Korean Air and Asiana Airlines Merge to Create a Single National Carrier

May 13, 2026, 10:42
AsiaFinance

Introduction

Korean Air and Asiana Airlines have officially agreed to merge, and the new combined company is expected to begin operations on December 17.

Main Body

This merger follows an agreement made in November 2020, which was caused by the South Korean government and state creditors providing 3.6 trillion won in emergency funds to Asiana Airlines during the COVID-19 pandemic. According to the terms, Korean Air will take over all assets, debts, rights, and employees of Asiana Airlines. The companies have set an exchange ratio of 1 share of Korean Air for 0.2736432 shares of Asiana Airlines. Consequently, Korean Air's capital is expected to increase by about 101.7 billion won, while Hanjin KAL's ownership stake will slightly decrease from 26.13 percent to 24.76 percent. To complete the process, the companies must follow several regulatory steps. After signing the contract, Korean Air will ask the Ministry of Land, Infrastructure and Transport for official approval. Once they receive domestic permission, the airline plans to update its operational rules in June to ensure that safety systems and aircraft are managed under one single certificate. Furthermore, they will coordinate these protocols with international aviation authorities. To manage internal governance, Asiana Airlines will hold a temporary shareholders' meeting, and Korean Air will hold a board meeting in August. At the same time, the company is working to combine loyalty programs and improve training facilities.

Conclusion

The two airlines are now moving toward their December 17 launch date, provided that all regulatory and shareholder approvals are completed.

Learning

🚀 The 'Connective Jump': From Simple to Sophisticated

At the A2 level, you usually connect ideas with and, but, or because. To hit B2, you need to use Logical Connectors—words that act like road signs for your reader.

Look at how this text moves from one idea to another without using basic words:

1. The 'Result' Bridge Instead of saying "So, the money increased," the text uses:

"Consequently, Korean Air's capital is expected to increase..."

  • Why it's B2: "Consequently" shows a professional cause-and-effect relationship. It sounds more objective and academic.

2. The 'Addition' Bridge Instead of saying "Also, they will talk to other countries," the text uses:

"Furthermore, they will coordinate these protocols..."

  • Why it's B2: "Furthermore" adds a new, important layer of information. It signals that you aren't just listing things, but building an argument.

3. The 'Condition' Bridge Instead of saying "If they get approval, they will launch," the text uses:

"...provided that all regulatory and shareholder approvals are completed."

  • Why it's B2: "Provided that" is a high-level replacement for "if." It specifies a strict requirement that must be met first.

💡 Coach's Tip for your Transition: Stop using 'and' and 'so' at the start of every sentence. Try replacing them with these three:

  • So →\rightarrow Consequently
  • Also →\rightarrow Furthermore
  • If →\rightarrow Provided that

Vocabulary Learning

merge (v.)
To combine or unite into a single entity.
Example:The two airlines will merge into one national carrier.
agreement (n.)
A negotiated understanding or arrangement between parties.
Example:The agreement signed in November secured emergency funds.
government (n.)
The governing body of a country or state.
Example:The government provided the emergency funds to support the airlines.
creditors (n.)
People or institutions that are owed money.
Example:Creditors received payments from the airline after the merger.
emergency (n.)
A sudden, urgent situation requiring immediate action.
Example:The emergency funds were used to keep the airline operational.
pandemic (n.)
A widespread outbreak of disease affecting many countries.
Example:The pandemic caused the need for financial support for airlines.
assets (n.)
Valuable property or resources owned by a company.
Example:All assets of Asiana Airlines were transferred to Korean Air.
debts (n.)
Amounts of money owed by a company or individual.
Example:All debts were assumed by Korean Air as part of the merger.
regulatory (adj.)
Relating to rules, laws, or regulations set by authorities.
Example:The merger required several regulatory steps before approval.
approval (n.)
Official permission or consent granted by an authority.
Example:They sought approval from the Ministry of Transport to finalize the deal.