NATIONAL AIRLINE
CAROL PATON: Is a sale or business rescue really the best call for SAA?
With R55bn of taxpayers’ money down the SAA hatch, the public has a right to know — in as much detail as necessary — what is happening at the airline
What a rash of bad headlines last week for South African Airways (SAA). First, we learned that it is not R5bn the airline needs to save itself, as previously reported. It needs to raise R21.7bn over the next three years, some of it debt and some of it equity. The R5bn previously reported was just the bridging finance required until a hoped-for recapitalisation in October. Then we learned that SAA boss Vuyani Jarana attempted to present the latest financial results behind closed doors when briefing MPs last Thursday. The meeting was eventually cancelled. And when the financial report was released later that afternoon after a scuffle with the DA, we learned that SAA had far bigger losses than expected: R5.6bn for 2017-18. At the end of it all it looked blindingly obvious that SAA must be sold or rescued. Commentators rushed to say so. But how considered is that view? It’s a pity that Jarana did not make his presentation on Thursday. He has a story to tell, not that much of a good stor...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.