Thomas Cook is planning a radical restructure that could mean hundreds of jobs are slashed after the company secured a £200 million lifeline loan from its banks last week.
Up to 1,000 jobs could be lost while 200 of its 1,100 British travel shops are expected close according to reports, as the company battles to reduce its £1 billion debt.
Other money saving initiatives could include selling some of its assets.
Frank Meysman will be appointed chairman this week with his first priority being to review the current line up of non-executive directors, according to reports.
Thomas Cook managed to secure a £200 million loan on Friday after the troubled tour operator found itself on the brink of collapse, admitting it had run out of money.
As rival companies have been making ‘cheap digs’ against the troubled 170 year old company, it must now regain the confidence of the public.
After announcing details of the loan on Friday Sam Weihagen, Thomas Cook group chief executive issued an open letter to reassure the public, that read:
“What a week it’s been for Thomas Cook, its people, partners and, most importantly, our valued customers. We’ve received a great deal of attention and many have been voicing their opinions on our company.
“I’m so pleased to let you know that our banking discussions have been completely successful and I want to show our appreciation for the incredible encouragement and support we have received over the past few days.
“Thomas Cook today is an even stronger and more confident company. You can be sure that your holiday really is in safe hands with us and so, we look forward to welcoming you to one of our stores, our websites, onboard our aircraft and into one of our many thousands of resorts worldwide very soon.
“As one of the world’s largest leisure travel groups, we have the most recognised and established name in the industry. Our customers have trusted Thomas Cook with their holidays and travel experiences for more than 170 years, so we know just how much they mean to you. That’s why, all over the world, across 22 different countries, we have a team of more than 31,000 colleagues on a mission to go further every single day to make your holiday time with us the best time of the year. We feel proud and privileged to have been part of the Great British heritage for nearly two centuries and I have no doubt that we will still be in another 170 years and beyond.
“Thank you once again for your extraordinary support, and a big thank you to the thousands of Thomas Cook people who have worked tirelessly over the last few days to ensure there has been absolutely no impact at all on the holidays and services we deliver for our valued customers.”