SAA admits it is “technically insolvent”

South African Airways (SAA) has confirmed it is “technically insolvent” and is only surviving thanks to the R14.3 billion ($1.2 billion) of government guarantees. “SAA has been reliant on guarantees from its shareholder [the South African government] for several years and the delay in the release of the financial statements for the 2013/14 financial year is directly related to the continued weakness of the company’s balance sheet and due to the company being technically insolvent,” SAA said in a statement. On January 30, SAA finally released its results for the 2013/14 financial year. For the 12 months to March 2014,