State to SAA's rescue once again

April 5, 2007

Mr Hennie Bekker, IFP Finance spokesperson, today expressed concern that yet again the state is bailing out SAA. He said:

"The IFP raises concern that again the State has to bail out SAA, and this time for an exorbitant amount of R1.3bn. We are further alarmed at the continuing losses being made by SAA which could amount to approximately R650m for last year."

Further, Mr Bekker said: "The IFP is troubled by the amount of times the State has come to the rescue of SAA, and we certainly welcome the hard line taken by Public Enterprises Minister, Alec Erwin, in warning SAA that the State will not forever bankroll the airline."

Mr Bekker concluded by saying: "The IFP notes further that SAA yet again is undergoing restructuring to curb revenue loss, we sincerely hope this round of restructuring will succeed where others have dismally failed in the past."



FOR FURTHER INFORMATION CONTACT:

Mr Hennie Bekker MP: 083 255 4520

Noleen Hendricks: 082 886 9848