Question NW593 to the Minister of Finance
06 June 2017 - NW593
McLoughlin, Mr AR to ask the Minister of Finance
Whether SA Airways’ management has put any plans in place to approach National Treasury for financial assistance in the foreseeable future; if so, (a) what is the estimated amount involved and (b) for what specific purpose will the financial assistance be required?
Reply:
The Board and management undertook a two-day strategy planning session and identified the following 5 key strategic pillars to transform SAA into a financially sustainable aviation group:
- Liquidity;
- Balance Sheet Restructuring;
- Revenue enhancement;
- Cost optimization; and
- Strategy direction
Furthermore, Seabury was appointed to assist the airline with the review of the LTTS, particularly to determine its appropriateness for SAA. The results of this review will form the basis for a five (5) year fully funded Business Plan. Once the 5 year business plan has been finalised, management will be in a position to determine whether or not it will need financial assistance from the shareholder, the quantum and the timing thereof.