in Business & Finance

SAA continues to drive implementation across all business areas

Posted 17 July 2015 · Add Comment

South African Airways (SAA) continues to drive implementation of its Long-Term Turnaround Strategy (LTTS) across the business.

While commercially the airline has adjusted capacity against declining demand, 81% aggregate load factors marked the first quarter of the 2015/16 fiscal. The business has reduced operating costs by 14% and by beginning August SAA would have introduced two new commercially viable routes (Johannesburg Abu Dhabi in March and Accra Washington on 2 August) while the positive impact of improvement opportunities and efficiencies in its network should realise a positive impact of R 2,5 billion in annualized earnings.

SAA remains in full Long-Term Turnaround Strategy implementation mode. “Across both our commercial and operational areas there is a clear focus on delivery against the objectives of the plan,” says SAA Acting CEO Nico Bezuidenhout. “Operationally, SAA has been ranked amongst the best airlines in the world that operate in excess of 10 000 flights monthly for its on-time performance since March this year. In June, the airline was ranked fourth globally.” It is efficiencies such as its improved on-time performance that has afforded some of the first tangible results of tactical implementation of the LTTS. The business is also commercially energized, with a particular focus on Africa.

“SAA has already increased frequencies to key African destinations such as Mozambique, Democratic Republic of Congo and Mauritius among others,” says SAA Acting CEO Nico Bezuidenhout. “The positive commercial impact of a demand-side response not only indicates that there are positive gains to be made through network efficiencies but, that sound commercial decision making will benefit the business in the medium to long term.” He adds that Africa remains a key focus area for SAA. “Aviation has the potential to impact the continental economy similar to the mobile telephony revolution of the early 2000s. Africa’s economic growth has been relatively stable over the past decade and, with consistent market liberalization and national governance improvements, confidence in Africa’s great potential and positive sentiment continues to grow.”

* required field

Post a comment

Other Stories
Advertisement
Latest News

Oslo intensifies African connections by adding Addis Ababa to its route

Avinor's Oslo Airport has announced the addition of Addis Ababa to its route network with new airline partner Ethiopian Airlines.

Airbus Defence and Space appoints four new Executive Committee members

Airbus Defence and Space has appointed Jana Rosenmann, Grazia Vittadini, Bernhard Brenner and Peter Weckesser as new executive committee members.

Travelport appoints new Head of Product & Solutions in EMEA

Travelport has appointed Jasmeen Kaur in the role of head of product and solutions EMEA.

Dyncorp International to provide aviation field maintenances services for US Army in Egypt

The US Army has engaged defense contractor DynCorp International to provide aviation field maintenance services in Egypt and the Netherlands on behalf of the Aviation Field Maintenance Division, which is a component of the Army

ASKY Airlines confirms Southern African debut for early 2Q17

ASKY Airlines has confirmed it will make its Southern African debut early during the next quarter, reports ch-aviation.

First Nation Airways suspends operations again

Nigeria's First Nation Airways has suspended operations for a second time in six months, reports ch-aviation.

EBACE17 SK0103240517
See us at
EBACE17 BT0103240517Ethiopian AA BT2303130417GroundHandling BT0303280917Aviation Festival BT25114617