SAA government funds exclude lessor debt

Administrators for South African Airways (SAA) have indicated that debts to lessors and other suppliers are not covered by the R10.5 billion government bailout. The R10.5bn has been earmarked for “initial commitments”, while R1.7bn owed to lessors and R600 million to creditors from before the airline went into administration nearly a year ago, the administrators have said will be paid over three years from 2021. Kgathatso Tlhakudi, director-general of the ministry responsible for SAA, told local media that the government would still pay debt owed to lessors and longstanding creditors but that it was still “working on a solution”.