PPRuNe Forums - View Single Post - Thomas Cook puts airline up for sale
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Old 8th Feb 2019, 08:14
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PA28161
 
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As already said, they have a massive debt pile of around 1.5 billion and a share price barely scraping 34p. The debt for TCG is greater than the value of the company and they need to build shareholder value and confidence. Like all hatchet jobs it's the profitable sectors of a company that get sold off, in this case the airline, although it has to be said that TCX did make a Q1 loss on like for like basis.
There are a lot of wasteful, money haemorrhaging practices in TCX that could have/should have been addressed earlier before the rot set in; for example the iniquitous 7/5 contracts. Paying pilots to stay at home for 5/12 for the first two years (those on NTR entry). I understand, however, that BALPA have challenged this issue and the period of 5/12 has been amended to one year for NTR pilots. (to sit at home and watch day time TV.)
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