NATIONAL Treasury has once again
asked for more time to allow SAA
to table its 2014/2015 financial
statements. A new deadline has
been set for July 15. This is the
third extension; the airline was
first due to submit financials in
September last year.
SAA has been unable to table its
financial results because it is said
to be technically insolvent, needing
a R5bn government guarantee to
continue to operate as a going
concern.
Whether SAA will receive a new
guarantee depends on the appointment
of a new board. The airline’s board of
directors was put on notice by deputy
finance minister, Mcebisi Jonas, in
early May. Jonas said during a debate
in the National Assembly that the
airline would only receive financial
support from the Treasury once a new
board was in place.
Dennis George, general secretary
of the Federation of Unions of South
Africa (Fedusa), said that he supports
Jonas’s statement that the airline
should only receive additional financial
support from the Treasury once a new
board is in place. “It is important to
transform SAA and to introduce new
ethical leadership on the board of SAA
to advance good corporate governance
and to root out corruption.”
Meanwhile, there have been
no further announcements
with regard to the proposed
merger of SAA, SA Express
and Mango or a suggested
minority partner for the
airlines. Treasury was quoted
in Business Day as saying
it was finalising the terms
of reference to issue a
tender for advisers to give
recommendations on the
merger.
