Mango Airlines has entered into consultation with creditors after being unable to generate significant revenue due to the COVID-19 lockdown in SA.
According to reports, Lanseria Airport is seeking to recover R5,5m from the low-cost carrier for fuel and a further R13,2m for services. A spokesperson for the airline told Travel News that the matter with Lanseria Airport was currently a legal one and the carrier could therefore not comment on specifics relating to the case.
“The COVID-19 pandemic and the necessary lockdown instituted by our President to conserve the lives of our people has negatively affected the domestic airline industry significantly, including Mango Airlines,” the spokesperson said.
“The inability to generate revenue for a long period during the lockdown and the limited capacities we are allowed to operate under current restrictions means that we have had to embark on a consultation process with our creditors to find ways of entering agreements that suit both parties. This process has not been an easy one, but given that the problem is not unique to Mango Airlines we have had some positive outcomes.”
The airline did not comment on rumours that it is technically insolvent.
Commenting on the progress toward appointing a CEO after the departure of Nico Bezuidenhout in August, the spokesperson said only that the matter was being handled by the Mango board and feedback on progress would be made available in due course.
Mango is currently operating flights to Johannesburg, Durban and Cape Town and will add flights to George and Port Elizabeth from October 1.