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What's up at SAA ??

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Old 9th May 2007, 18:22
  #21 (permalink)  
 
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Battling SAA may scrap Joburg-London flights
By TOM MAPHAM
IN A drastic cost-cutting exercise South African Airways may scrap several of its international flight services, including the Johannesburg-London route.
The cost-saving measures are part of a turnaround plan aimed to save the company that recorded a R650 million loss last year, its chief executive, Khaya Ngqula, said in an address in East London last night.
Addressing the Institute of International Affairs, Ngqula said the London-Johannesburg route could be one of the first expenses to go. Flying the route cost the national carrier R500m a year, he said.
http://www.dispatch.co.za/2007/05/08...ca/aalead.html
I think they mean London as in LHR, not as in ELS!
Capetonian is offline  
Old 9th May 2007, 19:38
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So - is KN actually saying that of the R650m loss, R500m is attributable to the Joburg-London route alone? That does not sound right. I know the 747s use a lot more fuel to London, but they do carry more pax. Maybe the yields are bad due to competition...........that's life, live with it or fix it.
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Old 9th May 2007, 23:51
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If they cannot make money on the LHR run...then they are a basket case and need to shoot someone. You cannot get a seat out of london...ever!!!
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Old 10th May 2007, 09:06
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Rumors? What rumours, or just some more rumours.

Deskjockey, as this affect me directly, what have you heard about CPT becoming a domestic station only? All International flights to be routed from JNB only.
Regarding this cutting of LHR flights, is this not just temporary while the B744 are put out to pasture and the Airbus fleet (ex India) comes on line?
The Jumbo pilots have to do conversions etc. and this will slow up the process. Have also heard that PAR is next to close.
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Old 10th May 2007, 10:05
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Sadly everything is still just rumours and speculation..........closing the LHR route will be the beginning of the end.

40% - 50% management will go in the next 6 weeks, then the turn of the junior staff.

The B744 will be withdrawn over a 9 month period, 1 wfu (SAX) 5 to go.

1st A343e back from Jet Airways, other 2 will arrive within a months time. (1st A343 going for a c check shortly).

SAA is closely looking at the B787?????

Rough times ahead for the SAA staff!!!
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Old 11th May 2007, 08:27
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Dikkes,

CPT may well become all domestic over time. Its looking like a better option to route all the capacity over JNB and feed to CPT via the scheduled domestic flights. Unfortunately the yield per set is better ex JNB than ex CPT in both cabins. Right now money talks and that’s bad news for CPT as an International station for SAA anyway, time will tell.
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