SAA in Business Rescue?

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llondel
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Re: SAA in Business Rescue?

#21 Post by llondel » Tue Jan 21, 2020 7:21 pm

That's always the thing about a business - if you can make more money by selling up and investing the cash, then that might be a better option if you're the owner.

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Re: SAA in Business Rescue?

#22 Post by Capetonian » Tue Jan 21, 2020 7:56 pm

A few years ago I was involved in the sale of a travel company. The two owner/directors each took an equal share of the proceeds. One started another travel agency, one invested his money.
One is now more or less broke, the other is doing OK.
I'll leave you guess which is which.
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Re: SAA in Business Rescue?

#23 Post by TheGreenGoblin » Tue Jan 21, 2020 10:11 pm

"En 'n vrou sal jy dood maak in 'n donker kamer met 'n hael geweer"

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Re: SAA in Business Rescue?

#24 Post by ian16th » Tue Jan 21, 2020 10:16 pm

TheGreenGoblin wrote:
Tue Jan 21, 2020 10:11 pm
Coleman Andrews
He was quite simply a con artist!
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Re: SAA in Business Rescue?

#25 Post by TheGreenGoblin » Tue Jan 21, 2020 10:18 pm

ian16th wrote:
Tue Jan 21, 2020 10:16 pm
TheGreenGoblin wrote:
Tue Jan 21, 2020 10:11 pm
Coleman Andrews
He was quite simply a con artist!
+1
"En 'n vrou sal jy dood maak in 'n donker kamer met 'n hael geweer"

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Re: SAA in Business Rescue?

#26 Post by TheGreenGoblin » Tue Jan 21, 2020 10:29 pm

Rumour is that Delta are looking to extend their Johannesburg slots. A bit of a feeding frenzy going on out there.

BAA trying to grab more of the Cape Town action and stick a finger in Mango's (i.e. SAA's) eye?

Properly managed, Heathrow - Cape Town should be a very lucrative route with enough space for competition.
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Re: SAA in Business Rescue?

#27 Post by Capetonian » Tue Jan 21, 2020 10:37 pm

Zuma's cronies made Coleman Andrews/Bain/McKinsey look like saints.

Worth reading : www.amazon.com/Jetlag-Sa-Airways-Andrew ... 067004783X
Properly managed, Heathrow - Cape Town should be a very lucrative route with enough space for competition
BA make it pay with up to 4 flights a day (peak of peak, 3xLHR, 1xLGW), even when VS and Thomas Cook competed.
SAA could never make it pay, same as they can't make JNB-LHR pay.
SAA's excuse was that the 'plane sits on the ground at LHR all day and is non-productive. True.
BA's planes sit on the ground in CPT/JNB/DUR all day, but they make a profit.
Until the ANC stop using SAA as a free air taxi service and top jobs for their buddies/squeezes, it will never pay.
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Re: SAA in Business Rescue?

#28 Post by ian16th » Wed Jan 22, 2020 1:34 pm

So that it then.

SAA will be kept going as the ANC's taxi service and jobs for the boys, all at the Tax Payers expense!
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Re: SAA in Business Rescue?

#29 Post by TheGreenGoblin » Wed Jan 22, 2020 3:22 pm

ian16th wrote:
Wed Jan 22, 2020 1:34 pm
So that it then.

SAA will be kept going as the ANC's taxi service and jobs for the boys, all at the Tax Payers expense!
It is this kind of foolishness that will result in South Africa's credit status being downgraded yet again!

http://theconversation.com/south-africa ... low-121765

The stupidity in magining that an ANC government restructuring of SAA will yield anything more than an accelerated decline of what is left of this business is breathtaking.
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Re: SAA in Business Rescue?

#30 Post by Capetonian » Wed Jan 22, 2020 3:38 pm

Capture.JPG
I am very releaved to see these news today.
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Re: SAA in Business Rescue?

#31 Post by Woody » Thu Jan 30, 2020 8:43 pm

They’ve only gone and done it again :((

https://www.businesstravelnews.com/Tran ... Operations
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Re: SAA in Business Rescue?

#32 Post by ian16th » Fri Jan 31, 2020 6:24 am

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Re: SAA in Business Rescue?

#33 Post by Capetonian » Fri Jan 31, 2020 7:28 am

Given that those flights have been losing money, why has it taken so long for them to realise and take action?

They are almost certainly still losing money on LHR. That's one that needs to be plugged. They have high overheads due to staffing costs, as it's a prestige position so guess who gets the London postings? If these were competent NRs, fantastic, but they're not.

Looked at flights next week, average load is 50%. Most of the premium passengers are on discounted fares. BA's loads aren't brilliant, but much higher.
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Re: SAA in Business Rescue?

#34 Post by ian16th » Mon Feb 03, 2020 3:19 pm

Finalisation of SAA’s post commencement funding

The business rescue practitioners of South African Airways SOC (the Practitioners), supported by the Departments of Public Enterprises (DPE) and National Treasury (NT), have been successful in obtaining the balance of the post commencement funding (PCF) required to meet the short term liquidity requirements of the airline for the period until the business rescue plan (the Plan) is published and adopted. This Plan is required in terms of Section 150 of the Companies Act and is the responsibility of the Practitioners.

The advancement of the funds comes on the back of the business rescue process which began on 5 December 2019, with the local commercial banks providing the initial PCF of R2 billion in addition to the existing exposures to SAA. Discussions held with financial institutions have been fruitful with the Development Bank of Southern Africa offering to provide the next tranche of PCF, for a total amount of R3.5 billion, with an immediate draw-down of R2 billion. Furthermore, funding for the restructuring phase after the Plan is adopted is being considered by potential funders.

The restructuring of SAA will provide an opportunity to develop a sustainable, competitive and efficient airline with a strategic equity partner remaining the objective of government through this exercise and will result in the preservation of jobs wherever possible. SAA is a key strategic asset which needs to be positioned to provide reliable connectivity to markets within South Africa, the African continent as well as servicing selected international routes. Stakeholders of the airline should now have comfort that the rescue process is on a significantly sounder footing, and that passengers and travel agencies and airline partners may continue to book air travel on SAA with confidence.
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Re: SAA in Business Rescue?

#35 Post by Capetonian » Mon Feb 03, 2020 3:22 pm

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Re: SAA in Business Rescue?

#36 Post by ian16th » Thu Feb 06, 2020 1:56 pm

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Re: SAA in Business Rescue?

#37 Post by ian16th » Thu Feb 06, 2020 2:38 pm

Wine improves with age
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Re: SAA in Business Rescue?

#38 Post by Woody » Wed Feb 12, 2020 7:10 pm

Virgin Atlantic are reintroducing direct flights from LHR to CPT from October as a seasonal destination, providing a bit of competition for BA.
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Re: SAA in Business Rescue?

#39 Post by ian16th » Wed Feb 12, 2020 8:45 pm

Wine improves with age
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Re: SAA in Business Rescue?

#40 Post by Woody » Fri Feb 14, 2020 10:58 am

Can the last person to leave,please feed the cat.

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