SAA creditors convene urgent meeting

File: Government has allocated R10.5-billion to finalise SAA's business rescue plan. AFP/Michele Spatari 

JOHANNESBURG - Creditors of South Africa Airways will convene an urgent meeting on Friday.

Thursday marked the final day for the airline to have survived without the funding needed from the government to reboot the company.

READ: SAA running out of cash, BRPs warn

Over 3,000 of 5,000 SAA employees have accepted retrenchment packages.

They have, however, been left in the lurch with no cash to make the payouts.

READ: SAA approves over 3,000 voluntary severance package

The airline's business rescue practitioners say the creditors' meeting will convene on Friday as funding for the airline's restructuring has not been received as anticipated.

In terms of the SAA rescue plan, the airline needs at least R10-billion in short, medium and long-term funding for it to take to the skies again.

Source
eNCA