Korean Air decided at a board of directors’ meeting on Feb. 6 to sell its idle assets – a land in Songhyeon-dong and non-mainstream business, Wangsan Marina, to improve its financial structure.
In addition, Korean Air has formed an outside board of directors nomination committee with all outside directors and set up a governance committee to enhance transparency in corporate governance.
To enhance its financial soundness, Korean Air will seek to sell its land owned by Korean Air in Songhyeon-dong, Jongno-gu, Seoul, and its stake in Wangsan Leisure Development Co., the operator of Wangsan Marina in Eulwang-dong, Jung-gu, Incheon.
Korean Air's sale of non-profit idle assets and non-mainstream businesses is aimed at improving its financial structure, a company official said.
Hanjin Group had promised to sell its land in Songhyeon-dong during the “Vision 2023” in February 2019 to achieve improved stability and profitability. Wangsan Leisure Development, the operator of the Yongyuwangsan Marina, a marine leisure facility that was completed in 2016, is 100 percent owned by Korean Air.
Korean Air plans to carry out related procedures such as selecting a lead manager and announcing the sale with the aim of completing the sale by the end of this year.
Meanwhile, Korean Air voted at a board meeting to strengthen the independence of its board of directors and transparency in corporate governance. Korean Air has decided to form a committee to recommend candidates for outside directors with all outside directors in order to strengthen the independence of the committee.
