SAA-Is this the end, finally
Public Enterprises Minister Pravin Gordhan has rejected the SAA business rescue practitioners’ request for a further R10 billion.It looks like it's finally the end of the runway for beleaguered South African Airways (SAA) after Public Enterprises Minister Pravin Gordhan rejected a request for a further R10 billion to keep the airline going.
In a letter from the department on Tuesday, business rescue practitioners’ were told the government would not 'support the extension of the foreign currency borrowing limit to permit foreign financing of the business rescue plan, nor for a care and maintenance budget'.
SA Flyer magazine's Guy Leitch says this is the final nail in the coffin for the airline.
If the government turns off the taps now, as it seems to me they have no option to do, the airline's not going to be able to pay its salaries at the end of this month...
Guy Leitch, Managing editor - SA Flyer Magazine