Steam generator is one of the major components in a nuclear power plant, and it consists of thousands of thin-walled tubes. The operating record of the steam generators has indicated that a number of axial cracks due to stress corrosion have been frequently detected in the tubes. Since the tubes are closely related to the safety and also the efficiency of a nuclear power plant, an establishment of the appropriate repair criterion for the defected tubes and its applications are necessary. The objective of this paper is to develop an accurate repair criterion for the tubes with axial cracks. To do this, a thorough review is performed on the key parameters affecting the tube integrity, and then the probabilistic integrity assessment is carried out by considering the various uncertainties. In addition, the sizes of critical crack are determined by comparing the burst pressure of the cracked tube with the required performance criterion. Based on this result, the new repair criterion for the axially cracked tubes is defined from the reasonably conservative value such that the required performance criterion in terms of the burst pressure is able to be met during the next operating period.