SAA after Business rescue

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Re: SAA after Business rescue

Unread post by Richard Smit » Wed May 04, 2022 8:40 am

Or, he could be a Training Captain (occupying the RHS) for training purposes, such as command line training.

That said, at SAA (even before the re-hash) it’s entirely possible that the GB was the FO.
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Re: SAA after Business rescue

Unread post by Volo » Wed May 04, 2022 9:30 am

southside wrote:
Tue May 03, 2022 10:36 pm
I was waiting to board a flight a couple of weeks ago out of FAOR when I noticed a grey beard pilot accompanied by a younger male African pilot going through to catch a bus to whatever aeroplane they were going to fly. I didn’t give it a second thought.

After boarding our bus to take us to our flight, we passed an SAA aeroplane parked at the gate. After looking up at the cockpit I was surprised to see the grey beard in the right seat and the younger African man in the left.

After being in the airlines myself, this type of scenario would be highly unusual, just based on the fact that when you see two pilots board an aeroplane in the airline environment, and especially when you look at the long road to command at SAA that has always been the case, the grey beard will almost always be in the left seat.

Just incase it didn’t cross your mind, people of all colours get grey hair. In this case though, the grey beard was of pale complexion.

So we have all heard about the demotions that have happened at SAA based on race for those that chose to stick around or were offered to stick around and accepted. But after seeing it in front of me, the feeling of injustice was just exasperated in my eyes.

Of course I could be way out of line and not be aware of a plausible scenario for this. I do however doubt it and believe I witnessed the travesty we have all heard about in the flesh.

I believe these former captains carry themselves on the flight deck with the upmost professionalism, but we are all human. They may not show it in the flight deck, but I would find it hard to believe that these pilots don’t feel a deep feeling of resentment and kudos to them for keeping it professional.

To work for many years to earn a spot in the left seat, and then be forced to give it up because of your demographic, but stay because you need a salary must be a tough pill to swallow.

I’m sure these former captains have no pride left in the company that they were once proud to be associated with and would jump at the chance to be with a company who wants them based on their vast experience.

If they did jump, they would almost certainly enter as first officers. (Some people do get direct entry Captain positions) But they would take comfort in the fact that it is because of seniority and experience in that new airline and not because of the colour of their skin. Especially because they came from an airline where that was always the case and had to climb that ladder themselves to have the privilege and huge responsibility of being in the left seat of an airliner.

They would know their captain, male or female, younger or older, white or of colour, baseball cap or not, is there because they earned it, the resentment level would be well degraded, the CRM and company atmosphere among the employees would be far better suited for a safe and enjoyable company to work for.
...................................................

The History and failure of SAA and the causes thereof are well known being a combination of theft ,incompetence and Government policies which include the application of its racial social engineering and the use of the Airline to accelerate the acquisition of what they themselves have termed " Rare Skills " for previously disadvantaged individuals principal among these skills being of course Pilots and Engineers .

What has allowed this to take place is our much touted dismal National Constitution which under the Equality Clauses considers under Clause 5 that discrimination can take place if it is deemed fair which is a complete contradiction of clause 3 which says it cant . This is why government does what it wants to do with SAA and all the other SOEs and without challenge because our constitution supports this preposterous destructive behaviour .
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Re: SAA after Business rescue

Unread post by GL » Fri May 06, 2022 3:01 pm

MEDIA STATEMENT

SAA NOTES STATEMENTS BY THE AUDITOR GENERAL

Johannesburg (6th May 2022) – The Board of SAA is concerned at the publication of an unorthodox interview between a journalist at Business Day, and its external auditors, Auditor-General of South Africa (AG). It has been assumed that protocol proscribe an external auditor to engage in that extent of public media engagement on affairs of its client. It is also regrettable that the newspaper made no effort to solicit SAA’s views on the matter.

In terms of applicable legislation, the preparation and presentation of audited financials to a shareholder is a cardinal function of the Board of Directors. Accordingly, the Board of SAA is concerned at the misleading impression created by the said newspaper article.

