State of play at MyTravel/Kestrel
Ut Sementem Feeceris
So what was the bottom line for Thomas Cooks parent company last year then?
Further what's the score with Pressag (sp?)
Tough times abound but lets compare like with like. MyTravel is a global group which made a loss of £73million on a turnover of around £5billion (its first EVER loss). The reasons are many but, primarily, poor senior management and questionalble accounting procedures (which will be a +ve on the bottom line this year).
Can anyone come up with the (F)ACTUAL corresponding figures for C&N and Pressag ?
Answers please.
A4
Further what's the score with Pressag (sp?)
Tough times abound but lets compare like with like. MyTravel is a global group which made a loss of £73million on a turnover of around £5billion (its first EVER loss). The reasons are many but, primarily, poor senior management and questionalble accounting procedures (which will be a +ve on the bottom line this year).
Can anyone come up with the (F)ACTUAL corresponding figures for C&N and Pressag ?
Answers please.
A4
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To be fair beardy is right I was reporting rumour myself!
I think the UK operation made money the Germans lost money. My point was beardy they keep hitting us and never mention other operators who are also having a bad time!
I think the UK operation made money the Germans lost money. My point was beardy they keep hitting us and never mention other operators who are also having a bad time!
Last edited by kinsman; 2nd Apr 2003 at 18:40.
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Share price:
It is unlikely that the market makers will hammer shares at the 10p level on rumours. They will look for facts, as to get short of stock on a rumour at such low levels is potentially catastrophic. The losses could be almost as big as MT's if the company pull the situation round.
Also, there is no benefit profit wise to City traders of being short of stock if a company fails. It causes immenses settlement problems.
As for the airline being profitable, I don't really think that is the issue here. MT is a massive company, the airline a small cog in a big wheel...... If tour ops have major probs, then the airline has major probs. A la jmc.......in 2001/2002.
Good luck gang.
It is unlikely that the market makers will hammer shares at the 10p level on rumours. They will look for facts, as to get short of stock on a rumour at such low levels is potentially catastrophic. The losses could be almost as big as MT's if the company pull the situation round.
Also, there is no benefit profit wise to City traders of being short of stock if a company fails. It causes immenses settlement problems.
As for the airline being profitable, I don't really think that is the issue here. MT is a massive company, the airline a small cog in a big wheel...... If tour ops have major probs, then the airline has major probs. A la jmc.......in 2001/2002.
Good luck gang.
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beardy
C & N reported a loss of 180 million. MYT reported a loss of 72 million. That is factual reporting. I don't have the Preussag figures to hand but they were significantly down on last year, although still in profit.
"Easy Jet are waiting for MYT to go bust so they can take the pilots".
"JMC aren't recruiting any Boeing guys at the minute because they will get all the MYT guys when they go bust."
"MYT are stopping flying at midnight Sunday."
That is speculation and misinformation. Amazing how the source of these rumours can never be found when they are proved wrong. As kinsman says, why all the negative remarks towards MYT when there are plenty of others in the same or worse situation? I get the feeling there are a lot of people, both inside and outside aviation, who are just waiting for a carrier to go under. Then they can sit with smug, self-sastisfied looks on their faces and say "I told you they were going bust".
C & N reported a loss of 180 million. MYT reported a loss of 72 million. That is factual reporting. I don't have the Preussag figures to hand but they were significantly down on last year, although still in profit.
"Easy Jet are waiting for MYT to go bust so they can take the pilots".
"JMC aren't recruiting any Boeing guys at the minute because they will get all the MYT guys when they go bust."
"MYT are stopping flying at midnight Sunday."
That is speculation and misinformation. Amazing how the source of these rumours can never be found when they are proved wrong. As kinsman says, why all the negative remarks towards MYT when there are plenty of others in the same or worse situation? I get the feeling there are a lot of people, both inside and outside aviation, who are just waiting for a carrier to go under. Then they can sit with smug, self-sastisfied looks on their faces and say "I told you they were going bust".
