Thomas Cook Group Changes
Shares in Thomas Cook Group fell by 17.69% today following the shock news that CEO Harriet Green is to leave the company. She says that she has completed her task of turning the company around during her two year tenure. Thomas Cook have put MAN at the centre of their turnaround strategy, particularly with respect to developing long-haul leisure travel. MIA and JFK launch from MAN in 2015, complementing existing long-haul destinations. It has also been proposed that MAN would serve as a hub feeding the TCX long-haul programme, but aside from an agreement with FlyBe this idea doesn't appear to have been developed to its full potential so far.
This management change at the top implies uncertainty going forward (hence the large setback in shareprice). Ms Green's tenure has been good news for MAN. It will be interesting to observe whether the new CEO's strategy will be as positive for MAN's prospects as Ms Green's initiatives have been. Perhaps the first test will be to see whether MAN-MIA and JFK prove successful for the group.