Banks to lend $173mn to keep Vietnam Airlines operating

US, UK to soon decide Korean Air-Asiana merger - report

US and UK antitrust authorities are expected to approve the merger between Korean Air (KE, Seoul Incheon) and Asiana Airlines (OZ, Seoul Incheon) next month, sources familiar with the matter told local media. US Department of Justice officials are due to interview Korean Air executives this month about the issue and the UK Competition and Markets Agency (CMA) is expected to announce its decision in mid-November.

According to The Korean Times, Korean Air is hoping that a favourable decision from the UK and US authorities will encourage the European Union, China, and Japan to also greenlight the deal. Korean Air's acquisition of Asiana was announced back in November 2020 and the flag carrier has been negotiating with antitrust authorities in jurisdictions the two airlines fly to ever since. Korean Air said the KRW1.8 trillion won (USD1.6 billion) deal will give it the ability to compete with "global mega airlines."

In order to help lessen competition concerns, Korean Air is reportedly in talks with several airlines, including foreign carriers and domestic LCCs, about...

Vietnam Airlines stock at increased risk of being delisted

Vietnam Airlines (VN, Hanoi) stock is again at risk of delisting, after the Ho Chi Minh City Stock Exchange sent a notice to the flag carrier to that effect on September 8.

The shares of a public company are likely to be delisted in Viet Nam if it suffers losses for three consecutive years, or if the total accumulated loss exceeds the contributed charter capital, or if its equity is negative.

Vietnam Airlines sustained losses of almost VND11 trillion dong (USD467 million) in 2020 and VND13 trillion (USD552 million) in 2021, while recently released 2022 half-year consolidated financial statements spotlighted a further net loss in excess of VND5.1 trillion (USD217 million).

As of the end of the second quarter, it had accumulated losses of around VND29 trillion (USD1.23 billion), and its equity was negative VND4.9 trillion (USD208 million). Liabilities exceeded assets by VND36.44 trillion (USD1.55 billion) and overdue payables stood at more than VND14.85 trillion (USD637 million). Deloitte Vietnam warned in the report that the carrier could find it difficult to sustain its operations....

Viet Nam's Vietravel Airlines to acquire B737 freighters

Vietnam Airlines in efforts to rejig B787, A320 deliveries

As it scrambles for ways to cut costs and secure new revenue streams, with renewed doubts cast over its ability to keep operating, Vietnam Airlines (VN, Hanoi) is negotiating to cancel the delivery of four Boeing B787s and Airbus A320s and also postpone the delivery of five other new aircraft to the end of 2022 and 2023 instead of 2020-21 as originally agreed.

The troubled majority-state-owned flag carrier, which obtained a VND12 trillion dong (USD513 million) bailout last year while grappling with around VND20 trillion (USD854 million) worth of debt, has also sold one aircraft, transferred the rights to buy and lease back one engine, and liquidated its investment in Cambodia Angkor Air (K6, Siem Reap), it summarised in its latest financial statements, covering the first half of 2022. These moves earned it more than VND860 billion (USD36.8 million).

Vietnam Airlines said it was continuing to look for other sources of revenue, including further downsizing of its fleet, selling more engines, and offloading financial investments.

According to the ch-aviation...