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Old 28th Aug 2016, 08:52
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GordonR_Cape
 
Join Date: Dec 2015
Location: Cape Town, ZA
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You could write a whole book about the mis-management of SAA, which has been ongoing for years. The need for repeated bailouts by the taxpayer have not helped stabilise the situation, and political interference in the running of the state-owned entity has made things worse. For the latest saga see: Zuma/Gordhan rift over SAA is false - Presidency | Fin24

Some critical aspects have now come to a head, and while the risks of liquidation are real, such an outcome would be unrealistic, since the airline is too-big-to-fail. Expect some sort of compromise, which will postpone the immediate crisis, but with no long term solution in sight.

BTW, the photo at the top of the article inadvertently highlights one of the most obvious problems faced by SAA, its ownership of A340 four-engine jets, which are no longer fuel efficient, and have plummeted in resale value.
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