SA Express has announced that it will suspend all operations.
“In light of adverse recent developments including the impact of the COVID-19 pandemic, SA Express announces that it will suspend operations from 18 March 2020 until further notice,” read a statement on the matter.
“This decision will impact both SA Express customers and staff.”
SA Express said that all customers will be accommodated on alternative flights. All non-critical SA Express staff will be placed on compulsory leave.
“The airline will utilise this period to review its current network and streamline operations for improved efficiency. SA Express will provide communication on any additional developments in due course.”
The suspension of operations follows SA Express seeking legal advice after a high court decision ordering the airline to be placed under business rescue.
The order on the airline – which falls within the ambit of the Department of Public Enterprises – was made by the Johannesburg High Court in February.
This followed an application lodged with the court by a transport company seeking to recover funds from the airline.
In January, however, SA Express had released a statement which stated that SAA must pay outstanding revenues which it owes the airline.
“Over the last two months SA Express has been battling to retrieve monies owed by SAA,” SA Express said.
“The national carrier failed to pay revenues owed to SA Express as a consequence of SAA’s business rescue status.”