SAA admits assisting Mango through subleasing aircraft at discounted rates

The state-owned South African Airways (SAA) has admitted assisting Mango Airlines (a SAA subsidiary) through subleasing aircraft at discounted rates. This has enabled Mango to offer cut-throat rates, and according to Comair, 10 out of the 11 independent private airlines launched in South Africa, have failed since deregulation in 1991. Kuala and British Airways (both operated by Comair) remain the only independent airlines operating domestic routes in the country. The Democratic Alliance (DA), the official opposition in South Africa, will request that the Competition Commission launch a full-scale investigation into the alleged collusion between SAA and Mango.