DPE welcomes vote in favour of SAA Business Rescue Plan
14 July 2020
The Department of Public Enterprises (DPE) welcomes the vote in favour of a business rescue plan for South African Airways (SAA) and applauds creditors and all stakeholders for realising 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.
At a meeting convened by the Business Rescue Practitioners (BRPs) for SAA, 86% of creditors voted to support a business rescue plan for the airline.
The DPE believes that the favourable vote is a much better outcome for creditors and SAA employees than liquidation, and government remains confident that the implementation of the business rescue plan will balance the rights and interests of all parties.
The priorities for the DPE are now give effect to funding commitments by government for the business rescue plan, appoint a new, and reconfigured interim board for SAA.