A leaked internal memo to staff by Mango’s Acting Chief Executive Officer, William Ndlovu has raised eyebrows over the airline’s financial crisis.
The memo details that the financially-strapped airline has requested state funding and until it receives the bail-out, the state has requested the low-cost airline be placed into business rescue until July 2021.
Despite the approval for the bail-out in October 2020, the funds which were supposed to have been paid in January 2021 are now only expected to come into effect in June 2021.
JUST IN: #eNCA has obtained an internal notice sent to airline Mango staff on the dire financial situation. Correspondence shows that should the airline not have funds by end of April, lessors will have the aircraft grounded by 1 May.
— Heidi Giokos (@HeidiGiokos) April 23, 2021
eNCA has been privy to the internal notice and they have covered the extent of the financial situation, stressing that lessors are demanding payment from the Public Enterprises Department. Failing which they want Mango planes grounded until they receive their money.
Mango Airlines could be grounded by 1 May. An internal notice sent to the carrier’s staff has been seen by eNCA. Lessors are demanding payment from the Public Enterprises Department & they want Mango planes grounded if they don’t receive their money. @HeidiGiokos reports #DStv403 pic.twitter.com/Am4bCQxWyI
— eNCA (@eNCA) April 23, 2021
Reports suggest that Mango staff will receive their salaries for this month but the situation is unclear about the following months.