We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
RSS FeedRisk

Thomas Cook shareholders back disposals, say sources

The travel operator needs to sell assets to shore up its finances

Article comments

Investors in embattled travel agent Thomas Cook on Tuesday overwhelmingly supported plans to sell Spanish assets and the sale and leaseback of some of its aircraft, sources told Reuters.

Sources said 99.9 percent of the proxy votes, which account for virtually all of the votes cast, were in favour of the planned disposal of five Spanish hotels and the sale and leaseback of part of its aircraft fleet.

The vote at an investor meeting in London concerned a £183 million sale and leaseback deal with Guggenheim Aviation Partners for 19 aircraft and the sale of its Spanish hotel chain Hotels y Clubs De Vacaciones to Grupo Iberostar for around £60 million.

The 171-year-old company came close to folding last year after dire trading led to a string of profit warnings and a 2010/11 loss of £398 million. However, earlier this month the company secured a three-year funding lifeline worth £1.4 billion - its third refinancing in a year.

Thomas Cook had said Tuesday's vote was crucial to its future because the terms of the loans state that it must pay down at least £100 million in 2013 and 2014.

Thomas Cook last week named travel industry outsider Harriet Green from British electrical components distributor Premier Farnell as its new chief executive.

The company, which has already revealed losses of £263 million for the winter season, is due to publish first-half results on Thursday. It has been hit by the civil unrest in North Africa and the economic downturn in Britain.



Thomas Cook shareholders back disposals, say sources

Hidden risks in the supply chain

Hidden risks in the supply chain

An unforeseen disaster can halt production and lead to share price falls and reputational damagemore ..

Taylor Wimpey CFO warns against UK withdrawal of EU

The group FD said "barriers would go up" and that would have an impact on Taylor Wimpeymore ..

RBS fined for IT failures after £25m trading losses

Hong Kong regulator fines bank £450,000more ..

Bank of England plans new round of cyber tests for banks

The Bank is to focus on individual banks’ security systemsmore ..

Energy risk: How data is eating up all the energy

Any failure in energy supplies to data servers can result in severe consequencesmore ..

Why BYOD needs to be on every CFO’s agenda

The Software Alliance explains why BYOD can be a legal nightmare for businessesmore ..

Send to a friend

Email this article to a friend or colleague:

PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.

In Depth
How M&A teams can create value by challenging the CEO

How M&A teams can create value by challenging the CEO

A typical “hold” period of nine to 18 months can generate increased sale value more ..

In Depth
What every company needs to do about big data?

What every company needs to do about big data?

In the first of a three part series, Pat Brans explores just how big 'big data' will get? more ..


* *