South African operator BA grounding flights as money runs out
Comair, the South African operator of British Airways flights, grounded all of its planes after running out of cash, the company said.
The carrier, which is under administration, also operates low-cost airline Kulula. Those planes are also grounded, with ticket sales for both airlines suspended.
Comair’s directors “have indicated that the process of raising the necessary capital is underway and that there is reason to believe that such financing could be obtained,” the company said in a statement late Tuesday.
“Once received, the airline will be able to resume operations, but unfortunately in these circumstances, practitioners have no choice but to voluntarily suspend all scheduled flights until funding is confirmed,” he said. -he adds.
In May 2020, at the height of the pandemic shutdowns, Comair filed for voluntary corporate bailout – a procedure similar to bankruptcy protection – in order to restructure the business.
By February this year, the company had regained a 40% market share and resumed most flights.
South African aviation officials suspended Comair flights for five days in March over security concerns, dealing another blow to the company.