‘Things not falling apart at SAA’

2012-10-09 08:45

The public enterprises department has denied that “things are falling apart” at SA Airways (SAA) following a string of resignations.

“There is an appearance of things falling apart, but things are not falling apart at SAA,” public enterprises director-general Tshediso Matona told SABC radio news today.

“The events in our view could have been avoided... are completely unnecessary.”

SAA CEO Siza Mzimela and two other senior managers, corporate affairs general manager Theuns Potgieter, and general manager for legal, risk and compliance Sandra Coetzee, resigned from the airline this week.

This came barely two weeks after most of the board – including chairperson Cheryl Carolus – also quit, saying there was a lack of support from its shareholder, the public enterprises department.

Matona said the resignations happened while the department was busy preparing for its annual general meeting.

“We had been engaged with the company through a process of preparing for the annual general meeting, so when we step outside of disciplined processes, personality complexes take over, and then in the end we all lose, because leadership fails,” he told the SABC.

Public Enterprises Minister Malusi Gigaba said in September that the state-owned airline needed to present a long-term plan to ensure a strong and viable financial future.

In early October, the National Treasury announced that SAA had been given a R5 billion government guarantee for a recapitalisation exercise.

The SAA board is also busy suing former SAA CEO, Khaya Ngqula, who left the airline in 2009, to recover about R252 million from him in four separate claims following a forensic investigation by auditors KPMG.

Join the conversation!

24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Comments have been closed for this article.

Inside News24

 
/News

Book flights

Compare, Book, Fly

Traffic Alerts
There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.




Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.