SAA's rescue plan needs over R10bn to work

Johannesburg - Administrators at state-owned South African Airways said on Tuesday the government needed to find more than R10 billion of new money for a long-delayed plan to rescue the cash-strapped airline.

The administrators took over SAA in December, when the company entered a local form of bankruptcy protection called business rescue after almost a decade of financial losses. Their rescue plan has been repeatedly delayed amid fierce wrangling over SAA's future, with senior officials and trade unions applying pressure for the airline to be saved despite the Covid-19 pandemic exacerbating its longstanding frailties.

SAA has not made a profit since 2011 and has burned through more than R20 billion of bailouts in the past three years. It suspended commercial passenger flights in late March, when the government imposed one of Africa's strictest coronavirus lockdowns.

busrep Mentioning past bailouts is unhelpful and financially irrelevant. The decision should be based on the viability and calculated financial, social and political return of the new bailout being discussed

busrep PRIVATISE and stop wasting people's taxes!! This is a form of Looting by the ANC! STOP!!!

busrep Where will the 10bn come from?

busrep Close it Cut your losses Don't give in to unions, they get paid no matter what Just scrap it and the idea of a flag carrier Rather pay a private company to paint the flag on their aircraft - that'll save you billions

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