SAA’s chairwoman Dudu Myeni recently made an appeal to Treasury for a R1.6-billion down-payment to Airbus to purchase new planes instead of leasing them.
This is despite SAA receiving more than R30-billion in government bailouts, loan guarantees and grants since 2007.
CapeTalk’s John Maytham spoke to Joachim Vermooten, Independent transport economist on whether the proposed plane purchase is viable or not.
According to Vermooten, SAA’s chairwoman’s proposal is troublesome because the company hasn’t published any financial statements or give an indication of where the company is standing.
It is troublesome that they haven’t published their March 2015 interim report— Joachim Vermooten, Independent transport economist
Listen to the full conversation below: