Embattled national carrier South African Airways
(SAA) faces possible liquidation if creditors and government do not reach an agreement over funding for the implementation of the Business Rescue Plan.
Government says it is considering several proposals from potential strategic equity partners as it continues to try and source the R15 billion funding needed to save SAA.
Business Rescue Practitioners have confirmed they will be meeting with creditors on Friday as they have not yet received the anticipated funding sourced by government for the restructuring of the airline.
Department of Public Enterprises spokesperson, Sam Mkokeli, says government is committed to saving the airline and the jobs of its employees.
“Business Rescue Practitioners say the money needs to come through and the money has not come through. The government is the sole shareholder and therefore government must provide funding.The creditors are meeting tomorrow and government is continuing with its work to make sure that the plan has a greatest chance of being implemented. Government has made a very strong undertaking about protecting jobs and also about protecting the airline. ”
SAA’s fate is discussed in the video below: