South African Airways’ (SAA) business practitioners say while they take note of the comments on their recent actions to restructure the beleaguered airline, the decisions were taken in the best interests of the state-owned carrier.
Unions, provincial governments, the Department of Public Enterprises and President Cyril Ramaphosa earlier criticised Thursday’s announcement that SAA will be cancelling most of its domestic and international routes.
In a statement, business practitioners Les Matuson and Siviwe Dongwana say the actions are aimed at improving the airline’s balance sheet and to ensure that the company is more attractive for potential strategic equity partners.
Earlier, President Ramaphosa said: “We are not in agreement with what the rescue practitioners have come up with that domestic flights should be cancelled and we want to find out what the rationale is because SAA is not only a great symbol for the country, but it is also an economic enabler and we would like SAA to remain a robust and successful airline. That is why we took the decision not to close SAA.”
Meanwhile, KwaZulu-Natal Premier Sihle Zikalala says the province will seek to hold an urgent meeting with national government to discuss the decision of SAA to cancel most domestic as well as some international routes. Zikalala says SAA’s decision will negatively affect KwaZulu-Natal’s economy.
SAA Business Rescue Practitioners respond to stakeholders’ comments:
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