"It is our firm view that, given the current global environment, all airlines need shareholder support," he said.
Gigaba said the nature of the support was uncertain, but "It is not a bailout, [...] SAA has not come to us and said we are in the red, help us out with money." He explained that the combination of a depressed global economy and high fuel prices necessitated shareholder's support, enabling SAA to procure a modern and fuel efficient fleet in order to remain competitive.
In February, SAA chief executive Siza Mzimela asked the government for "proper capitalisation" and insisted she was not asking for a bailout. The airline, she said, had money, but needed to raise the necessary capital to renew its fleet, introduce a premium economy cabin, which was what passengers wanted, and to expand its business class cabin, Fin24 reports.
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