South African Airways Techical suspends services to parent over nonpayment
South African Airways' maintenance subsidiary has withdrawn services to its parent after the struggling airline failed to pay money owed to the unit, an SAA spokesman said on Saturday.
Administrators took control of SAA in December after almost a decade of financial losses, and have been trying to keep it afloat as the coronavirus pandemic compounds its problems.
Spokesperson Tlali Tlali said SAA Technical, a subsidiary of SAA that provides vital maintenance services including inspections required before a flight can take off, had informed the airline of its decision in a letter.
"SAA Technical... as a company registered on its own is pursuing its commercial interests," Tlali told local news channel eNCA, adding that meetings would take place over the weekend to try to resolve the issue.
He added that while SAA was not operating commercial flights, it has been doing repatriation flights for South Africans stuck overseas due to the pandemic and some charter flights.
Those services could be interrupted if SAA Technical does not restore its services.
Another SAA subsidiary, Mango, is currently operating domestic commercial flights.
Mango said it was currently operating as normal and that "sensitive discussions" were underway with SAA Technical to ensure services would not be disrupted.
SAA's administrators published a rescue plan in June that requires more than 10 billion rand ($584.16 million) to work.
The Department of Public Enterprises has said it is in the process of finalising funding and that the airline would not be liquidated.
"As matters stand, we are waiting to hear from the shareholder (government) to give us an indication as to when funds will be made available," Tlali said, adding funding was needed in the short term.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Rittal is a world leading provider of top-quality integrated systems for enclosures, power distribution, climate control, IT infrastructure and...
VISIT SHOWROOM
SmartMine IoT has been developed with the mining industry in mind, to provides our customers with powerful business intelligence and data modelling...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
