JAL and NYK starts talking about cargo merger

The rumor earlier today is true, Japan Airlines and Nippon Yusen Kaisha (NYK) are in talk of a merger/integration. JAL has released an press release to confirm this.

JAL and NCA, a subsidiary of NYK first started code sharing earlier this March and it looks like it was a success. Both companies now looking at ways to further integrate the business and they do not rule out a merger. They are targeting April 1 2010 to complete the integration/merger, which means there are roughly 6 months for the preparation.

JAL and NYK are the two largest cargo operators in Japan (JAL is the larger one). Combining the two will result an even larger cargo operator in Japan. Not sure if this will raise any anti-trust problems. You know some people (hint: someone in blue, the evil blue) loves to complain (they did it when JAL received the bailout money).

Source: Press Release