News
Trulli
A South African Airways A340 pushing back at Washington Dulles International Airport (Photo: AirlineGeeks)

SAA Suspends All Operations As Government Continues to Look for Money

On Tuesday, Business Rescue Practitioners (BRPs) announced that South African flag carrier South African Airways has suspended all operations and the airline put under "care and maintenance" until the ongoing discussions between the BRPs and the government lead to a deal with suitable funding for the airline. All existing cargo and repatriation services will be completed with no new operations accepted. The government is yet to come up with the 10 billion rand ($590. million) needed for the carrier to…

Virgin Atlantic Wins Support of Creditors for Restructuring Plan

Virgin Atlantic has today won the support of its creditors over a 1.2 billion-pound ($1.58 billion) rescue package deal. The capital, only 400 million pounds of which is "new money," is supposed to keep the airline afloat for at least the next 18 months. Shareholders and suppliers to whom the…

Air France, Pilot Union Agree to Domestic Restructuring Effort

Air France and its main union, SNPL, have agreed to a restructuring that will allow Transavia France to fly domestic routes, Air France-KLM Group announced in a press release. The agreement will allow Transavia France to operate on domestic Air France flights and changes mid-range activity guarantees in line with…

Creditors Approve New Rescue Plan for South African Airways

South African Airways has had yet another business rescue plan approved by creditors. The new plan requires at least 10 billion rands funding ($596 million) of government funding to sustain the airline. This was approved during a creditors meeting held on Tuesday, July 14 by 86% of voters, as reported…

South African Airways Sends Airbus Aircraft to Spain for Long-Term…

South African Airways has sent its Airbus A330-200 and A350-900 to Teruel Airport in Spain for long term storage amid locked horns with staff and management over the furloughing process and calls to liquidate the airline. Teruel Airport is located in Spain outside the town of Teruel and hosts aircraft…

Kenya Airways Gears Up for Government Takeover Amid Massive Layoff…

In a bid to retain its financial flexibility and optimize on the lack of connectivity throughout Africa, the government of Kenya is on the verge of nationalizing its flag carrier to retain market share while aiding the troubled airline in its restructuring process. Lawmakers passed the nationalization bill which entails…

South African Airways to Receive $1.2 Billion Government Bailout

The South African government has agreed to finance the restructuring of South African Airways (SAA) as indicated in a copy of a draft plan shown on Monday. The draft plan involves a government agreement to spend R21 billion ($1.2 billion) to restructure SAA. According to the draft plan, a working…

South African Airways Liquidation Unlikely for Now

The immediate liquidation threat of South African Airways (SAA) may be averted for now as announced by the Department of Public Enterprises (DPE) on Saturday. The new deadline for the proposed employment agreement has also been extended to May 1, 2020. DPE also acknowledged an agreement was reached in a…

South African Airways Axes Routes to Regain Profitability

As part of the bankruptcy protection process initiated at the end of 2019, South African Airways last week announced a series of measures that seek to return profitability to its operations. The process is in the hands of two consultants specialized in these practices, led by Siviwe Dongwana and Les…

South African Airways Announces Employee Cuts in Restructuring Effort

Financially riddled South African Airways has announced a restructuring plan that would cut one-fifth of its workforce. Over the past few years, the airline has been reliant on government financial support to continue its operations but has now started working with its labor unions to develop a restructuring plan that…