A plan to restructure South African Airways (SAA) has been given the green light by 86% of its creditors, more than six months since the troubled airline went into voluntary business rescue. According to the Companies Act, a vote in favour of a rescue plan requires 75% of the voting interests in order to pass. The ball is now in government’s court regarding whether the business rescue can come into operation and be fully implementable now that the approval of the plan has been settled and the majority of employee unions and non-organised staff have endorsed it. The airline’s restructure has been costed at R10.4 billion, in addition to the R16.4 billion that government has set aside to pay guaranteed debt over the next three years.
SOURCE: MONEYWEB