JOHANNESBURG (Reuters) – Cash-strapped state carrier South African Airways (SAA) said on Thursday it would “cancel and consolidate selected flights” to lower costs, days after it received a 3.5 billion rand ($244 million) government bailout to ease a mounting cash-flow crunch.
The government bailout from state-owned Development Bank of Southern Africa (DBSA) was announced on Tuesday. The treasury had initially promised a 2 billion rand rescue package, but that funding had stalled when Finance Minister Tito Mboweni insisted it be done in a way that avoids increasing the budget deficit.
DBSA - Loan - SAA - Loans - Creditors
Apart from the DBSA loan, SAA has also received bridging loans from commercial creditors.
SAA is fighting for its survival after it entered a form of bankruptcy...
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