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Any possible problem with a vertically integrated group such as MYT have to be looked at as a group issue, one or more parts of the group could be making good profits while the third part bleeds it dry or one part makes money while the other two bleed it dry. The airline might well be flying a lot but at what price, how much has the tour operator lost on the holiday and how much has retail lost selling it, all comes back to one bottom line.
What ever the depth of their problem and the condition of the company PPRune wont be the first or most reliable place to discover whats going on
rt
What ever the depth of their problem and the condition of the company PPRune wont be the first or most reliable place to discover whats going on
rt
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Hi,
Why would MYT take delivery of an A320 and A321 just recently if they thought they would suspend ops. I really doubt they will anyway but this just didn't make sence, maybe someone can clear it up?
Thanks
jmc_757-200
Why would MYT take delivery of an A320 and A321 just recently if they thought they would suspend ops. I really doubt they will anyway but this just didn't make sence, maybe someone can clear it up?
Thanks
jmc_757-200
As a Freelance Photog based in the Canaries, who counts MYT as his biggest client, I have been watching a gradual trimming down of the Admin and Brochure Production staff at Rochdale.
My last shoot for them was in Thailand late December.
I too have been a tad concerned.
Until today that is.
I got a call from the Head of Department saying, the restructure had taken place and was I available for a "Branding Shoot" within the next week or so.
t'would be silly spending money on snaps, if your company is headin down the poop shute I reckon.
Long Live MYT
My last shoot for them was in Thailand late December.
I too have been a tad concerned.
Until today that is.
I got a call from the Head of Department saying, the restructure had taken place and was I available for a "Branding Shoot" within the next week or so.
t'would be silly spending money on snaps, if your company is headin down the poop shute I reckon.
Long Live MYT
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JMC_757_200
I think that if you check tomorrow (3rd) you will find that it's 3 A320s and one A321. There are more to come before SS2003.
Another A320 being delivered as I type this !
I think that if you check tomorrow (3rd) you will find that it's 3 A320s and one A321. There are more to come before SS2003.
Another A320 being delivered as I type this !
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LONDON (Reuters) - Holiday firm MyTravel Group will cut a further 1,300 jobs worldwide over two years as part of its plans to bounce back from profit warnings and accounting errors, an industry source has told Reuters.
The job cuts could include further losses in the UK, the source said. MyTravel, which employs around 23,000 people worldwide, said in February it was axing 700 jobs in the UK.
The job cuts could include further losses in the UK, the source said. MyTravel, which employs around 23,000 people worldwide, said in February it was axing 700 jobs in the UK.
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From Yahoo Business News
Thursday April 3, 10:09 AM
MyTravel Group PLC
MT.L 11.01 +0.30
MyTravel to cut further 1,300 jobs
By Mark Potter
LONDON (Reuters) - Holiday firm MyTravel Group plans to cut a further 1,300 jobs worldwide over the next two years as it battles to recover from profit warnings and accounting errors, an industry source has told Reuters.
The source denied the job cuts were a knee-jerk response to the war in Iraq, which has hit bookings for holiday firms across the world, but did say the conflict had "accelerated things."
The lay-offs could include further losses in the UK, the source said. MyTravel (LSE: MT.L - news) , which employs about 23,000 people worldwide, said in February it was axing 700 jobs in the UK.
The source said the job cuts were part of a strategic review the group's new management presented to its lenders on Wednesday as the owner of the Bridge and Panorama brands seeks to secure its long-term financial future.
MyTravel , whose shares have plunged over 95 percent in the past year, won an extension in November to a key 250 million pound revolving credit facility until to the end of this year, while it worked on a long-term recovery plan.
Formerly called Airtours, MyTravel said last month that summer bookings were three percent ahead of last year, following an eight percent reduction in capacity, but that business had deteriorated as war approached.
All tour operators have suffered from the global economic downturn and a drop in tourism following the September 2001 attacks on the United States.
