A PASSENGER boards an SA Express jet at OR Tambo International Airport. The entity is to merge with SAA and Mango to curtail management costs. Nicholas Rama (ANA)

CAPE TOWN  - SA Express (SAX) flights remained grounded on Thursday as the state-owned airline is yet to reach a settlement of a dispute with the Airports Company of South Africa (ACSA).

Flights were cancelled on Wednesday morning, with the cash-strapped airline citing "operational challenges", but the airline did not disclose the nature of the problem. It later said flights would resume on Wednesday afternoon. However, this did not materialise.

In a statement on Thursday, SAX accused ACSA of reneging on an agreement reached on Wednesday following a meeting between the two parties, facilitated by the departments of transport and public enterprises.

"Disappointingly, ACSA subsequently reneged on the agreements reached, which caused further inconvenience to our passengers on all routes operated by the airline," the statement from SAX said.

“In the meantime, ACSA has referred the matter to their board this morning, the 29th of August 2019, to apply its mind on the issue further and recommend a way forward."

ACSA said it would comment on the matter later. 

- African News Agency (ANA)