Unconfirmed reports have emerged suggesting that Asia’s largest airline, Japan Airlines has asked for the amount of debt it is requesting banks to convert into equity as well as write off to be reduced. Sources say that the airline is now requesting that the original 300 billion yen now be reduced to 250 billion yen. The amount of capital now being sought by a group put in charge of sorting out the carriers financial problems is now rumoured to have doubled to 300 billion yen.

Stocks in the airline have risen in a reaction to the news that the Japan Airlines may well secure the proposed financing. It is hoped that revised bailout plans for the airline will be announced by the end of this month. It is also thought that the carrier will ask for a fourth government funded loan.

It is also rumoured that talks are on again between Japan Airlines and the U.S. carriers Delta Airlines and American Airlines. A tie up between the Asian airline and either of the two U.S. airlines would provide it with much needed cash and open up lucrative routes in China for the Americans.

In a dramatic attempt to cut costs Japan Airlines has already slashed 10 percent of its jobs forcing 5,500 of its employees to seek work elsewhere.