors among travel analysts is that the airline might declare bankruptcy due to a $15 billion loss in profits. That is in addition to the announcement by JAL that may drop international flights altogether.

But JAL might not be down for the 10 count just yet. The Japanese government is stepping in and asking state-owned banks to increase the airlines' credit line. This would be the much needed assistance that Japan Airlines would need to hopefully dig themselves out from their massive debt and eventually become a profitable company again.

If you have been following the Japan Airlines drama as of late, then you know JAL has been in somewhat of an aviation three way with both American Airlines and Delta. Both U.S. based airlines have been trying to woo Japan Airlines into an exclusive deal with billions of dollars. As of this post, JAL looks to be leaning more towards working with Delta than AA.

So what do you think about this whole Japan Airlines mess? Will they make it through 2010? Or will JAL carriers be parked next to Northwest carriers in a classic airlines museum by the fall?

Source: Reuters