But MyTravel has fared worse than most because it had previously ramped up capacity in a bid to capture market share. This left it committed to high fixed costs and having to cut prices on unsold holidays when the market turned down.
MyTravel, which has changed its chairman, chief executive and finance director in recent months, embarked on a new strategy in November aimed at reducing fixed costs, such as planes, cruise ships and hotels.
The source said the strategy had gone down well with lenders, but did not expect a long-term financing agreement to be signed in the near future.
"There's no immediate rush... Our lenders remain supportive and we will continue to have ongoing dialogue with them," the source said.
MyTravel had not yet put a figure on the precise amount of cost-savings it hoped to achieve from its strategic review, the source said.
The source also reaffirmed the group had no plans for major retail store closures.
At 0955 GMT, MyTravel shares were 2.8 percent higher at 11p, valuing the business at around 54 million pounds.
MyTravel Group PLC
MT.L 11.01 +0.30
MyTravel to cut further 1,300 jobs
By Mark Potter
LONDON (Reuters) - Holiday firm MyTravel Group plans to cut a further 1,300 jobs worldwide over the next two years as it battles to recover from profit warnings and accounting errors, an industry source has told Reuters.
The source denied the job cuts were a knee-jerk response to the war in Iraq, which has hit bookings for holiday firms across the world, but did say the conflict had "accelerated things."
The lay-offs could include further losses in the UK, the source said. MyTravel (LSE: MT.L - news) , which employs about 23,000 people worldwide, said in February it was axing 700 jobs in the UK.
The source said the job cuts were part of a strategic review the group's new management presented to its lenders on Wednesday as the owner of the Bridge and Panorama brands seeks to secure its long-term financial future.
MyTravel , whose shares have plunged over 95 percent in the past year, won an extension in November to a key 250 million pound revolving credit facility until to the end of this year, while it worked on a long-term recovery plan.
Formerly called Airtours, MyTravel said last month that summer bookings were three percent ahead of last year, following an eight percent reduction in capacity, but that business had deteriorated as war approached.
All tour operators have suffered from the global economic downturn and a drop in tourism following the September 2001 attacks on the United States.
But MyTravel has fared worse than most because it had previously ramped up capacity in a bid to capture market share. This left it committed to high fixed costs and having to cut prices on unsold holidays when the market turned down.
MyTravel, which has changed its chairman, chief executive and finance director in recent months, embarked on a new strategy in November aimed at reducing fixed costs, such as planes, cruise ships and hotels.
The source said the strategy had gone down well with lenders, but did not expect a long-term financing agreement to be signed in the near future.
"There's no immediate rush... Our lenders remain supportive and we will continue to have ongoing dialogue with them," the source said.
MyTravel had not yet put a figure on the precise amount of cost-savings it hoped to achieve from its strategic review, the source said.
The source also reaffirmed the group had no plans for major retail store closures.
At 0955 GMT, MyTravel shares were 2.8 percent higher at 11p, valuing the business at around 54 million pounds.
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Dr White
Quite frankly sir your post is not helpful.
Everyone else here is being very supportive and positive - why don't you try it???
If you don't like it - leave!!!!!!!!!!!!! Eejit.
Quite frankly sir your post is not helpful.
Everyone else here is being very supportive and positive - why don't you try it??? If you don't like it - leave!!!!!!!!!!!!! Eejit.
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Its all very well to say they are going under. this morning on the radio they say nobody's going on holidays. trouble is somebody forgot to tell the punters. MYT flights still go out every day there all full apart from the the odd seats that is. I should know i'm the poor sod that has to organize the delivery of baggage to a/c.
Trouble is to many people putting a downer on MYT.
And as for going under Why are they still recruiting ?.
Trouble is to many people putting a downer on MYT.
And as for going under Why are they still recruiting ?.
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W.r.t. 'flights still go out every day there all full'....
There's a big margin between going out full, but with a seat rate that yields ****** all profit - as opposed to going out less than full but with a seat rate that makes the company some money.
