Mango Airlines (MNO, Johannesburg O.R. Tambo) resumed in-house flight operations on October 3, 2020, after reaching an agreement with sister firm South African Airways Technical over unpaid service bills.

The South African state-owned low-cost carrier's fleet had been grounded for a week after SAAT, on September 26, 2020, withdrew its maintenance services to both Mango and parent South African Airways (SA, Johannesburg O.R. Tambo) (in business rescue) over outstanding payments. This resulted in Mango having to wet-lease in aircraft from Global Aviation Operations (GE, Johannesburg O.R. Tambo) to fly its schedules, while SAA's administrators decided to effectively mothball the cash-strapped airline while it awaits government-funding to implement its business rescue plan.

Mango's Operations Manager Sybrand Strachan confirmed to ch-aviation the plan was for the airline to resume its own operations from October 3, 2020 after having reached an agreement with SAAT in terms of which the MRO would continue maintaining, servicing and providing daily pre-flight checks on Mango aircraft as per usual. This was also confirmed by Global Aviation Commercial Manager Lizané Albers.

Mango spokesperson Benediction Zubane declined to elaborate on the details of the agreement saying the payment arrangements were confidential.

"Mango is doing all within its power to restore operations to an acceptable level. We urge all our guests to always check our website for any changes to our flight schedule. We regret the inconvenience caused to all our stakeholders. We look forward to flying you again in the near future."

Mango's fleet entails fourteen B737-800s of which around half have been active over recent weeks. It currently connects Johannesburg O.R. Tambo, Cape Town International, and Durban King Shaka.

South African Airways Technical (SAAT) on October 4 issued a statement confirming it had reached agreement with Mango and SAA; and that it had begun to reinstate aircraft maintenance services. It confirmed Mango's aircraft had returned to service on October 3, while the suspension of services to SAA were lifted on September 30 after the airline had made a payment to SAAT. The airline's planned charter flights this week were consequently not impacted. Going forward, the parties had agreed that SAAT would receive upfront payment for services, said SAAT Chief Executive Officer, Adam Vos. “The decision we took to suspend services...was not taken lightly. We had to protect our commercial interests, which extend to the wellbeing of our employees who were adversely impacted by the cashflow challenges we experienced, resulting in payment of 25% of their salaries for the month of September,” he explained.

SAAT said it continued to have discussions with two other customers over unpaid payments, but declined to name them.

All three companies in the South African Airways Group are dependent on the government finding a funding solution. SAA needs at least ZAR10.3 billion rand (USD622.1 million) over the next three years to implement its business rescue plan, while Mango and SAAT need at least ZAR1 billion each (USD60.3 million) in recapitalisation.