• Nene's SAA nemesis

    No political figure seems to have the guts to speak out against Dudu Myeni, says Solly Moeng.

  • The mp3 revolution

    Ian Mann takes a look at the war between digital music and the compact disc.

  • Don't take us for fools

    It's time for businesses to stop thinking consumers are gullible, says Mandi Smallhorne.

All data is delayed
See More

SAA bleeding cash

Nov 20 2012 11:32
James-Brent Styan
Cape Town – South African Airways (SAA) is bleeding cash. The airline has reported a net cash outflow of R396m in the year to March 31 2012.

The airline has finally released its full-year results, following a period of turmoil at board and executive level.

The final loss for the year after tax was R1.06bn, on a turnover of R22.4bn.

In the director’s report, signed off by acting chairperson Duduzile Myeni and former CEO Siza Mzimela, it is noted that
the airline remains a massively undercapitalised business.

“The directors have given consideration to the short- to medium-term cash flow requirements of the airline. In light of the potential adverse cash flow impact arising from the state of the global airline industry, SAA approached the shareholder for a guarantee to be made available to the amount of R5bn.

"This guarantee has been granted and will be effective from September 1 2012 to September 30 2014,” the director report reads.

The director report further notes that “ the shareholder has indicated that the capital adequacy and business model of the SAA will be assessed".

 - Fin24

Follow James-Brent Styan on Twitter by @jamesstyan.



Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


Marketing is a big concern in SA's small business community, followed by a lack of confidence and partnering with the wrong people, according to a survey.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

The 25 basis points interest rate increase is:

Previous results · Suggest a vote