[THE INVESTOR] Asiana Airlines announced on Aug. 29 that it has decided not to pursue maintenance, repair and overhaul business, a joint effort with North Chungcheong Province, due to lack of feasibility.

The South Korean airliner had signed a memorandum of understanding with Cheongju City government and low-cost carriers Jeju Air and Air Busan in March 2015 to invest in an MRO facility at Cheongju Airport. The city and the province were looking at eligible sites while Chungbuk Free Economic Zone Authority was securing overseas clients. 

The second-largest carrier of the country has undergone restructuring, streamlining its routes and reducing staff, since late last year. Its parent company Kumho Asiana Group is preparing to reacquire Kumho Tire, for an estimated price of over 1 trillion won (US$888.81 billion).

By Hwang You-mee (glamazon@heraldcorp.com)