Now who else remembers AirEurope & ILG laying off their staff between the closing months of 1990 and the early months of 1991 ? ..... i.e. just before they turned their toes up in March 1991 !
There's a big margin between going out full, but with a seat rate that yields ****** all profit - as opposed to going out less than full but with a seat rate that makes the company some money.
Now who else remembers AirEurope & ILG laying off their staff between the closing months of 1990 and the early months of 1991 ? ..... i.e. just before they turned their toes up in March 1991 !
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I believe MYT will survive, those who keep banging on about yield and how much folks are paying for seats may of course be right. But the company claims revenue per seat is up! Now I may be wrong but flying full aeroplanes making a little money is better than flying half full aeroplanes or worse still, not flying the aeroplanes at all.
According to the Times we will save around 50 million with the job cuts, some of those jobs went a few weeks ago. The 2000 jobs announced today include the 700 already announced. Out of interest according to the same report TUI needs to save over £250 million, I guess this will also be through job cuts. I assume Devils Advocate that means TUI are going bust as well, I doubt it! The Air Europe situation was very different to MYT.
The news and rumour over the weekend was it appears wrong! I would still guess the newspaper stories were seeded by one of our competitors in an attempt to undermine confidence in MYT prior to the meeting with the banks. I think that says a lot more about the mess some of our competitors are in than the problems at MYT.
But the bottom line is 2000 hard working employees will be out of work, what makes me angry is those responsible got nice big pay offs when they went!
According to the Times we will save around 50 million with the job cuts, some of those jobs went a few weeks ago. The 2000 jobs announced today include the 700 already announced. Out of interest according to the same report TUI needs to save over £250 million, I guess this will also be through job cuts. I assume Devils Advocate that means TUI are going bust as well, I doubt it! The Air Europe situation was very different to MYT.
The news and rumour over the weekend was it appears wrong! I would still guess the newspaper stories were seeded by one of our competitors in an attempt to undermine confidence in MYT prior to the meeting with the banks. I think that says a lot more about the mess some of our competitors are in than the problems at MYT.
But the bottom line is 2000 hard working employees will be out of work, what makes me angry is those responsible got nice big pay offs when they went!
Last edited by kinsman; 4th Apr 2003 at 16:06.
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Not withstanding the Global Recession, Gulf War 2, SARS and September 11th; the whole industry is in it up to their necks! Across the pond American have announced laying-off 2,500 pilots and large pay cuts for the remainder, United are acting along the same lines; Delta and Continental are not faring much better and Air Canada has just filed for protection!
European airlines are finding it tough too - Swissair, Sabena???
Back in the UK, BA are still struggling (and their 18% stake in Qantas is not seeing much return either) and even the profitable low cost boys are seeing some rationalisation in the acquisitions they are making.
In our tiny, cozy little IT world, life is tough too. Only a few years back Air 2000 were paying for fuel in cash and more recently there were the rumours about problems at JMC and Britannia following the take-overs by their respective German parents, neither of which are not without fault or failure. Even at Monarch it has been reported that life is not as sweet as it may be!
Yes....MYT has struggled big. For sure there have been a couple of spectacular own goals - but I get the feeling that they just might have got enough opposite rudder and forward stick on in time to pull out of this one. Hope so anyway! Good luck guys!
European airlines are finding it tough too - Swissair, Sabena???
Back in the UK, BA are still struggling (and their 18% stake in Qantas is not seeing much return either) and even the profitable low cost boys are seeing some rationalisation in the acquisitions they are making.
In our tiny, cozy little IT world, life is tough too. Only a few years back Air 2000 were paying for fuel in cash and more recently there were the rumours about problems at JMC and Britannia following the take-overs by their respective German parents, neither of which are not without fault or failure. Even at Monarch it has been reported that life is not as sweet as it may be!
Yes....MYT has struggled big. For sure there have been a couple of spectacular own goals - but I get the feeling that they just might have got enough opposite rudder and forward stick on in time to pull out of this one. Hope so anyway! Good luck guys!