After exiting business rescue in April 2021 and resuming flight operations, SAA’s new Board and executive management have committed the company to good governance, transparency, and fiducial responsibility. The preparation and release of the 2017/18 financial statements is just one step in a lengthy process undertaken to rebuild and repostion SAA. A process the AG’s Office is aware of, is underway to finalise and release all outstanding annual financial statements .

The fact that the 2017/18 audited financial statements were finalised in 2022 is not unreasonable given SAA’s history of not being a going concern at the time of the audit and SAA’s subsequent entry into business rescue in 2019. Annual financial statements for the 2018/19, 2019/20 and 2020/21 financial years have been prepared but external audits were not conducted as the airline was in business rescue. The 2021/22 annual financial statements are currently being prepared and will be submitted timeously to the AG for audit.

SAA is now staffed by professionals who are cognizant of all the fiduciary, legal and political imperatives within which the airline is emerging as a vibrant competitor in the both the local and global aviation industry
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Re: SAA after Business rescue

Unread post by jimdavis » Fri May 06, 2022 3:45 pm

GL wrote:
Fri May 06, 2022 3:01 pm
MEDIA STATEMENT

SAA NOTES STATEMENTS BY THE AUDITOR GENERAL

Johannesburg (6th May 2022) – The Board of SAA is concerned at the publication of an unorthodox interview between a journalist at Business Day, and its external auditors, Auditor-General of South Africa (AG). It has been assumed that protocol proscribe an external auditor to engage in that extent of public media engagement on affairs of its client. It is also regrettable that the newspaper made no effort to solicit SAA’s views on the matter.

In terms of applicable legislation, the preparation and presentation of audited financials to a shareholder is a cardinal function of the Board of Directors. Accordingly, the Board of SAA is concerned at the misleading impression created by the said newspaper article.

After exiting business rescue in April 2021 and resuming flight operations, SAA’s new Board and executive management have committed the company to good governance, transparency, and fiducial responsibility. The preparation and release of the 2017/18 financial statements is just one step in a lengthy process undertaken to rebuild and repostion SAA. A process the AG’s Office is aware of, is underway to finalise and release all outstanding annual financial statements .

The fact that the 2017/18 audited financial statements were finalised in 2022 is not unreasonable given SAA’s history of not being a going concern at the time of the audit and SAA’s subsequent entry into business rescue in 2019. Annual financial statements for the 2018/19, 2019/20 and 2020/21 financial years have been prepared but external audits were not conducted as the airline was in business rescue. The 2021/22 annual financial statements are currently being prepared and will be submitted timeously to the AG for audit.

SAA is now staffed by professionals who are cognizant of all the fiduciary, legal and political imperatives within which the airline is emerging as a vibrant competitor in the both the local and global aviation industry
I see. That means that SAA is committed to transparency - but not to the extent that it's finances are made public.

What else is it going to be transparent about?

jim
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Re: SAA after Business rescue

Unread post by jean » Fri May 06, 2022 6:02 pm

jimdavis wrote:
Fri May 06, 2022 3:45 pm
GL wrote:
Fri May 06, 2022 3:01 pm
MEDIA STATEMENT

SAA NOTES STATEMENTS BY THE AUDITOR GENERAL

Johannesburg (6th May 2022) – The Board of SAA is concerned at the publication of an unorthodox interview between a journalist at Business Day, and its external auditors, Auditor-General of South Africa (AG). It has been assumed that protocol proscribe an external auditor to engage in that extent of public media engagement on affairs of its client. It is also regrettable that the newspaper made no effort to solicit SAA’s views on the matter.

In terms of applicable legislation, the preparation and presentation of audited financials to a shareholder is a cardinal function of the Board of Directors. Accordingly, the Board of SAA is concerned at the misleading impression created by the said newspaper article.

After exiting business rescue in April 2021 and resuming flight operations, SAA’s new Board and executive management have committed the company to good governance, transparency, and fiducial responsibility. The preparation and release of the 2017/18 financial statements is just one step in a lengthy process undertaken to rebuild and repostion SAA. A process the AG’s Office is aware of, is underway to finalise and release all outstanding annual financial statements .

