Counter suggestions from the other three major creditors

Rumor is that ETIC and Development Bank of Japan are supporting the court-lead bankruptcy of Japan Airlines but the other three major creditors of JAL: Mizuho Corporate Bank, Bank of Tokyo-Mitsubishi UFJ, and Sumitomo Mitsui, which have outstanding loan of 50 billion yen, 50 billion yen and 30 billion yen respectively, are opposing the plan according to The Wall Street Journal. (As a matter of fact, JAL CEO Nishimatsu-san is opposing that too). Nikkei.com reports that the mega banks have now submitted a "make-or-break" proposal for JAL restructuring.

Since I don't have subscription to Nikkei.com and I am not at the Sakura Lounge at Narita, I have to rely on the quote from Market Watch. Looks like the banks have submitted a counter proposal to the MLIT, DBJ and ETIC, which involves forgiveness of debt and share dilutions. The debt forgiveness will be over 300 billion yen. If JAL shareholders reject the plan at the extraordinary meeting, then they will call for JAL filing for bankruptcy under the Corporate Rehabilitation Law (similar to the Chapter 11 in the US).

Looks like the banks are on Nishimatsu-san's side :)