The Korea Times close
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
Business
  • Tech
  • Bio
  • Companies
Finance
  • Companies
  • Economy
  • Markets
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
Entertainment
& Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
Sports
World
  • SCMP
  • Asia
Video
  • Culture
  • People
  • News
Photos
  • Photo News
  • Darkroom
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
Business
  • Tech
  • Bio
  • Companies
Fri, May 20, 2022 | 11:08
Airlines
Incheon Int'l Airport striving to keep duty free shopping alive amid pandemic
Posted : 2021-02-24 17:00
Updated : 2021-02-24 18:55
Print Preview
Font Size Up
Font Size Down
Incheon International Airport Corp. (IIAC) President and CEO Kim Kyung-wook speaks during a media conference held at the IIAC headquarters in Incheon, Wednesday. Courtesy of Incheon International Airport Corp.
Incheon International Airport Corp. (IIAC) President and CEO Kim Kyung-wook speaks during a media conference held at the IIAC headquarters in Incheon, Wednesday. Courtesy of Incheon International Airport Corp.

IIAC expects net loss of more than W800 billion this year

By Jun Ji-hye

Incheon International Airport Corp. (IIAC), the operator of the country's main gateway, is striving to help duty free shopping at the airport stay alive amid the prolonged COVID-19 pandemic, IIAC President and CEO Kim Kyung-wook said Wednesday.

The comment came amid growing concerns over more empty space in the duty free area at the airport as the nation's two major duty free operators ― Lotte Duty Free and Shilla Duty Free ― are scheduled to close their stores in Terminal 1, Feb. 28.

Their leases had originally expired last August but they extended them for another six months after the IIAC failed to attract new duty free operators amid the industrywide slump caused by the pandemic.

Kim said during a media conference that the IIAC will allow the three existing duty free operators at Terminal 1 ― Shinsegae Duty Free, Hyundai Department Store Duty Free and Kyung Bok Kung Duty Free ― to expand their stores temporarily to spaces that will be vacant following the exit of Lotte and Shilla.

"The IIAC is making every effort to fill up empty space in the duty free area and help maintain employment stability," Kim said. "We have been cooperating with government organizations and duty free operators to ensure new operators employ workers from the exiting operators."

Lotte and Shilla have used the DF2, DF3, DF4 and DF6 sections in the duty free area at Terminal 1.

Shinsegae, Hyundai Department Store and Kyung Bok Kung will be able to expand their operations to DF3, DF4 and DF6 after talks with the Korea Customs Service.

But the operation of the DF2 section that sells perfumes and cosmetics will be terminated, IIAC noted, adding that it could not keep operations going there as duty free operators have been suffering deepening financial difficulties amid the pandemic.

"It is regrettable that the rehiring of every employee will not be possible despite our utmost efforts," Kim said. "We will continue to work hard to stabilize employment and improve duty free services by coming up with follow-up measures, including the review of bidding rules to attract new duty free operators."

Kim noted the IIAC will continue to mull ways of filling the empty space, which will account for about 25 percent of the entire duty free area, adding that duty free services are directly related to the airport's global competitiveness.

The airport operator's attempts to auction duty free licenses three times last year ― in February, September and October ― were unsuccessful due to a lack of participants. Duty free operators have been suffering amid a sharp fall in the number of people flying due to air travel restrictions.

Incheon International Airport suffered a net loss of 426.8 billion won ($384 million) last year, its first in 17 years, with the number of international passengers using the airport falling 83 percent from a year earlier.

The airport operator said it expects a net loss of 860.9 billion won this year, noting that it expects air travel demand to recover in the latter half of the year at the earliest, after more people around the world get vaccinated for the coronavirus.

"I think air travel demand will increase suddenly at some point as many people stuck at home amid the pandemic are longing for overseas travel," Kim said. "We will make thorough preparations for that."


Emailjjh@koreatimes.co.kr Article ListMore articles by this reporter
 
  • People in North Korea trapped in famine and pandemic [PHOTOS]
  • Korea to resume issuing short-term travel visas, e-visas next month
  • Why doctors oppose Nursing Act legislation
  • KBO commissioner proposes holding season openers, regular games in US in meeting with MLB official
  • Huge fire erupts at S-Oil's Ulsan factory
  • Luna fiasco escalates into class action by victims
  • US denial of Biden-Moon meeting triggers speculation
  • Consumers alarmed by high sodium, saturated fat in meal-kits
  • Black Eagles seek to show ROK Air Force's prowess in England
  • Small Seoul temple becomes beacon for religious harmony
  • PSY's first boy group TNX makes much-anticipated debut with EP 'Way Up' PSY's first boy group TNX makes much-anticipated debut with EP 'Way Up'
  • MBC's 'Tomorrow' denies intentional use of BTS members' name, birthdates MBC's 'Tomorrow' denies intentional use of BTS members' name, birthdates
  • [INTERVIEW] Son Suk-ku portrays different villain in 'The Roundup' [INTERVIEW] Son Suk-ku portrays different villain in 'The Roundup'
  • Sequels to hit Korean films await theatrical release this year Sequels to hit Korean films await theatrical release this year
  • Kim Sae-ron apologizes for her alleged DUI incident Kim Sae-ron apologizes for her alleged DUI incident
DARKROOM
  • People in North Korea trapped in famine and pandemic [PHOTOS]

    People in North Korea trapped in famine and pandemic [PHOTOS]

  • 2022 Pulitzer Prize: Bearing witness to history

    2022 Pulitzer Prize: Bearing witness to history

  • Worsening drought puts millions at risk

    Worsening drought puts millions at risk

  • Our children deserve the best

    Our children deserve the best

  • End of mask mandates

    End of mask mandates

The Korea Times
CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Location
  • Media Kit
  • Contact Us
  • Products & Service
  • Subscribe
  • E-paper
  • Mobile Service
  • RSS Service
  • Content Sales
  • Policy
  • Privacy Statement
  • Terms of Service
  • 고충처리인
  • Youth Protection Policy
  • Code of Ethics
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group