Asiana decides on capital reduction to improve financial status
Asiana Airlines said Monday it will cut its capital base to improve its financial status amid the COVID-19 pandemic. Shareholders approved a 3:1 capital reduction plan as the airline's capital erosion rate reached 56.3 percent at the end of June, a company spokesman said. "The company made the decision to avoid being designated as issues for administration or having its credit rating downgraded," he said. After the reduction, the number of Asiana's overall stocks will fall from 223.2m shares to 74.4m shares, while its capital will decrease from 1.11t won ($1.02b) to 372.1b won.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2020-12-14/star/asiana-decides-on-capital-reduction-to-improve-financial-status
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Asiana decides on capital reduction to improve financial status
Asiana Airlines said Monday it will cut its capital base to improve its financial status amid the COVID-19 pandemic. Shareholders approved a 3:1 capital reduction plan as the airline's capital erosion rate reached 56.3 percent at the end of June, a company spokesman said. "The company made the decision to avoid being designated as issues for administration or having its credit rating downgraded," he said. After the reduction, the number of Asiana's overall stocks will fall from 223.2m shares to 74.4m shares, while its capital will decrease from 1.11t won ($1.02b) to 372.1b won.<br/>
