News Summary: War and bird flu fears hit Asiana

THE DESCENT: Asiana Airlines, the South Korean operator of the jet that crash landed in San Francisco last month, reported a second straight quarterly loss. And the losses grew sharply, to $72 million.

BIRDS AND NEIGHBORS: Asiana said travel slumped after North Korea unleashed a torrent of threats including vows of nuclear strikes against South Korea. A bird flu scare dented travel to China, Asiana’s key market.

TURBULENCE AHEAD: Park Sung-bong, an analyst at Hana Daetoo Securities, said the July accident could add 20 billion won of non-operating losses to Asiana’s bottom line in the third quarter and is likely to dent demand from Chinese travelers. Many travelers flying to North America or Europe transfer in South Korea instead of taking direct flights from China.

blog comments powered by Disqus