Few weeks left for SAA to be back in business - Dongwana
South African
Airline's (SAA) business rescue practitioner believe they could
exit the state-owned airline in a matter of weeks.
This was revealed by Business Rescue Practitioner Siviwe Dongwana while briefing The Standing Committee on Public Accounts (Scopa) on Thursday afternoon.
The struggling state-owned airliner was put under business rescue in 2019.
Dongwana said out of the R10.5 billion for the rescue of SAA, they have to date received R7.8 billion for the business plan.
"Having received the R7.8 billion we have a level of comfort that, we believe that the process would be coming to an end in a few weeks once certain key activities have taken place.”
He told members of Parliament that R10.5 billion funding have been broken into five categories.
The first is employee-related payments of R2.8 billion, followed by creditors close to R800 million, working capital R2 billion, and unflown tickets liability of R2.2 billion.
He explained that the R2.7 billion that not been received is meant for SAA subsidiaries like Mango and AirChefs.
"Of importance to us, is that the business rescue process resulted in the reduction of liabilities of the airline... is to the tune of about R35.7 billion."
