Department of Public Enterprises
86% of creditors have voted to support a business rescue plan for South African Airways (SAA).
The public enterprises department confirmed this in a statement welcoming the vote in favour of the SAA business rescue plan.
The department applauded “creditors and all stakeholders for realizing that a new, restructured, competitive airline, born out of the old, is the best option to immediately take back to the skies and preserve the brand of a national carrier”.
The department regards the favourable vote as a much better outcome for creditors and SAA employees than liquidation.
The priorities for the department are now to give effect to funding commitments by the government for the business rescue plan and appoint a new and reconfigured interim board for SAA.
The department declared that government is committed to mobilising the necessary resources to fund the transition including the Voluntary Severance Packages agreed with the unions and meeting the minimum requirements of the Labour Relations Act and Basic Conditions of Employment Act.