The fact that the 2017/18 audited financial statements were finalised in 2022 is not unreasonable given SAA’s history of not being a going concern at the time of the audit and SAA’s subsequent entry into business rescue in 2019. Annual financial statements for the 2018/19, 2019/20 and 2020/21 financial years have been prepared but external audits were not conducted as the airline was in business rescue. The 2021/22 annual financial statements are currently being prepared and will be submitted timeously to the AG for audit.

SAA is now staffed by professionals who are cognizant of all the fiduciary, legal and political imperatives within which the airline is emerging as a vibrant competitor in the both the local and global aviation industry
I see. That means that SAA is committed to transparency - but not to the extent that it's finances are made public.

What else is it going to be transparent about?

jim
Well, once audited they will be made public (" Annual financial statements for the 2018/19, 2019/20 and 2020/21 financial years have been prepared but external audits were not conducted as the airline was in business rescue. The 2021/22 annual financial statements are currently being prepared and will be submitted timeously to the AG for audit ").
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Re: SAA after Business rescue

Unread post by Deanw » Wed May 11, 2022 8:55 am

11 May 2022: EWN
A YEAR AFTER ANNOUNCEMENT, DEAL FOR SAA PRIVATE PARTNER STILL NOT DONE, MPS TOLD

Public Enterprises Minister Pravin Gordhan told MPs that it was still a 'live transaction' and that the deal was not finalised yet.

The deal to transfer majority ownership of South African Airways (SAA) to a private partner is still not complete more than a year since its announcement.

Public Enterprises Minister Pravin Gordhan has given Parliament an update on the special equity partner process.

He told MPs that it was still a “live transaction” and that the deal was not finalised yet.

Minister Gordhan told MPs that finding a suitable strategic equity partner was because the State was no longer willing to part with money from the fiscus to bail out SAA.

"But also, we must remember by demanding more money from the state and the situation was completely untenable and eventually what we had was a further recapitalisation in February 2019," Gordhan said.

Gordhan told Scopa that those interested in buying SAA had a number of conditions.

"Among the other conditions, if you like, from interested parties is that they would want management control, majority shareholding, they would like no political interference," he explained.

Finance Minister Enoch Godongwana agreed with Gordhan, saying SAA that had become a “fiscal drain”, costing the state R49 billion to date.
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Re: SAA after Business rescue

Unread post by Volo » Wed May 11, 2022 4:27 pm

We - the South African public are like "Bambi caught in the Headlights " completely paralyzed -just waiting until it hits us between the eyes . :roll:
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Re: SAA after Business rescue

Unread post by snoopy » Wed May 11, 2022 4:34 pm

Volo wrote:
Wed May 11, 2022 4:27 pm
We - the South African public are like "Bambi caught in the Headlights " completely paralyzed -just waiting until it hits us between the eyes . :roll:
Yup and nothing said on AVCOM or any other opinion on social media will change that. The regime is a thick skinned lot , and is running this show, and it does what it wants - it will even rob others if it needs to, and change policy to allow for its crime, just in order to stay in play ...and not blink an eye doing so.

Pretty much a mafia of its own...and we know the regime is involved in organized crime.

Page 264 pffft.... :lol: #-o
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Re: SAA after Business rescue

Unread post by dollar » Wed May 11, 2022 5:19 pm

Heh heh. Ek se maar liewerste niks 😜

Only that the difference between an emigrant and a refugee is ....... timing 😂
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Re: SAA after Business rescue

