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'Owner Vacancy' After Kim Jung-kyu's Imprisonment... Wife Jo Soon-hee Appointed as Air Premia Executive Director

[비즈한국] It has been confirmed that Jo Soon-hee (58), wife of Tirebank Chairman Kim Jung-kyu (60), has taken office as a director of Air Premia. Although Tirebank recently completed its acquisition of Air Premia, Chairman Kim is currently facing difficulties participating in management due to his court-ordered detention. Air Premia stated that Jo Soon-hee is not directly involved in management.

Tirebank completed the acquisition of Air Premia in September. Including the stake held by its affiliate, AP Holdings, it secured a total of 70% of Air Premia's shares. By holding more than half of the shares, the company has effectively secured stable management control.

It is reported that Tirebank's acquisition of Air Premia strongly reflects the intentions of Chairman Kim Jung-kyu. While pushing for the acquisition in May, Chairman Kim stated his ambition, saying, “The aviation industry should be viewed not just as a transportation sector, but as the core of national competitiveness. As airlines are industries that symbolize a nation’s dignity, I will grow Air Premia into a high-end airline that is the pride of South Korea.”

Chairman Kim Jung-kyu has been serving as an executive director of Air Premia since November 2021. However, he is currently unable to participate in management as he was detained a few months ago on tax evasion charges. After being sentenced to 4 years in prison and a fine of 10 billion won in 2017 for tax evasion, he was sentenced to 3 years in prison and a fine of 13.1 billion won in his appellate trial this July and was subsequently taken into court custody.

Amid this situation, it has been confirmed that Chairman Kim's wife, Jo Soon-hee, was appointed as an executive director of Air Premia in September. Ms. Jo is also listed as an executive director at Tirebank and AP Holdings. Recently, she has also been participating in various social contribution activities.

Chairman Kim Jung-kyu has three daughters: the eldest, Kim Seung-yeon (24), the second, Kim Sung-yeon (22), and the youngest, Kim Soo-yeon (19). They are all in their early 20s or late teens, which is considered too young to participate in company management. Therefore, it is interpreted that Jo Soon-hee has taken the position of executive director at Air Premia as an owner-representative in place of the children.

Air Premia stated that Jo Soon-hee is not directly participating in management. An official from Air Premia said, “She was appointed to fill a vacancy,” and added, “She is fulfilling a role as a shareholder without holding a specific job title at the company.” According to that explanation, Jo Soon-hee holds the position of executive director at Air Premia without specific assigned duties.

It is not essential for an executive director to work full-time as long as they faithfully fulfill major obligations such as attending board meetings. The board of directors deals with major issues such as calling general shareholders' meetings, appointing executives, and issuing new shares. Therefore, even if Jo Soon-hee does not participate directly in Air Premia’s management, she is in a position to exert significant influence.

Separately, Air Premia has been expanding its business since being acquired by Tirebank. Air Premia recently introduced a 326-seat 'Boeing 787-9 Dreamliner' aircraft. It plans to start regular flights between Incheon and Washington D.C. next April. With this launch, Air Premia’s routes in the Americas will expand to five locations, including Los Angeles (LA), New York, San Francisco, Honolulu, and Washington D.C.

An Air Premia official said, “Washington D.C. is a strategic route with consistent and stable demand,” adding, “As this is the first national carrier to launch this route in 31 years, we will provide wider choices and improved services to both travelers and business customers.”