It seems that this hasn't gone unnoticed at KE and OZ, who for a long time were lobbying against the government allowing this to happen. It has been mentioned earlier that KE wanted AY to pay them the same amount as quoted below, 30 billion KRW per year, and not sell any connecting tickets to destinations where they themselves fly from ICN such as LHR, FRA, AMS, CDG, MAD, PRG etc. These demands didn't go through but you could say they partly succeeded as AY wanted 5x and also would have liked to get more traffic rights to ICN on top of the current 7x weekly.
Of course, until AY issues a press release it's not yet certain whether or not they will fly to PUS immediately from next year.
New Busan-Helsinki Route Irks Korean Carriers
One executive at a Korean airline complained, "We already have direct or indirect routes to major European cities, so it's a losing game to open a new direct route just to compete with Finnair as it would decrease the number of passengers on existing routes and would cost us a lot of money setting up a new office and maintaining it."
The industry predicts a loss of W30 billion for Korean carriers from the new Busan-Helsinki route (US$1=W1,183). "It is with regret that we receive the news of the government's decision without consideration of the Korean airline industry," said one industry insider. "An aviation agreement should benefit all participating parties, but that's not the case here."