Korean Air and Asiana Airlines to merge in December

Korean Air and Asiana Airlines are preparing for a formal merger scheduled for December 17, following recent approval from their respective boards and shareholders. To improve operational efficiency, the merged entity plans to redistribute flight slots and adjust departure times to reduce overlap on similar routes, such as the Incheon-Singapore line.

The integration aims to expand flight frequencies on popular routes and explore new destinations using the increased fleet capacity. Additionally, the companies intend to strengthen Incheon International Airport’s position as a global transit hub by optimizing schedules for connections between the Americas, Asia, and Europe.

Regarding consumer concerns, Korean Air stated that unilateral fare increases are unlikely due to intense competition with foreign carriers. Furthermore, the Fair Trade Commission has prohibited fare hikes exceeding inflation rates on certain routes for ten years.

A key remaining variable is the integration of mileage programs. Korean Air has proposed a plan to the Fair Trade Commission where Asiana mileage earned through flights can be converted to Korean Air SkyPass at a 1:1 ratio, while partner mileage (such as credit cards) would convert at a 0.82:1 ratio. The finalization of this plan awaits regulatory approval.