Shop till the mileage liabilities of Korean and Asiana airlines drop
Korean Air Lines and Asiana Airlines are rushing unload mileage points ahead of their proposed merger.
In November 2020, Korean Air Lines announced it would be buying 63.88 percent of Asiana Airlines and eventually merging with it, creating a global top 10 carrier in terms of routes.
Miles are held as liabilities on the books of airlines and can cause valuation and redemption issues during the combing of two carriers.
In the recent rush to get mileage redeemed, Asiana Airlines said it would be working with Samsung Electronics and LG Electronics on discount promotions.
On the carrier's online mileage shopping mall, discounts are offered on about 100 home appliances sold by the two electronics makers, including TVs, washing machines, dryers and wireless earphones.
Mileage is spent to get the discounts, while mileage is earned for the cash portion of the transaction. One mileage loyalty points will be given for each 1,000 won (83 cents) spent.
"We're continuing to offer more options so members can easily save and use their mileage points," said a spokesperson for Asiana Airlines.
Korean Air Lines is also working to shrink its mileage obligations.
At Emart, customers spending more than 70,000 won can use 1,400 mileage points to buy a 10,000 won discount voucher. Only one discount voucher can be only used a day.
The airline is also offering discounts on Samsung Electronics products bought via its online mall, and customers can use 600 miles to buy a 4,900-won monthly subscription for Naver Plus — a membership program offering extra loyalty points and benefits on Naver Shopping.
Points from Asiana Airlines may not be transferred to the new Korean Air Lines miles in a one-to-one ratio. They are already valued at different rates. When using travel reward credit cards, one Korean Air Lines mileage point is earned for every 1,500 won spent, while one Asiana Airlines mileage point is earned for every 1,000 won.
BY LEE TAE-HEE [firstname.lastname@example.org]