South African Airways retires its last A340-200 from active service

The South African government is investigating which of its state assets it can sell off as it comes to the aid of South African Airways (SA, Johannesburg O.R. Tambo) with a ZAR2.2 billion (USD166.5 million) loan, reports Business Day. The government made the decision to bail out the airline in early July, afraid that a default would trigger a call on the National Revenue Fund guarantee.

"The government's decision to settle a debt owed by the airline to Standard Chartered Plc mustn't affect ...

The government of South Africa has stepped in with a loan repayment on behalf of South African Airways (SA, Johannesburg O.R. Tambo) to prevent the airline from defaulting on a matured debt with Standard Chartered Bank. ZAR2.2 billion (166.5 million) has been drawn from the National Revenue Fund (NRF) to allow the airline to pay off the loan, according to a National Treasury statement.

"A default by the airline would have triggered a call on the guarantee, leading to an outflow from the NRF ...

Debt-laden South African Airways (SA, Johannesburg O.R. Tambo) is renegotiating its loans, with ZAR9 billion (USD696 million) due and payable by June 30. The airline has announced that only one lender has asked for a full repayment, with the other loans supported by a government guarantee of ZAR19.1 billion (USD1.47 billion).

"We remain optimistic that the company will meet its loan obligations as these become due through negotiations with lenders and other initiatives," said Musa Zwane, ...