South African Airways remain under-capitalised in spite bailout

South African Airways on Tuesday said even with a recent government injection of 10 billion rand ($709 million), the struggling airline remained under-capitalised.

This was due to a negative equity position of more than nine billion rand, a presentation to parliament indicated.

The national airline has been relying on government guarantees to keep it solvent and has been cited by major rating agencies as a threat to South Africa’s economy.

Reuters/NAN.