Korean Air and Asiana Airlines Merger Clears Final Hurdle, December Completion Expected

Four score and 7 years ago, Korean Air and Asiana Airlines planned to merge. After a drawn-out process, the approval came in December 2024, announcing that Korean Air will acquire a 63.88% stake in Asiana Airlines.

There was a lot to unpack in the original announcement, as a Star Alliance airline will be absorbed into a SkyTeam airline, there will be a reshuffling of each airline’s low-cost brands, and concessions were made along the way.

Since the original announcement, the plan for merging the 2 airlines’ rewards programs was rejected, and a new plan was introduced. Now, in what we hope will be the last update, Korean and Asiana have set a formal merger date for December after the airlines’ shareholders have approved everything.

Here’s what you should know about the latest news on the merger between the 2 biggest airlines in South Korea.

Korean Air Acquiring Majority Stake in Asiana Airlines

Korean Air is a member of SkyTeam, while Asiana Airlines is a member of Star Alliance. These 2 airlines announced plans to merge in late 2020. In late 2024, they finally got all the government regulatory approvals needed to proceed with the merger — which required over a dozen government agencies to sign off.

While the airlines will continue to operate independently for a while longer, they’ve now approved a formal merger agreement that will see Korean Air fully absorb Asiana Airlines on December 17, 2026. That comes after an August 12, 2026, announcement that the boards and shareholders have approved the plan, which was the last remaining obstacle.

That means Asiana will eventually disappear as a standalone airline and leave Star Alliance in the process. To complete the deal, Korean Air paid roughly $559 million to Asiana to acquire over 131 million of its shares.

Once complete, Korean Air will take over all of Asiana’s assets, liabilities, personnel, and operations.. That means Asiana will leave Star Alliance. To complete the deal, Korean paid roughly $559 million to Asiana to acquire over 131 million of its shares.

Moving forward, Korean Air plans to complete its integration of Asiana by standardizing aircraft operations, safety systems, crew training, and airport operations across the combined airline. The carrier is also planning investments in lounge upgrades, catering improvements, maintenance facilities near Incheon International Airport, and expanded training infrastructure to support the larger airline.

The merger wasn’t entirely smooth, though.

Back in June, South Korea’s Fair Trade Commission (FTC) rejected the initial proposal, citing a lack of transparency. Korean submitted an updated plan, which was also rejected, and the airlines were find a combined $4.4 million.

The FTC wasn’t concerned about the miles conversion rates (discussed below) but chastised the airlines for failing to honor a promise to maintain at least 90% of their 2019 route capacity and for lacking a realistic plan to ensure award space and elite upgrade availability exist for customers going forward.

Changes to Low-Cost Subsidiaries of Korean and Asiana

Along with Asiana leaving Star Alliance and eventually disappearing as an airline, merged into Korean, the airlines’ low-cost subsidiaries will also merge. Jin Air, Korean’s subsidy, will absorb Asiana’s subsidiaries, which are Air Busan and Air Seoul.

Moreover, Korean Air’s partnerships — such as its codeshare agreement with Delta Air Lines — will continue, while Asiana’s won’t.

Reward Program Merger Details

Initially, Korean Air proposed a subpar conversion rate for absorbing Asiana miles into Korean’s SKYPASS program, but that was revised in order to get everything approved.

For elite tiers, Asiana Club members will move into SKYPASS tiers as follows:

Additionally, Asiana Club members will be able to keep redeeming their miles using the award chart that was in place on December 31, 2024, and they can do so for another 10 years.

Asiana Club members also have the option to move their miles into SKYPASS at a 1:1 ratio — though miles received from partner transactions will be converted at a 1:0.82 ratio (820 miles received for every 1,000 miles sent)

Final Thoughts

The merger between Korean Air and Asiana Airlines has now entered its final stretch, with the airlines officially setting December 17, 2026, as the date Korean Air will fully absorb Asiana. While travelers will still see both airlines operating separately for a while longer, Asiana will eventually disappear as a standalone carrier and leave Star Alliance in the process.

Additionally, there’s clarity regarding the elite tiers Asiana Club members will receive in SKYPASS, including the creation of a new tier in the process. Asiana miles can be moved to SKYPASS or continue to be redeemed using the December 2024 award chart for another 10 years, which remains one of the more consumer-friendly aspects of the merger.

Now that the final plan has approval from the airlines’ boards and shareholders, the December merger timeline looks realistic.