Unread post by GL » Thu May 12, 2022 2:56 pm

12 May 2022
Takatso Media Statement
TAKATSO WELCOMES NATIONAL TREASURY SUPPORT FOR PURCHASE OF 51% STAKE IN
SAA
Transaction highlights:
• Moving a step closer to the vision of a pan African airline
• DPE will be issued with R3bn worth of preferred shares in SAA that will be redeemed through
free cashflow of the business
• DPE retains 49% equity stake in SAA to participate in future value creation
• DPE has a right to a golden share
• Takatso to inject R3bn over the next two years
• A model public / private partnership with a potential to be replicated in other sectors and
laying the foundation for the future listing of SAA
Johannesburg, 12 May 2022 - The Takatso Consortium welcomes finance minister Enoch
Godongwana’s recent public support for the Consortium’s acquisition of a 51% interest in SAA –
signalling a firm commitment from Government to conclude the transaction.
Takatso shares Government’s view that the transaction will be an eminent example of a public /
private partnership in one of South Africa’s most important sectors. The relaunch of SAA will be
without further recourse to the SA taxpayer, save for the business rescue obligations, which remain
the responsibility of the current shareholder.
Takatso said: “With the support of National Treasury and the Department of Public Enterprises, this
brings us a step closer towards reaching financial close of this milestone transaction in the aviation
sector. We remain committed to a strong partnership with Government and to see this transaction
concluded successfully.
“The proposed transaction has been structured in a manner that provides SAA with the greatest
chance of success and allows for appropriate risk and reward sharing between the public and private
partners of the new SAA on a continuing basis.”
Financing
The intent is for the Consortium to acquire a 51% controlling stake in the SAA group and the
Consortium will provide R3bn over the next two years. Structures of this nature are usually
characterised by a low purchase price and significant future funding commitments and are typically
used for distressed assets such as SAA, which require extensive restructuring and recapitalisation to
ensure a sustainable business model.
A renewed approach
Key to the new operating model will be a lean and agile cost structure, endorsed by Takatso’s
commercial and technical partners/advisors. SAA will become a truly commercially enabled
organization, with a corporate governance model allowing for quick, transparent decision making.
The ability to maximise revenue in a world where customer expectations are constantly evolving will
be key.
A minimised cost structure will enable flexibility to ensure competitiveness, with a focus on fleet,
maintenance and staff costs.
2
The Consortium has an experienced and capable team ready to operate SAA as soon as all
regulatory approvals have been achieved. In addition, Takatso is keen to contribute to the
development of the aviation sector in SA, job creation and increasing connectivity in Africa.
The SAA brand has suffered over the years with resultant significant loss in market share when it
went into business rescue in December 2019. To recapture the lost market share, a strong brand
awareness strategy will form part of the implementation plan. Key to rebuilding the brand will be a
new organisational culture and embracing digitization & technology.
SAA’s key subsidiaries - SAAT and Air Chefs – will see key strategic partners identified to acquire
significant shareholdings in each entity.
Next steps
The transaction is subject to various approvals and pre-conditions, including from the Competition
Commission and Civil Aviation Authority, which are anticipated to be obtained as part of the closing
process for the transaction. Decisions regarding the future management of SAA will be taken by a
newly formulated board in due course.
Outlook
Despite the current depressed market, IATA forecasts the South Africa aviation market to be worth
$19.1bn by 2037 ($9.4bn in 2017). The sector is inherently risky and highly competitive. Agility and
cost efficiency are key to compete.
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Re: SAA after Business rescue

