Korean Air sure of approvals from US, China for Asiana takeover

Korean Air issued a statement Monday to deny speculations that it is facing setbacks in receiving approvals from overseas antitrust regulators for its acquisition of its domestic rival, Asiana Airlines. "Korean Air has made every effort to get approval for the merger in other countries," the largest air carrier in Korea said. "Each country's review is underway without any setbacks." The Korea Fair Trade Commission gave a conditional approval for the deal in February, but the US Department of Justice reportedly decided to apply stricter rules for its review, after United Airlines raised a question about the deal. The American air carrier is said to have been concerned about possible fallout from Asiana's withdrawal from Star Alliance, given that Korean Air has formed close ties with Delta Air Lines in transpacific flight routes. In addition, Korean Air had to reapply for approval in China last October, as the Chinese authorities did not draw a conclusion in time for the deadline. The fact that Asiana made profits for the fourth quarter straight has also raised questions about the necessity of its sale to Korean Air.<br/>