{"id":1685,"date":"2020-09-06T07:27:06","date_gmt":"2020-09-06T05:27:06","guid":{"rendered":"https:\/\/mybroadband.co.za\/news\/?p=366360"},"modified":"2020-09-06T07:27:06","modified_gmt":"2020-09-06T05:27:06","slug":"government-interference-will-hurt-the-new-saa-mango-ceo","status":"publish","type":"post","link":"https:\/\/interwebdev.co.za\/index.php\/2020\/09\/06\/government-interference-will-hurt-the-new-saa-mango-ceo\/","title":{"rendered":"Government interference will hurt the \u201cnew SAA\u201d \u2013 Mango CEO"},"content":{"rendered":"
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Outgoing Mango CEO and former SAA acting CEO Nico Bezuidenhout has said the restructured national airline which is born out of SAA\u2019s business rescue plan must be free from political interference if it wants to be successful.<\/p>\n

Speaking to the Sunday Times<\/strong><\/a>, Bezuidenhout said the dialogue around the restructuring of SAA needs to be \u201cless political and more hard-nosed economics\u201d, adding that it while it would be beneficial to its operations, it is unclear whether SAA could ever be free from government interference.<\/p>\n

\u201cYou\u2019d want a situation where shareholders manage via a board of directors and allow the company to pursue a strategic direction without any interference,\u201d Bezuidenhout said.<\/p>\n

He added that recent statements by the government were tentatively positive in this regard, suggesting there is less desire for state control over the airline\u2019s operations.<\/p>\n

\u201cGovernment seems to be saying it doesn\u2019t have to directly manage and run SAA \u2013 it could be done by alternative shareholders with the government having a reduced stake,\u201d he said.<\/p>\n

Bezuidenhout believes this approach would greatly improve SAA\u2019s chance of success, stating that airlines cannot be run like a government department \u2013 they need to be nimble and quick to react.<\/p>\n

Ethiopian Airlines and Emirates<\/h3>\n

This follows a recent report<\/strong><\/a> which stated that Ethiopian Airlines is one of the companies in talks with the South African government over the future of SAA.<\/p>\n

One of the options reportedly under discussion is that Ethiopian Airlines buying a stake in the restructured national carrier.<\/p>\n

This \u201cnew SAA\u201d will require more than R10 billion in funding, and finance minister Tito Mboweni has said most of the funds should come from private resources.<\/p>\n

According to reports, other companies which are in talks with the South African government over providing funding to SAA include Emirates.<\/p>\n

\u201cEmirates can confirm that it has been in touch with South African Airways for general discussions relating to the codeshare partnership between both airlines,\u201d the airline told Bloomberg.<\/p>\n

The R10 billion needed to revive SAA is distributed among various expenses, including the following:<\/p>\n