SAA flights halted by lack of funds

long stand-off between the Treasury and the department of public enterprises.

In a letter to affected parties on Tuesday, practitioners Les Matuson and Siviwe Dongwana said there had been certain progress in securing funding for the business rescue plan. The business rescue practitioners 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 plan,” the letter says.

The practitioners are engaging with the government in relation to the securing of the remaining funding 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.

Dongwana andMatuson said they need 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

This decision will be determined next week but in the interim the practitioners have mothballed all SAA operations. The practitioners 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,” the letter concludes.

THE PRACTITIONERS HAVE MADE A DECISION TO SUSPEND ALL THE AIRLINE OPERATIONS WITH IMMEDIATE EFFECT