SAA completes 90-day action plan
Fin24

SAA completes 90-day action plan

2015-03-27 17:38

Johannesburg - South African Airways (SAA) this week completed the 90-Day Action Plan that commenced on December 9 2014.

The plan, a roadmap to return the carrier to relative stability, was developed to return the business to full implementation of its broader and now refined turnaround plan, the Long-Term Turnaround Strategy.

“We have worked closely with our shareholding ministry, National Treasury, to work toward and realise the objectives of the 90-Day Action Plan. SAA has returned to relative stability," said SAA acting CEO Nico Bezuidenhout on Friday.

The airline hopes to provide more information by mid-April following an audit of the 90-Day Action Plan outcomes.

The 90-Day Action Plan has six main areas of focus set by the SAA board:
 
- To immediately address the airline’s liquidity position, ongoing solvency and medium-term funding requirements;

- To immediately investigate options to future-fund the business;

- A substantial focus on governance defects and remedies;

- Legal and high-level governance;
 
- Reorganisation and optimisation of assets;

- Improved communication.  

In its statement SAA pointed out that it supports 33 000 jobs in South Africa and contributes R10bn, or approximately 0.3%, to the country’s gross domestic product (GDP) every year.

Approximately 40% of all passengers and more than 50% of all air cargo within and to South Africa last year was carried by the SAA group or under the SAA code.
 
"No South African airline trains more pilots and technicians, procures more from local suppliers or have taken more steps to protect the environment than SAA," according to the airline.

Comments
  • Bruce Gatland - 2015-03-27 18:30

    SAA have had so many "turnaround plans", they are spinning. They are a tacky, arrogant and unfriendly little airline and they would have closed down long ago if they weren't regularly bailed out with tax-payers money. Just close SAA down. Government won't do this, because then where would the useless politicians get their free flights. Sponsored by us.

      Assis Pontes - 2015-03-27 21:00

      When will SAA be cutting staff numbers down in order to be equivalent to other airlines of the same size?

      Louis Olivier - 2015-03-28 07:47

      As soon as SA is on an even keel, an AA will replace Nick and it's back to square one all over again

  • Angela Heywood - 2015-03-27 19:26

    But SAA no longer fly to Miami, USA or lots of Europe destinations, such as Paris! But if JZ and his crowd say there is no "crisis" in SAA, or ESKOM or any other lot that the government run, then hey what's all the fuss about?! I mean after all, what's a bit (or should that be a lot) of corruption, fraud etc. here and there? The government will NEVER willingly privatise ESKOM or SAA. Why? Because then they will no longer be able to get their huge kickbacks!

  • Tony De Wijn - 2015-03-28 06:48

    SAA employs far too many people earning far too much money compared to other airlines of that size. Also stupid business decisions like stopping the route to Miami which was full every night of the week and selling SAA's gate at Heathrow for a pittance when it was actually worth a fortune. No wonder the taxpayers have to cough up R14bn to keep this weak airline afloat just to keep a few parliamentarians happy with free flights.

  • Daniel de Faria - 2015-03-28 20:09

    Window dressing just like the BBBEEEEE legislation

  • Owen Wolf - 2015-06-03 20:52

    Support the local economy with talk of SAA discontinuing local flights - Great for the SA economy

  • Erney Breytenbach - 2015-07-19 11:40

    With infighting, mistrust, corruption and politicking, how in God's name is anything going to change in SAA ? This 90 Day Action Plan will be a lot of hot air as top management are not capable of working together for the survival of SAA, but instead working individually to suit their own personal agenda's. Privitize SAA and plough the proceeds into Eskom or service the billions SAA owes government. A privitized SAA will become profitable within two to three years.

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