NEWS

SAA Agrees To Hire A Restructuring Expert To Solve Its Financial Woes

“We are finalising steps that will lead to the appointment of a chief restructuring officer."

05/10/2017 14:51 SAST | Updated 06/10/2017 07:44 SAST
Waldo Swiegers/ Bloomberg via Getty Images

South African Airways (SAA) has agreed to hire a restructuring expert to help turn around the fortunes of the state-owned airline, according to Bloomberg. It is a condition laid down by lenders that has to be met before they will roll over the airline's debt.

"We are finalising steps that will lead to the appointment of a chief restructuring officer," SAA spokesperson Tlali Tlali wrote in an email. "No announcement on the identity of the candidate can be made before we attend and resolve the outstanding issues."

But incoming CEO Vuyani Jarana met with British industry veteran Peter Davies last month and two people familiar with the proceedings, who asked not to be named, say Davies agreed to try and help improve SAA's finances and return the state-owned company to profit.

Bloomberg via Getty Images

Davies is a former CEO of European airlines, including Air Malta and Brussels Airlines. He now runs London-based consultancy Airline Management Group.