(Bloomberg) -- The South African government said it’s working on solutions for the national airline after failing to pay 2 billion rand ($138 million) in funding by a Sunday deadline.

President Cyril Ramaphosa’s government said it continues to work with South African Airways’ lenders and business rescue practitioners, “with the primary goal of bringing out of this process a restructured, modern airline.”

“We are determined to break with the past patterns of bailouts as these have become a moral hazard,” Department of Public Enterprises spokesman Sam Mkokeli said in a statement on Sunday. “We are determined to contribute to the Business Rescue process so that we could minimize job losses.”

The loss-making carrier has already burned through a loan it got from banks last month, according to people familiar with the matter. Lenders are hesitant to step in again, said the people, who asked not to be identified because the talks are ongoing. SAA lenders provided 2 billion rand as post commencement finance (PCF) to enable SAA to continue to operate, while the government, though the National Treasury, committed an equal amount.

To contact the reporter on this story: Amogelang Mbatha in Johannesburg at ambatha@bloomberg.net

To contact the editors responsible for this story: Andrew Davis at abdavis@bloomberg.net, Sara Marley, Matthew G. Miller

©2020 Bloomberg L.P.