https://newsletter.en.creamermedia.com
Defence|Denel|Industrial
Defence|Denel|Industrial
defence|denel|industrial

Trade union not surprised at ratings downgrade of Denel

28th August 2020

By: Rebecca Campbell

Creamer Media Senior Deputy Editor

     

Font size: - +

Trade union Uasa has expressed the view that the recent downgrade of South African defence industrial group Denel by international ratings agency Fitch was “disappointing” but not surprising. State-owned entity (SOE) Denel is suffering from severe liquidity problems.

“Fitch stated as a reason that management volatility may impact the group’s ability to implement its turnaround strategy,” observed the union in a statement on Friday. “With a CEO coming on board and resigning before any rescue plan could yield results, Denel is now looking to a new CEO who is expected to save this already sinking ship.”

Uasa expressed regret at the current state of Denel. It pointed out that it had had to take the company to court to get it to pay its employees their salaries. But the group still had not done so, despite a court order. That failure illustrated the depth of Denel’s deterioration.

“Sadly, South Africans cannot afford any more bailouts,” highlighted Uasa. “The country is at a low point after the devastation of the Covid-19 global pandemic and years of corruption.”

 

Edited by Creamer Media Reporter

Comments

Showroom

ESAB showroom image
ESAB South Africa

ESAB South Arica, the leading supplier of high-end welding and cutting products to the Southern African industrial market is based in...

VISIT SHOWROOM 
SABAT
SABAT

From batteries for boats and jet skis, to batteries for cars and quad bikes, SABAT Batteries has positioned itself as the lifestyle battery of...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 25 April 2025
Magazine round up | 25 April 2025
25th April 2025

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.162 0.73s - 149pq - 2rq
Subscribe Now