SAA board faces dismissal

Making room for a new set of comrades.

Oh and 10 internet points says lots of golden parachutes...
 
marine1 said:
How in gods name is SAA such a bloody mess? Was it like this during the old regime?
Click to expand...

I'm not sure SAA has ever been in a position to be profitable. In the old days they were just as much a tool of the government, couldn't overfly most of Africa etc. They couldn't have been making a profit back then.
Johannesburg's location means it can't be a regional hub. The altitude and ETOPS restrictions on many routes have limited the choice of aircraft in the past to less efficient options.

In short, SAA is in a geographically difficult position based so far south, then you factor in incompetence and mismanagement...
 
KhoisanX said:
I'm not sure SAA has ever been in a position to be profitable. In the old days they were just as much a tool of the government, couldn't overfly most of Africa etc. They couldn't have been making a profit back then.
Johannesburg's location means it can't be a regional hub. The altitude and ETOPS restrictions on many routes have limited the choice of aircraft in the past to less efficient options.

In short, SAA is in a geographically difficult position based so far south, then you factor in incompetence and mismanagement...
Click to expand...

Good post, thanks
 
To be honest, despite bad management or good management, few airlines in the world make a profit.

Take the case of Qantas which has been privatised, they have the biggest slice of the 5th busiest air route in world (Syd-Mel) with Syd-Bris (Gold Coast) not far behind, they have protection on routes such as trans pacific etc, yet they posted yet another loss at the end of FY (June 30) this time a record $2.85B loss. They claim to be en route this time for a profit.

Vis a vis Eskom and SAPO, again very few electricity companies make money without price and market protection and regulation, in particular in NSW there has been the practice of 'gold plating' whereby their pricing was linked to spending on capital, so they 'gold plate' the infrastructure i.e. add unnecessary poles and wires etc.

The PO is still govt owned but the outlets are franchised, and the model has changed to retail operations...still regulatory pricing and market protection is in place.

Yes, privatise SAA, but the reality is that in a free market situation they are unlikely to compete without shedding lots of people, routes etc...which is better model?
 
Brown set to meet with Kalawe over his SAA status

3421940953 (1).jpg
Johannesburg - Public Enterprises Minister Lynne Brown has scheduled a meeting early next week with Monwabisi Kalawe to try to resolve his status, the Department of Public Enterprises said in a statement on Thursday.

Kalawe’s status remains in dispute after the Department of Public Enterprises announced on Tuesday that Kalawe’s suspension as chief executive of South African Airways (SAA) had been lifted, a development that was reportedly dismissed by his lawyer as untrue.

“The parties agreed late on Thursday afternoon not to make any further public statements or take any further action on these matters until after the meeting,” the department said in a statement.

Tony Dixon and John Tambi, two members of the SAA board delegated by the board to deal with the current status of the CEO, will also attend the meeting. Brown will be represented by her special adviser, Brendon Roberts, who will chair the meeting, the department said.

Kalawe, who was suspended after clashes with SAA chairperson Dudu Myeni, had been replaced by Nico Bezuidenhout, as acting SAA chief executive, last Friday.

On Monday, Brown and Finance Minister Nhlanhla Nene had met the board of SAA over the government’s efforts to stabilise the money-losing airline.
Click to expand...

http://www.iol.co.za/business/news/brown-set-to-meet-with-kalawe-over-his-saa-status-1.1780028
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X