This from moneyweb.co.za:
In an apparent effort to discredit the “much celebrated financial performance” of SAA’s low-cost subsidiary Mango and deflect credit for it from Mango CEO Nico Bezuidenhout, SAA has disclosed that it has been assisting Mango financially since it started trading in 2006.
This might put it at odds with competition law and provide grounds for a market investigation by the competition authorities, transport economist Joachim Vermooten told Moneyweb.
SAA issued a statement on Saturday afternoon, two days after news that Bezuidenhout – who headed Mango from its start – has resigned and will be joining regional low-cost airline fastjet. Read the full SAA statement here.
It said: “Mr Bezuidenhout’s departure is expected to have no impact on the operations and possible growth prospects of Mango Airlines. SAA materially contributed to the much-celebrated financial performance of Mango Airlines and will continue to support the airline should the need so arise.
Full story here: