A South African Airways Airbus A350South African Airways
- South African Airways will no longer receive government funding, putting its future in jeopardy.
- Rescuers tasked with providing options for the airline moving forward have said that a shutdown is inevitable, FlightGlobal reported.
- The South African government has also stated its intention to form a new airline, according to Reuters.
- Visit Business Insider's homepage for more stories.
South African Airways is on the brink of disappearance after years of financial struggles.
The long-suffering carrier has been denied further state funding and, as FlightGlobal reported, business rescuers entrusted with the difficult task of rescuing the 86-year-old airline have given it two options: liquidation or a wind-down and sale process. Either way, South African Airways will, without intervention, no longer remain in operation.
It was always going to be a tumultuous road for the state-owned enterprise mired in crippling debts, the COVID-19 pandemic undoubtedly sped up the airline's impending collapse. The most recent setback for the airline came as South Africa greatly restricted international travel after enacting drastic measures in order to stay afloat in the last year including slashing nearly all domestic routes within the country.
While tthe arrival of the Airbus A350-900 XWB, which debuted on the Johannesburg-New York route in January, looked like it may have marked the beginning of a new era for the carrier, South Africa may lose its airline less than six months from the plane's debut.
Take a look at how South African arrived at what is likely the end of its journey.
Read the original article on
Business Insider