South Korea's activist fund KCGI, the second-largest shareholder in the parent company of Korean Air Lines, said it was looking to buy a controlling stake in Asiana Airlines, helping send shares of the carrier up 26%. KCGI CE Kang Sung-boo said the fund is in talks with several local and overseas entities to form a consortium to bid for the 31.05% stake in Asiana, which has been put up for sale by top shareholder Kumho Industrial. The stake was worth US$282m at Friday's close. Kang's comment comes as the local airline industry grapples with several challenges, including rising competition from budget carriers, a US-China trade war hitting cargo demand and a Korea-Japan diplomatic row hurting travel. Korean Air Lines and Asiana Airlines swung to operating losses for the April-to-June quarter, from a year earlier. <br/>
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Lufthansa is launching a website that allows customers to buy climate-friendly plane fuel to compensate for the emissions caused by their flight. Lufthansa said Monday that the sustainable aviation fuel, or SAF, purchased that way will be added to one of the airline's flights, reducing net greenhouse gas emissions by 80%. The aviation industry has come under fire from climate campaigners for its comparatively large carbon footprint, though airlines note that it constitutes only 2% of man-made emissions worldwide. Lufthansa's Compensaid service comes at a steep price. A single economy-class ticket from Frankfurt to New York is E374 more expensive if customers buy SAF, a synthetic form of kerosene. Passengers who opt to donate toward reforestation measures instead pay a E165-euro surcharge. <br/>
Sumeth Damrongchaitham, president and CE of THAI, said the airline is only reducing the salaries of top executives, not operation officers. After a THAI board meeting Aug 19, it was reported that many top executives agreed willingly to reduce their salaries in order to ease the burden on the airline. “Lower cost measures will help THAI compete in the airline business. Many board members and top executives have shown their compassion and agreed to help the organisation during this time of crisis. Officials at the operational level do not need to worry, because this measure only aims to lower the cost of management without any effect on the quality of service,” Sumeth said. <br/>