JAL absorbs Japan Air System (2002)
Japan Airlines merged with Japan Air System, the country's third-largest carrier, after the 2001 travel slump. JAL held just 25% of the domestic market, half of rival ANA's share, and used the deal to bulk up against its competitor.
The combined holding company, Japan Airlines System, became the world's sixth-largest airline by passenger volume. Domestic routes were rebranded under JAL.
JAL still went bankrupt in 2010 under the weight of network overreach, showing that size alone does not solve a flag carrier's structural problems.
Japan's last flag-carrier consolidation produced a much bigger airline that still struggled with cost structure. Korean Air's challenge is to avoid repeating that arc.
