South African Airways in talks with lenders as deadline looms

South African Airways is in talks with lenders about reviewing the terms of ZAR9b (US$692m) worth of loans due at the end of the month, and may have to tap govt debt guarantees that are keeping the airline in operation. One bank has told SAA that it wants to be repaid by the end-June deadline, the carrier said Monday. Standard Chartered refused a request to extend a loan facility, the Sunday Times newspaper reported, citing people it didn’t identify. SAA owes the bank ZAR2.3b, the newspaper said. The airline’s acting CE, Musa Zwane, said: “The renegotiation of the terms of the loans are ongoing and SAA is optimistic that the airline will continue to operate.” The carrier has ZAR19.1b in state guarantees, a safety net that is effectively keeping SAA solvent after 6 consecutive unprofitable years. <br/>