in Air Transport

South African Airways collapses with new airline to be formed

Posted 6 May 2020 · Add Comment

The South African government National Transport Movement (NTM) has announced it is to shut down South African Airways and form a new airline.

 

The Department of Public Enterprises said that the new airline would ideally have a mix of governmental and private ownership.

 

SAA, which is 86 years old, which has recorded no profit since 2011, is heavily indebted and only survived thanks to regular cash injections from the state. Over the past three years, more than $1.1 billion have been injected into the company.

 

In terms of the agreement, the government will source 2.2 billion Rand (105 million euros) funding for severance packages.

 

The government warned the 5,200 people currently employed by SAA that sacrifices would need to be made. 

The National Transport Movement (NTM) president, Mashudu Raphetha said: “It is a very sad day for the whole of the Republic that South African Airways is now going to shut down and we are now going to witness the emergence of the new airline.”

Other Stories
Advertisement
Latest News

TIMES Aerospace TV supports SIAA2020

Watch the news round up on TATV with Alan Peaford and Marcelle Nethersole in support of Day 2 of the Safety in African Aviation conference.

International consortium reveals three remaining D-2/AtlaCom-1 payloads

Nanosatellite bus manufacturer and mission integrator, NanoAvionics - which is working in collaboration with South Africa's Dragonfly Aerospace and CubeCom - has revealed the remaining three payloads of its D-2/AtlaCom-1

Gulfstream’s G500 and G600 demonstrate additional capabilities

Gulfstream Aerospace has said the next-generation Gulfstream G500TM and Gulfstream G600TM have demonstrated additional range capabilities through real-time operations.

Paramount to expand its support for ATAC

Paramount Aerospace Systems USA (PAS USA) - a subsidiary of Africa based Paramount Group - will expand its maintenance, repair and overhaul (MRO) services and training support for the Mirage F1 fighter fleet operated by the Airborne

Ethiopian Airlines receives two Dash-400 aircraft

De Havilland Aircraft of Canada has delivered two Dash 8-400 aircraft to Ethiopian Airlines.

WMO and IATA agree to improve aircraft meteorological reporting

The International Air Transport Association (IATA) and World Meteorological Organization have signed an agreement to increase and improve the automated reporting of meteorological data by commercial aircraft.

Airport Show SK2710091220
See us at
Aviation MENA 2021Aviation Africa 2021CONNECT BT0610090421