EU says T'way Air's commitments in Korean Air-Asiana merger fulfilled; final approval yet pending

The European Union has concluded the passenger service-related remedial commitments offered by Korean flagship carriers Korean Air and Asiana Airlines for their proposed merger have been fulfilled, according to the EU's executive body Thursday. Korean Air has divested four European passenger flight routes to low-cost carrier T'way Air as part of a conditional approval for the merger offered from the European Commission (EC) in February. Korean Air has also agreed to sell Asiana's cargo business to Air Incheon as part of remedies. In a statement sent to Yonhap News Agency, Lea Zuber, EC spokesperson for competition, said the commission concluded Friday (Brussels time) that T'way Air "has fulfilled the completion condition for the passenger commitments set out in the conditional approval decision." The conclusion was reached based on a report by a monitoring trustee, she said. A final EC approval for the Korean Air-Asiana merger deal, however, remains pending, according to the spokesperson, as the EC "is currently assessing" Air Incheon's proposed purchase of Asiana's cargo business division. "The closing of the transaction between Korean Air and Asiana Airlines remains conditional upon the commission's approval of a suitable buyer for the cargo divestiture business," the spokesperson said. "We cannot prejudge its timing or outcome." On the passenger route transfer to T'way Air, the EC concluded that the budget carrier has met the requirements of operating "a certain number of services on each of the four remedy routes," connecting Incheon, Korea's main gateway, with Frankfurt, Paris, Rome and Barcelona, for a certain period of time.<br/>
Yonhap
https://www.koreatimes.co.kr/www/tech/2024/11/419_386782.html
11/21/24
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