17 June 2019

South Africa: SA Express Dismisses Liquidation Rumours

South African Express (SAX) has dismissed rumours of its imminent liquidation as it continues to make progress in turning around its fortunes.

"As the current Board of SA Express, we are excited about the progress that the airline continues to make, despite concerted efforts by competitors and detractors to destabilise the airline," said airline chairperson Tryphosa Ramano.

The airline has had instances where competitors stifle the local and regional growth of the airline by exploiting the challenges SA Express faced in 2018 for their own interest and to the detriment of the local and regional aviation market, Ramano said.

In May 2018, the Civil Aviation Authority (CAA) announced the suspension of the airline's air operator's certificate and the certificates of airworthiness (CoA) of nine of the 21 aircraft being operated by the airline.

This effectively meant that as of 24 May, SA Express Pty (SOC) could no longer continue to operate as an airline. The airline, which falls within the ambit of the Department of Public Enterprises, resumed flights on 23 August 2018.

Ramano said further progress is being made.

"They can all see the significant progress and recovery that the airline is making, which means stronger competition for those operators who stand to gain from its demise, while those entities which had irregular dealings with the airline are unhappy that their contracts are under review under SAX's new Board and Management," she said.

In addition, all employees who were charged with various offences and subsequently found guilty, have had their contracts of employment terminated.

In cases where these activities are related to alleged criminal offences, criminal cases have been opened and the airline will be pursuing the legal route to recover any losses incurred due to these activities.

"SA Express also wishes to allay any fears based on the false rumours being peddled that the airline is facing imminent liquidation as a result of court action that has been brought against it by one of its service providers," said the airline.

SAX offers connectivity between primary and secondary domestic destinations in South Africa and five other Southern African Development Community (SADC) countries.

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