South African carrier Comair has detailed the expected benefit on its full-year financial results following settlement of an anti-competitiveness case against South African Airways.
The carrier had entered into a final settlement deal under which SAA would pay just over R1.1 billion ($74.3 million) plus interest, with a payment schedule commencing on 28 February this year.
Comair says the agreement will result in full-year earnings per share of 192.4 cents on 30 June 2019 which is 175% higher than the 69.8 cents figure generated at the end of the 2017-18 financial year.
“The increases are a direct consequence of the award [from the SAA case],” says the carrier, adding that the overall effects will be disclosed in its final full-year results.
Comair was originally awarded the sum in early 2017, the culmination of a case which had been started 16 years ago.
It had alleged in 2003 that SAA had engaged in exclusionary practices by rewarding travel agents in order to retain loyalty.