R5bn more needed to get SAA back in sky


Johannesburg – South African Airways business rescue practitioners (BRPs) have asked for nearly R5billion in further bailouts from the government to rehabilitate the struggling airline.

The BRPs, Siviwe Dongwana, and Les Matuson, said in a new draft business rescue plan that they wanted the government to provide R4.6bn for them to continue with the process.

The draft plan was circulated to creditors, employees and the Department of Public Enterprises (DPE) yesterday.

The BRPs suggest that as the airline’s sole shareholder, the government through DPE, should fund the plan in order for them to turn the carrier into a viable and sustainable national flag carrier that provided international, regional and domestic services.

They further said the proposed plan was for discussion only and pleaded that it not be circulated to the media.

“Given that it is a draft and has not received agreement or comment from any of the relevant affected persons, we will not comment on the leaked draft to the media and will await input from the affected parties as is prescribed by the Companies Act. To assume and comment on this draft as if it is the final version would be very irresponsible,” the BRPs said.

DPE spokesperson Sam Mkokeli said the government had not yet discussed the plan but embraced the restructuring process as part of a path to a new, dynamic and financially viable airline that would serve the country’s economic and strategic interests.


Leave a Reply

Your email address will not be published. Required fields are marked *