South African Airways says needs $976m bailout to avert crisis

South African Airways says needs $976m bailout to avert crisis

Friday, August 4, 2017 9:59 am


South Africa’s state-owned airliner says it will face a liquidity crisis if it does not receive a 13 billion rand (976 million dollars) cash injection from the Treasury to meet its debt obligations and cover operating costs, it said on Friday.

South African Airways (SAA) said in a financial plan presented to parliament that its modelling showed it was not generating enough cash.

However, it said that it would turn a profit by 2019 on an EBITDA basis.

The airline also said debt maturities had been negotiated and extended to the end of September this year.
(Reuters/NAN)

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