Major partners in the oneworld alliance are offering management guidance, more capital and $500 million in commercial benefits to Japan Airlines, which is now one step closer to bankruptcy after an agreement between its creditors and the government. In a meeting with Transport Minister Seiji Maehara, JAL’s major creditor banks have tentatively agreed to the government’s proposal that the airline should go bankrupt and be reorganized under court supervision, despite the risk of damaging its brand, Kyodo news agency reports.

Japan Airlines could file for the Japanese equivalent of Chapter 11 bankruptcy protection as early as next week, and may also cut its work force by up to 30% over the next three years under a state agency turnaround plan.

Vietnamese police have arrested the former CEO of Qantas affiliate Jetstar Pacific and prevented two Australian executives of the carrier from leaving the country. State newspaper Tuoi Tre says the former CEO, Luong Hoia Nam, is accused of neglecting responsibility causing serious damage to state property. The accusations relate to fuel hedging contracts that resulted in losses exceeding $31 million, local media report. Jetstar Pacific is majority owned by the Vietnamese state interests.