South African Airways meeting banks to discuss debt rollover

South African Airways will meet a group of domestic lenders Tuesday to negotiate the refinancing of about ZAR6b (US$423m) in outstanding loans, according to its new CE. The banks have in principle agreed to extend the loan terms, Vuyani Jarana, who took the helm at the loss-making airline Nov 1, said Monday. The group is led by Nedbank Group Ltd. and includes FirstRand Ltd., Standard Bank Group Ltd., Barclays Africa Group Ltd. and Investec Plc. “We are meeting the banks to discuss the rollover of the loans that have expired and to extend the expiry dates,” Jarana said. “That will give us the going-concern status that will enable us to renegotiate longer-term contracts.” The govt has transferred more than ZAR5b to the airline this year to avoid it defaulting on debt owed to Citigroup and Standard Chartered. <br/>