As China and Korea mend ties, Korean Air sees brighter days
Strong outbound traffic flows from Korea and the opening of new markets have allowed Korean Air to brush aside initial concerns about declining numbers of Chinese tourists. Now, with the Oct 31 announcement of normalisation of relations, KAL stands poised for a full rebound. In protest of Seoul’s installation of a US-owned THAAD missile system in its territory, the Chinese govt banned tour operators from organising group tours into South Korea. As a result, KAL’s Q2 results reflected a 26% drop in traffic between China and Korea compared with a year earlier. “North Korea and China issues have affected operations throughout the year, but since total revenue is more spread out across the world we have grown in other regions and covered the decline in numbers from China and Japan,” said Walter Cho, KAL president and COO. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2017-11-07/sky/as-china-and-korea-mend-ties-korean-air-sees-brighter-days
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As China and Korea mend ties, Korean Air sees brighter days
Strong outbound traffic flows from Korea and the opening of new markets have allowed Korean Air to brush aside initial concerns about declining numbers of Chinese tourists. Now, with the Oct 31 announcement of normalisation of relations, KAL stands poised for a full rebound. In protest of Seoul’s installation of a US-owned THAAD missile system in its territory, the Chinese govt banned tour operators from organising group tours into South Korea. As a result, KAL’s Q2 results reflected a 26% drop in traffic between China and Korea compared with a year earlier. “North Korea and China issues have affected operations throughout the year, but since total revenue is more spread out across the world we have grown in other regions and covered the decline in numbers from China and Japan,” said Walter Cho, KAL president and COO. <br/>
