Japan may enact a special law to lessen the pension burden on Japan Airlines, as the government increasingly takes control of the process of fixing the beleaguered carrier. A state body, the Enterprise Turnaround Initiative Corp., will be put in charge of overhauling Japan Airlines, local media report. The pension burden is a key issue in rescuing Japan Airlines, which expects to lose ¥63 billion (US$683 million) in its current fiscal year and needs a bridging loan of ¥200 billion to stay in business beyond the end of the year.

Korea Aerospace Industries (KAI)is funding a technology acquisition effort in anticipation of a future combat drone program. The company’s work extends to building a scaled version of its design, which it has already put in the air. KAI’s concept, called K-UCAV, would conduct air-to-air and air-to-ground missions, including suppression of enemy air defenses. The stealthy airplane would also operate as an intelligence, surveillance and reconnaissance aircraft with an “excellent sensor system,” the company says.

South Korea is planning to retrofit an active, electronically scanned array radar to its fleet of Lockheed Martin F-16s, sparking a competition liable to be repeated for a swath of Fighting Falcon operators. The South Korean air force will likely issue a request for proposals in 2010 or early 2011 for an active, electronically scanned array (AESA) radar for its F‑16C/D aircraft. The air force has around 40 Block 32 aircraft and 140 Block 52-standard aircraft.