Johannesburg (AFP)
The airline South African Airways (SAA) has a new bailout plan as part of a state-led restructuring process after a week-long strike last month, the South African government said on Thursday. a statement.
"The SAA Board of Directors has passed a resolution to bail out the company," said South African Minister of Public Enterprises Pravin Gordhan, quoted in the statement as saying that "this decision is supported by the government ".
The SAA Board of Directors also indicated that the company's bailout plan, scheduled to begin immediately, was decided after consultation with the shareholders and the Department of Public Enterprises to find a solution to its financial difficulties.
"After careful consideration, the unanimous conclusion was to place the company in commercial salvage in order to promote better performance for the creditors and shareholders of the company," said SAA spokeswoman Tlali Tlali Tlali in a statement. communicated.
The announcement comes after SAA went on a seven-day strike in November that resulted in the cancellation of hundreds of flights. The public group was unable to pay the full salaries of its employees in November and requested a loan of 2 billion rand (123 million euros).
SAA has not made a profit since 2011 and survives thanks to successive state rescue plans.
The company, which employs more than 5,000 people, is the second largest airline in Africa after Ethiopian Airlines. With a fleet of some 50 aircraft, SAA provides more than 35 domestic and international destinations.
© 2019 AFP