Korean Air Designates Air Incheon as Top Choice for Asiana Cargo Business Sale

Published on June 17, 2024

Korean Air has chosen Air Incheon as the preferred bidder for the sale of Asiana Airlines’ global cargo freighter business, as decided at the Board of Directors meeting on June 17.

The selection of Air Incheon was based on several critical factors: the assurance of completing the transaction, the ability to sustain and enhance the long-term competitiveness of the air cargo business, and the capability to mobilize funds through a proficient consortium.

Established in 2012, Air Incheon is Korea’s only all-cargo airline, primarily operating in Asia. By leveraging Asiana Airlines’ long-haul network to the Americas and Europe and its fleet of larger cargo aircraft, Air Incheon is expected to bolster its competitiveness.

Korean Air plans to finalize a framework agreement with Air Incheon in July, pending agreement on contract conditions and review by the European Commission.

“The preferred bidder was selected through a comprehensive evaluation of all factors crucial to the growth of the air cargo industry, a key national industry, while maintaining the existing competitive environment,” said a Korean Air representative. “We are committed to quickly finalizing the sales process through flexible negotiations, and completing the acquisition of Asiana Airlines.”