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Korean Air warns it may keep dual mileage programs after merger
July 16th 2026
Korean Air (KAL) may be forced to run two separate mileage programs even after its merger with Asiana Airlines, planned for December 17, 2026, the carrier warned in a regulatory filing. Read More » The note comes as KAL has not yet received approval from the Fair Trade Commission for the planned merger of the two loyalty programs. The commission first rejected KAL’s mileage plan in June 2025 and again in December, citing insufficient protections for mileage points that were set to expire under the merged system. Under the current proposal, miles earned through flights would convert 1-to-1, while miles earned through airline partner programs would convert at a ratio of 0.82 Asiana miles to 1 Korean Air mile. Asiana members would keep access to their existing miles for ten years.
Running two separate loyalty programs is an unfavorable outcome for KAL. If regulators conclude that running two systems left customers worse off than they were under 2019 terms, which serves as the baseline the commission set when it conditionally approved the Korean Air-Asiana merger in 2022, KAL could face fines of up to roughly 925 million won ($620,000) per day. Running parallel systems would also mean duplicate information systems and staffing costs, and delay synergies the airline is counting on from the merger, The Korean Herald reported. According to the industry observers quoted by the newspaper, the matter ultimately comes down to whether Korean Air can ease concerns about its dominant market position, now that customers can no longer switch to another major carrier. The commission has stressed that any new system must meet public expectations, not just the bottom line.