Safety emerges as key issue in approval for Korean Air-Asiana merger

Ahead of US and UK antitrust authorities’ decision on whether to approve a merger between South Korea’s two full-service carriers of Korean Air Lines and Asiana Airlines next week, aircraft safety has emerged as a key factor in their decision after four passenger jet accidents by Korean Air Lines in the second half of this year alone. Korean Air Lines’ merger of Asiana to create a full-service air transport monopoly in Korea has gained approval from nine overseas authorities and is waiting for endorsement from five key markets - the United States, the United Kingdom, European Union, China and Japan. Korean Air Lines expects to gain the nod from the UK as Korea’s two flag carriers account for an insignificant share in the global airline industry. But the biggest challenge is the US’s decision due Nov. 15, where the process is mandatory. “The US has considerable influence on the global aviation market and thus, it is hardest to get its approval. Gaining the nod from the US is the most critical (in the merger) for now,” said an official from the aviation industry.<br/>