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SAA seeks state bailout again

Johannesburg - South African Airways (SAA) is again seeking government support, two years after it was granted R5bn in loan guarantees, it emerged this week.

The request was disclosed after loss-making state-owned SAA failed to submit its annual report to parliament by a Tuesday deadline.

"SAA has made an application for an additional going concern guarantee," Public Enterprises Minister Lynne Brown told parliament, without disclosing a figure.

In 2012 the government extended a two-year guarantee of five billion rands in exchange for a vast restructuring.

When that guarantee was approved, irate opposition parties accused the government of wasting taxpayers' money, while some companies complained that it was distorting the market

Eighty years after its creation, SAA is battling with an ageing fleet and a weak national currency.

Air traffic across the continent is soaring and SAA has tried to build from its traditional European routes, but with mixed success.

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