EDITORIAL: At last, SAA can depart — for good
The airline was always going to run out of runway, even without the shock inflicted by the Covid-19 virus
It has been a protracted, painful and expensive death but at last it is here. SAA has run out of funds and the government has said it is unable to fund it any further. While it took the Covid-19 crisis to deliver the last blow, the truth is that SAA was never going to make it even without the shock inflicted by the virus.
The story is almost too painful to repeat. Over the past decade SAA has received R16.5bn from the fiscus and still holds R9.2bn in debt backed by government guarantees. During roughly the same period it amassed losses of R28bn. Its liabilities outweigh its assets significantly. For years it has been technically insolvent...
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.