Unread post by jimdavis » Thu May 12, 2022 4:35 pm

GL wrote:
Thu May 12, 2022 2:56 pm
12 May 2022
Takatso Media Statement
TAKATSO WELCOMES NATIONAL TREASURY SUPPORT FOR PURCHASE OF 51% STAKE IN
SAA
Transaction highlights:
• Moving a step closer to the vision of a pan African airline
• DPE will be issued with R3bn worth of preferred shares in SAA that will be redeemed through
free cashflow of the business
• DPE retains 49% equity stake in SAA to participate in future value creation
• DPE has a right to a golden share
• Takatso to inject R3bn over the next two years
• A model public / private partnership with a potential to be replicated in other sectors and
laying the foundation for the future listing of SAA
Johannesburg, 12 May 2022 - The Takatso Consortium welcomes finance minister Enoch
Godongwana’s recent public support for the Consortium’s acquisition of a 51% interest in SAA –
signalling a firm commitment from Government to conclude the transaction.
Takatso shares Government’s view that the transaction will be an eminent example of a public /
private partnership in one of South Africa’s most important sectors. The relaunch of SAA will be
without further recourse to the SA taxpayer, save for the business rescue obligations, which remain
the responsibility of the current shareholder.
Takatso said: “With the support of National Treasury and the Department of Public Enterprises, this
brings us a step closer towards reaching financial close of this milestone transaction in the aviation
sector. We remain committed to a strong partnership with Government and to see this transaction
concluded successfully.
“The proposed transaction has been structured in a manner that provides SAA with the greatest
chance of success and allows for appropriate risk and reward sharing between the public and private
partners of the new SAA on a continuing basis.”
Financing
The intent is for the Consortium to acquire a 51% controlling stake in the SAA group and the
Consortium will provide R3bn over the next two years. Structures of this nature are usually
characterised by a low purchase price and significant future funding commitments and are typically
used for distressed assets such as SAA, which require extensive restructuring and recapitalisation to
ensure a sustainable business model.
A renewed approach
Key to the new operating model will be a lean and agile cost structure, endorsed by Takatso’s
commercial and technical partners/advisors. SAA will become a truly commercially enabled
organization, with a corporate governance model allowing for quick, transparent decision making.
The ability to maximise revenue in a world where customer expectations are constantly evolving will
be key.
A minimised cost structure will enable flexibility to ensure competitiveness, with a focus on fleet,
maintenance and staff costs.
2
The Consortium has an experienced and capable team ready to operate SAA as soon as all
regulatory approvals have been achieved. In addition, Takatso is keen to contribute to the
development of the aviation sector in SA, job creation and increasing connectivity in Africa.
The SAA brand has suffered over the years with resultant significant loss in market share when it
went into business rescue in December 2019. To recapture the lost market share, a strong brand
awareness strategy will form part of the implementation plan. Key to rebuilding the brand will be a
new organisational culture and embracing digitization & technology.
SAA’s key subsidiaries - SAAT and Air Chefs – will see key strategic partners identified to acquire
significant shareholdings in each entity.
Next steps
The transaction is subject to various approvals and pre-conditions, including from the Competition
Commission and Civil Aviation Authority, which are anticipated to be obtained as part of the closing
process for the transaction. Decisions regarding the future management of SAA will be taken by a
newly formulated board in due course.
Outlook
Despite the current depressed market, IATA forecasts the South Africa aviation market to be worth
$19.1bn by 2037 ($9.4bn in 2017). The sector is inherently risky and highly competitive. Agility and
cost efficiency are key to compete.
Don't you just love this corporate-speak? What on earth does this mean?

Key to rebuilding the brand will be a new organisational culture and embracing digitization & technology.

Can't you just see the board members yawning while some whizz tells them this is the way to make an airline work? 8-[ 8-[ 8-[

jim
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Re: SAA after Business rescue

Unread post by olirindis » Thu May 12, 2022 8:27 pm

There you have it, the answer to what’s keeping you lot awake at night.. now take your anxiety medication and go have a lie down, let us get on with it!
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Re: SAA after Business rescue

Unread post by SimplyFly » Thu May 12, 2022 8:33 pm

Don't you get it Jim? Digitisation will clearly create significantly more lift with a negligible drag penalty.

Digitisation! Why did not a single Avcommer come up with that idea?
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Re: SAA after Business rescue

Unread post by Airwayfreak » Thu May 12, 2022 8:49 pm

jimdavis wrote:
Thu May 12, 2022 4:35 pm

Don't you just love this corporate-speak? What on earth does this mean?

Key to rebuilding the brand will be a new organisational culture and embracing digitization & technology.

Can't you just see the board members yawning while some whizz tells them this is the way to make an airline work? 8-[ 8-[ 8-[

jim
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Re: SAA after Business rescue

Unread post by SimplyFly » Thu May 12, 2022 8:50 pm

:D
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