SAA has put more than half of its Airbus A340 fleet and a variety of spare parts up for sale, as part of efforts to restructure. This follows the carrier’s decision last month to voluntarily enter business rescue proceedings after filing with the Companies and Intellectual Property Commission on 5 December.
In a tender notice published on its website, SAA announces the sale of nine A340-300/600 aircraft, 15 aircraft engines – including CFM International CFM56s and Rolls-Royce Trent 500s – and four auxiliary power units (APUs).
Les Matuson – director of Johannesburg-based advisory and turnaround specialist Matuson Associates – has been appointed to oversee restructuring.
This comes even as South Africa is scrambling to secure extra funding in a last-ditch bid to to rescue the national carrier and around 10,000 related jobs.
Last month it came out in the open that SAA would receive R4 billion ($273 million) in funding to help with its restructuring. Half of the funds will come from existing lenders, guaranteed by the South African government, and the other half will be provided by the country’s treasury.
The Treasury has yet to establish a mechanism for identifying and dispersing its share.