Thomas Cook-2
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On a much smaller scale, I know, but this is exactly what happened with FlyGlobespan back in 2009. We could deny all of the reports of the imminent insolvency as being just scaremongering but nothing could stop the inevitable from happening.
I really do hope the TCX can find a way out of this.
I really do hope the TCX can find a way out of this.
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The goverment will step in if it comes to worse case , It will cost them far more in the rescue than it would cost to provide the small amount needed to keep TC solvent , It’s a no brainer
Its clear for everyone to see that TC are at deaths door, like it or not, I’m afraid it’s a fact.
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If that’s what you genuinely believe then I’m afraid you’re sadly deluded. I wish no-one ill and have the utmost sympathy with those at TC for whom life and work must have a lot of added stress through this situation. But the Government is not going to step in. It does not need a tour operator for national interest reasons in the way that it might need a shipyard or a steel manufacturer. It would also provoke the most almighty cries of foul and protracted legal cases from TUI, Jet2, easyJet and others. It will not happen.
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Once the Chinese cash arrives it’s game on , They only need 200 million to get through this which is not a huge amount.
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If that’s what you genuinely believe then I’m afraid you’re sadly deluded. I wish no-one ill and have the utmost sympathy with those at TC for whom life and work must have a lot of added stress through this situation. But the Government is not going to step in. It does not need a tour operator for national interest reasons in the way that it might need a shipyard or a steel manufacturer. It would also provoke the most almighty cries of foul and protracted legal cases from TUI, Jet2, easyJet and others. It will not happen.
State aid rules state explicitly: "A government can own a company under state aid rules but it is not allowed to keep it going if it would otherwise fail." In other words, the Government can't just go around buying up bankrupt businesses in the national interest. Thomas Cook has been in trouble for some time, some say possibly as far back as the MyTravel tie-up.
The banks were bailed out because the business models were proven solid (the banks were expected to rapidly return to profitability - and did), but had become under substantial strain due to market volatility. The same banks are back to returning billions in profit for shareholders today with little in the way of change regarding how banks operate, other than the rules surrounding protecting retail banking from investment banking.
Thomas Cook is not in trouble because of external forces. It is about to become the victim of poor business management.
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Just made that figure up i suspect ??
The cash needed will be forthcoming today i can say with some certainty , Sorry to be positive .....
https://news.sky.com/story/thomas-co...usual-11814616
Business as usual ...move along now nothing to see
The cash needed will be forthcoming today i can say with some certainty , Sorry to be positive .....
https://news.sky.com/story/thomas-co...usual-11814616
Business as usual ...move along now nothing to see
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Just made that figure up i suspect ??
The cash needed will be forthcoming today i can say with some certainty , Sorry to be positive .....
https://news.sky.com/story/thomas-co...usual-11814616
Business as usual ...move along now nothing to see
The cash needed will be forthcoming today i can say with some certainty , Sorry to be positive .....
https://news.sky.com/story/thomas-co...usual-11814616
Business as usual ...move along now nothing to see
£1.1 BILLION debt restructuring which we know about - its the value of the Chinese possible involvement. Overnight a further operational funding hole of £200 Million was identified, which as I explained in previous posts, is most likely due to a withdrawal of credit facilities / suppliers calling in their credit terms.
That equals £1.3 BILLION my friend.
If you really want to go full throttle at this - there are market murmurings this morning (and don't forget, Thomas Cook is a publicly traded company at the time of posting), that by the close of the markets today, that figure could be £1.7 BILLION.
Last edited by diffident; 20th Sep 2019 at 07:22. Reason: added link to stock quote
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Of course @Doc Q, all made up figures. Can't help myself.
£1.1 BILLION debt restructuring which we know about - its the value of the Chinese possible involvement. Overnight a further operational funding hole of £200 Million was identified, which as I explained in previous posts, is most likely due to a withdrawal of credit facilities / suppliers calling in their credit terms.
That equals £1.3 BILLION my friend.
If you really want to go full throttle at this - there are market murmurings this morning (and don't forget, Thomas Cook is a publicly traded company at the time of posting), that by the close of the markets today, that figure could be £1.7 BILLION.
£1.1 BILLION debt restructuring which we know about - its the value of the Chinese possible involvement. Overnight a further operational funding hole of £200 Million was identified, which as I explained in previous posts, is most likely due to a withdrawal of credit facilities / suppliers calling in their credit terms.
That equals £1.3 BILLION my friend.
If you really want to go full throttle at this - there are market murmurings this morning (and don't forget, Thomas Cook is a publicly traded company at the time of posting), that by the close of the markets today, that figure could be £1.7 BILLION.
TC have stated according to sky news just now it’s business as normal , So i guess it is , cannot see them reassuring everyone if they really are going under
They obviously know the cash is coming .
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It really doesn’t make for a happy end to the story:
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No business will admit they are about to collapse. Monarch were saying the same thing, as were XL Airways.
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Tc are a reputable long established company cannot see them lying to their customers , They clearly know it’s in the bag
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You have beaten me to it, Flying Wild!
In emails to staff and customers Monarch kept saying that it was business as usual. Yet a few hours later we all got the email informing us that the company had gone into administration.
It speaks volumes in itself that a company is forced to put out press releases to inform the public that it is business as normal.
Fingers crossed for the TC staff. Some of my ex colleagues may find themselves in exactly the same position on the same date but two years later?
In emails to staff and customers Monarch kept saying that it was business as usual. Yet a few hours later we all got the email informing us that the company had gone into administration.
It speaks volumes in itself that a company is forced to put out press releases to inform the public that it is business as normal.
Fingers crossed for the TC staff. Some of my ex colleagues may find themselves in exactly the same position on the same date but two years later?
I’ve now got some “skin” in this game...
Currently on holiday with a return TCX flight to MAN this Sunday. Having been in the same position with Monarch it can cause some worries - not the first idea when trying to relax. Even more so when I actually booked with TUI to avoid flying with ThomasCook. Was pretty surprised to see the flight number when the booking confirmation came through.
Will be keeping a close eye on the news over the weekend.
Currently on holiday with a return TCX flight to MAN this Sunday. Having been in the same position with Monarch it can cause some worries - not the first idea when trying to relax. Even more so when I actually booked with TUI to avoid flying with ThomasCook. Was pretty surprised to see the flight number when the booking confirmation came through.
Will be keeping a close eye on the news over the weekend.
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Doc Q you sound like the Arsenal fan who is absolutely convinced they will win the Premier League this year. I've been on the Airline rock and roll 3 times so I've read the book. Even got the payslip and no money. So I truly hope your correct and prove us doom and gloom merchants wrong.
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Should no legitimate deal come forward TC will be kept afloat by the Government until the end of October. The Germans will be similarly happy with such an arrangement, after all they kept Air Berlin going until the end of the season.
It may may not be right or fair but this is a desperate rogue Government who won’t want the headlines and job losses on their hands during Conference season. Questions will be asked later. It may not be any more costly than organising an armada of repatriation flights.
It may may not be right or fair but this is a desperate rogue Government who won’t want the headlines and job losses on their hands during Conference season. Questions will be asked later. It may not be any more costly than organising an armada of repatriation flights.
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The threat of going under is very much coming to fruition, unfortunately, and whilst they still could get a deal, it’s likely as each day goes by they’re going to go under.
Understandably the negative press has probably affected almost all bookings in the last few days which has probably plunged them into deeper financial crisis and into a deeper black hole.
I am sure they’ll be doing all they can today to raise some capital desperately and fingers crossed they do.