SAA suspends all operations

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rpm

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SAA suspends all operations

South African Airways administrators said they will decide within the next week whether to sell or liquidate the insolvent carrier if 10.5 billion rand ($620 million) pledged by the government fails to be delivered.
 
SAA NOTICE TO AFFECTED PERSONS

1. We refer to the meeting of creditors convened on 18 September 2020 and the undertaking by the business rescue practitioners (“BRPs”) to keep affected persons appraised of the developments in relation to the business rescue proceedings of the Company and more specifically, the raising of the required funding to implement the Business Rescue Plan and the steps to be taken in the absence of that funding being received by the BRPs.

2. There has been certain progress throughout the previous week in relation to the securing of funding for the implementation of the Business Rescue Plan, subject to certain terms and conditions. The BRPs and Government have engaged with certain funders that have indicated a willingness to provide a portion of the funding required for the implementation of the Business Rescue Plan. The BRPs are engaging with Government in relation to the securing of the remaining funding that is required to fully implement the Business Rescue Plan and what the implications would be for the Company if it receives a portion of the required funding.

3. In the same meeting the BRPs indicated that they needed time to assess and determine the appropriate way to proceed in the absence of funding, between the sale of the business and/or assets of the Company and its liquidation. The BRPs will be able to make that determination and conclude those details in the following week.

4. In the interim, the BRPs have made a decision to suspend all the airline operations with immediate effect and are pursuing a process to put the airline under care and maintenance until funding discussions are completed.

5. The BRPs will continue to keep affected persons fully informed as to the progress of these matters and how this will impact on the business rescue proceedings.
 
It is going to hurt us as government will be liable for the debt as far as I understand, but these blackholes are not sustainable.
 
Well done current government clown car. This really is one of your better good stories to tell. Big thumbs up to you né
:thumbsup:
 
Oh please. The budget will, as per usual practice, be siphoned off the medical equipment and infrastructure budgets, the budgets to upgrade the railways, the budgets to sort out our ports and the budgets to get our science and technology facilities back to where they should be.
If they close down SAA then you can all call me a naive fool- I really won't mind at all because I will be so happy.
 
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