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Thursday 24 February 2022

South Korean airline giants closer to merger

Two of Asia's leading airlines have been given the go-head for a merger.

South Korea’s competition regulator this week granted conditional approval for a merger between Korean Air and smaller South Korean airline Asiana. 

The Fair Trade Commission green-lighted the move on condition the airlines relinquish some slots for routes where they have more than 50% of the market share, Travel Mole reported. 

Combined, they would operate around 48.9% of international flights from South Korea and 62% of domestic flights.

The merger will see the combined company become the 10th-largest airline in the world.

The exact number of slots and transportation rights the merged entity would have to give up will be decided later. 

Korean Air plans to form a totally integrated company with Asiana in 2024.


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