STATE-OWNED ENTERPRISES
SAA assures stakeholders it is not filing for bankruptcy
The airline expects its recovery to take until at least 2020/2021
SAA has assured creditors, suppliers and its travelling customers that it is not bankrupt and that its turnaround strategy is already bearing fruit. In a statement released on Wednesday, airline spokesperson Tlali Tlali emphasised that the state-owned airline will not be filing for bankruptcy. Concerns over the ability of SAA to continue operations have been prompted by its delay in finalising its annual financial statements for 2017/2018 and tabling them in parliament by the end of September as required by law. Public enterprises minister Pravin Gordhan has alerted the speaker of the National Assembly, Baleka Mbete, that this will not happen. Delays in tabling financial statements are often due to concerns raised by the auditor-general over whether an entity is a going concern. The Treasury this week reported it has increased its impairment provision on SAA to R23bn, from R13bn in the previous financial year. SAA is expected to make a R5.7bn loss in the 2017/2018 financial year and...
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