SOUTH African Airways (SAA) does not form part of the core businesses that Transnet sees as key to its future, ceo Maria Ramos, announced on Friday morning in Johannesburg. SAA has been one of the key factors for Transnet’s under-performance in which its loss increased from R421m last year to R6,3bn in the year ending March 2003. In the year SAA's turnover dropped by R1bn, to R16,3bn. Its loss increased from R6,2bn to R8,7bn. Only the conversion of a R4bn loan from Transnet into equity on the last day of March prevented the airline from trading in insolvency when its net asset value was R2,5bn in the red. Analysts were told that a new era has started at Transnet and that under a significantly changed board, including a new chairman, there was a comprehensive plan to reverse Transnet’s fortunes. (Dave Marsh)
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